REGISTERED CHARITY NUMBER: 267510
REPORT OF THE TRUSTEES AND
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
FOR
THE KASNER CHARITABLE TRUST
Raffingers LLP 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD
THE KASNER CHARITABLE TRUST
CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31 March 2021
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 4 |
| Report of the Independent Auditors | 5 | to | 8 |
| Statement of Financial Activities | 9 | ||
| Balance Sheet | 10 | ||
| Cash Flow Statement | 11 | ||
| Notes to the Cash Flow Statement | 12 | ||
| Notes to the Financial Statements | 13 | to | 20 |
THE KASNER CHARITABLE TRUST
REPORT OF THE TRUSTEES for the year ended 31 March 2021
The trustees present their report with the financial statements of the charity for the year ended 31 March 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The objectives of The Kasner Charitable Trust is to apply the whole of the trust fund to those purposes, both in United Kingdom and abroad, recognised as charitable under English Law. The institutions the charity supports are chosen at the discretion of the trustees according to the principles set out by Mr Josef Kasner, the founder of the charitable trust.
In furtherance of the said objectives the charity:
- Provides grants to qualifying institutions who are involved in the relief of poverty, the furtherance of the Jewish faith and the advancement of education.
Public benefit
The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit, and 'The Advancement of Religion for the Public Benefit' in particular, when reviewing the aims and objectives of the charity and in planning the charity's future activities.The aims of the charity for the public benefit are detailed in the 'Objectives and Activities' section of this report and the main activities undertaken in order to carry out the charity's aims for the public benefit are outlined under 'Achievements and Performance' below.
Grantmaking
In general the trustees support charities which are involved in the relief of poverty, the furtherance of the Jewish faith and advancement of education. In making grants and donations, the trustees consider the requests made and the funds then available and the impact their grants will make in achieving the charity's goals. Consideration is given to the operational efficiency and reputation of the recipient charity and the ability to 'make a difference', The trustees monitor the application of the grants and donations, meeting with representatives of the institutions and obtaining information as to the utilisation of funds.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
The charity provides grants to qualifying institutions. During the year, the charity made grants totalling £5,375,301 (2020 - £8,274,157) to institutions in the UK and in Israel. The benefits that these charities provide include -
-
providing food and financial support to poor families
-
maintaining synagogues and places of communal religious services
-
Jewish education at primary school and secondary school level
-
centres of advanced study and higher education
-
centres for children with special educational needs
-
medical advocacy
-
assisting couples experiencing infertility with treatment and support
-
development of 'immigrant' towns in Israel to benefit the welfare of their communities.
The trustees have strong ties to Israel and are keenly aware of the poverty which effects certain sectors of its population.Together with the advisory team at UK Toremet, they critically review the many applications they receive to identify opportunities for the charity to make donations which can create significant change and where they can monitor the impact their grants make. The trustees also receive many requests for support from institutions in the UK and they seek to make grants to causes which they feel are not funded by larger foundations.
FINANCIAL REVIEW
Financial position
The financial results for the year to 31 March 2021 are shown in the attached financial statements.
Total income decreased to £9,845,110 compared to £11,472,353 in the prior year and total expenditure decreased to £5,524,687 from £8,346,606 in the previous year.
There was a net increase of funds of £4,348,227 (2020 - £6,581,305 ) after gains on revaluation of investments of £3,455,558. At 31 March 2021, the charity had reserves of £9,899,915 (2020 - £5,551,688).
Page 1
THE KASNER CHARITABLE TRUST
REPORT OF THE TRUSTEES for the year ended 31 March 2021
FINANCIAL REVIEW
Reserves policy
The trustees have established the level of reserves (that is those funds that are freely available) that the charity ought to have. Reserves are needed to bridge the funding gaps between spending on activities and receiving resources through voluntary income. The trustees consider that the ideal level of reserves as at 31 March 2021 would be three months of resources expended. However the trust is operated as a grant giving charity, and the trustees' policy is to only seek to distribute or commit the income arising in each financial year.
The charity had reserves of £9,899,915 at the year end. In calculating the reserves, the trustees have excluded from total funds any restricted income funds.
The charity had negative free reserves of £16,145 (2020 - negative free reserves of £3,313,900) at the year end, with the improvement principally as a result of loans being repaid. The trustees are working to further improve the balance of free reserves and are actively pursuing additional sources of funding in order to ensure that there are sufficient reserves to provide for future financial stability and flexibility. In the short to medium term, the trustees anticipate that the charity's investment properties will continue to generate a dependable income stream to enable the charity to continue its charitable activities.
The charity received substantial loans from companies which are under the control of the trustees.
The charity is named as the beneficiary of shares in these companies as part of legacies of Estates currently being administered. It had been intended that once Probate had been granted, the realisation of income from the legacies would be applied to the repayment of the loans. However, given the delay in obtaining Probate, principally as a result of difficulties in ascertaining the value of certain assets, certain of the loans were repaid and an agreement in principal had been made to repay those which remain outstanding. The trustees can report that all those loans have now been repaid.
Going concern
The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. They have made this assessment in respect of a period of one year from the date of approval of these financial statements.
The trustees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the Trust to continue as a going concern. They are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due.
Covid 19
The Covid 19 pandemic has developed rapidly, with significant social and economic impact. As the primary source of income for the charity is not from fundraising from the general public, and its objectives are met by providing grants to other charities, at this stage the impact on our ability to continue with our charitable activities is not significant.
Fundraising
The charity is committed to the principals set out by the Fundraising Regulator in its Code of Fundraising Practice. The trustees do not engage professional fundraisers nor do they undertake public collections or cold calls. The trustees are pleased to report that no complaints were received in the past twelve months in relation to its fundraising activities.
FUTURE PLANS
The charity plans to continue giving grants to charities with similar objectives in line with the trustees' vision of making a tangible impact to the activities of the charity's beneficiaries.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The charity was established under a declaration of trust dated 30 October 1973.
The charity is registered with the Charity Commission (Charity registration Number 267510) and is governed by its trust deed as amended by resolution dated 20 August 2009.
Page 2
THE KASNER CHARITABLE TRUST
REPORT OF THE TRUSTEES for the year ended 31 March 2021
STRUCTURE, GOVERNANCE AND MANAGEMENT
Recruitment and appointment of new trustees
There must be at least two trustees at any one time. New trustees must be appointed by a resolution of the Trustees passed at a special meeting.
New trustees are selected for their skill, knowledge and experience needed for the effective administration of the charity. New trustees undergo a formal vetting process before appointment.
The trustees are please to announce the appointment of Mr D Winegarten as a trustee on 1 July 2020.
Organisational structure
The board of trustees administers the charity. The trustees must hold at least two ordinary meetings each year. One such meeting must involve the physical presence of those trustees in attendance.
The trustees are vigilant to the potential conflict of interest which could arise should they benefit financially from the charity or where their duties as directors of the companies from which donations are received would compete with their duties to the charity.
The trustees consider any potential conflict of interest issues before they take decisions and mitigate these by involving independent third parties where necessary. In addition an independent trustee has been appointed and protocols are in place which require a conflicted trustee to withdraw from any discussions where there may be a potential conflict.
Induction and training of new trustees
Any new trustee will be fully briefed on the history of the trust, and its objectives and plans, as well as the management and operational processes. Trustees can retire when they wish as they do not serve under a fixed term of tenure.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
The trustees regularly undertake a review of the major risks to which the charity is exposed, and systems designed to mitigate those risks are considered on an ongoing basis.The charity has systems in place to ensure that any existing or potential trustees are not disqualified from acting as a trustee.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
267510
Principal address
1A Gresham Gardens London NW11 8NX
Trustees
Mr B Erlich Ms J Erlich Mr D Winegarten Trustee (appointed 1.7.20)
Auditors
Raffingers LLP 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD
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THE KASNER CHARITABLE TRUST
REPORT OF THE TRUSTEES for the year ended 31 March 2021
REFERENCE AND ADMINISTRATIVE DETAILS
Bankers
Lloyds Bank Plc 25 Gresham Street London EC2V 7HN
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
-
select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
-
make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the board of trustees on 29 October 2021 and signed on its behalf by:
Trustee
Page 4
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE KASNER CHARITABLE TRUST
Opinion
We have audited the financial statements of The Kasner Charitable Trust (the 'charity') for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 March 2021 and of its incoming resources and application of resources, for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Page 5
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF
THE KASNER CHARITABLE TRUST
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Page 6
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE KASNER CHARITABLE TRUST
Our responsibilities for the audit of the financial statements
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which the audit was considered capable of detecting irregularities including fraud:
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
-
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
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we identified the laws and regulations applicable to the charitable company through discussions with management and from our commercial knowledge and experience of the sector The Kasner Charitabke Trust belongs to;
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we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the association, including the Charities Act 2011, Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2019), Trustees Act, Bribary Act and data protection;
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we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
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identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
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making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
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considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations, including the ones that ensure that the grants are used for intended purposes.
To address the risk of fraud through management bias and override of controls, we:
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performed analytical procedures to identify any unusual or unexpected relationships;
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tested journal entries to identify unusual transactions;
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assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
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investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
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agreeing financial statement disclosures to underlying supporting documentation;
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reading the minutes of meetings of those charged with governance;
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enquiring of management as to actual and potential litigation and claims.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
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REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE KASNER CHARITABLE TRUST
Use of our report
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Raffingers LLP 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD
29 October 2021
Page 8
THE KASNER CHARITABLE TRUST
STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 March 2021
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Investment income 3 Total EXPENDITURE ON Raising funds Charitable activities 4 Relief of poverty, advancement of education and furtherance of religion Total Net gains on investments NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
2021 Unrestricted fund £ 9,562,134 282,976 9,845,110 19,690 5,504,997 5,524,687 27,804 4,348,227 5,551,688 9,899,915 |
2020 Total funds £ 11,240,000 232,353 11,472,353 - 8,346,606 8,346,606 3,455,558 6,581,305 (1,029,617 ) 5,551,688 |
|---|---|---|
The notes form part of these financial statements
Page 9
THE KASNER CHARITABLE TRUST
BALANCE SHEET
31 March 2021
| Notes FIXED ASSETS Fixed asset investments Fixed asset investments 8 Investment property 9 CURRENT ASSETS Debtors 10 Cash at bank CREDITORS Amounts falling due within one year 11 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS Amounts falling due after more than one year 12 NET ASSETS FUNDS 14 Unrestricted funds TOTAL FUNDS |
2021 Unrestricted fund £ 4,912,963 5,003,097 9,916,060 2,695 4,410 7,105 (23,250) (16,145) 9,899,915 - 9,899,915 9,899,915 9,899,915 |
2020 Total funds £ 4,745,258 4,120,300 8,865,558 - 422,676 422,676 (27,520) 395,156 9,260,714 (3,709,026 ) 5,551,688 5,551,688 5,551,688 |
|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 29 October 2021 and were signed on its behalf by:
Trustee
The notes form part of these financial statements
Page 10
THE KASNER CHARITABLE TRUST
CASH FLOW STATEMENT
for the year ended 31 March 2021
| Notes Cash flows from operating activities Cash generated from operations 1 Net cash provided by operating activities Cash flows from investing activities Purchase of fixed asset investments Purchase of investment property Net cash (used in)/provided by investing activities Cash flows from financing activities Loan repayments in year Net cash (used in)/provided by financing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period |
2021 £ 4,313,458 4,313,458 (1) (1,022,697 ) (1,022,698 ) (3,709,026 ) (3,709,026 ) (418,266) 422,676 4,410 |
2020 £ 72,068 |
|---|---|---|
| 72,068 | ||
| - - |
||
| - | ||
| - | ||
| - | ||
| 72,068 350,608 |
||
| 422,676 |
The notes form part of these financial statements
Page 11
THE KASNER CHARITABLE TRUST
NOTES TO THE CASH FLOW STATEMENT for the year ended 31 March 2021
| 1. | RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM | OPERATING ACTIVITIES | OPERATING ACTIVITIES |
|---|---|---|---|
| 2021 | 2020 | ||
| £ | £ | ||
| Net income for the reporting period (as per the Statement of Financial | |||
| Activities) | 4,348,227 | 6,581,305 | |
| Adjustments for: | |||
| Gain on investments | (27,804) | (3,455,558 ) | |
| Increase in debtors | (2,695) | - | |
| Decrease in creditors | (4,270) | (3,053,679 ) | |
| Net cash provided by operations | 4,313,458 | 72,068 |
2.
ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS
| Net cash Cash at bank Debt Debts falling due after 1 year Total |
At 1.4.20 £ 422,676 422,676 (3,709,026 ) (3,709,026 ) (3,286,350 ) |
Cash flow £ (418,266) (418,266) 3,709,026 3,709,026 3,290,760 |
At 31.3.21 £ 4,410 |
|---|---|---|---|
| 4,410 | |||
| - | |||
| - | |||
| 4,410 |
The notes form part of these financial statements
Page 12
THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Assessment of going concern
The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. They have made this assessment in respect of a period of one year from the date of approval of these financial statements.
In previous years, the charity received substantial loans from companies which were under the control of the trustees however, all those loans have now been repaid.
The trustees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The trustees are of the opinion that the charity will have sufficient resources to meet the liabilities as they fall due. In arriving at the conclusion, the trustees have considered the potential implications of the effects of Covid 19 on the charity. The figures for the period under consideration have not been impacted by Covid 19 and the trustees are confident that no adjustments are necessary to the carrying value of the assets held at the balance sheet date.
Income
All income is unrestricted and recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Legacies are included in the statement of financial activities either upon receipt or where the receipt of the legacy is probable, and the amount can be estimated with sufficient accuracy.
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants payable are included in the period when any relevant conditions are met by the receiving entity. Payment of later instalments of a grant usually requires satisfactory progress reports from the project.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Charitable activities
Charitable activities comprise those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Governance costs
Governance costs comprise those costs associated with meeting the constitutional and strategic requirements of the charity and the audit fees and costs linked to the strategic management of the charity.
continued...
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THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
1. ACCOUNTING POLICIES - continued
Investment property
Properties held for investment are included in these accounts at open market value. The valuation has been determined by the trustees, with professional assistance.
Unlisted investments
Unlisted equity investments are measured initially at cost and subsequently at fair value.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Cash at bank and in hand
Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months form the date of acquisition. Deposits for more than three months but less than one year have been disclosed as short term deposits.incurred.
Creditors and provision
Creditors and provision are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provision are recognised at the moment the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payments where such discounting is material.
Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value except for bank loans which are subsequently measured at the carrying value plus accrued interest less repayments. The financing charge to expenditure is at a constant rate calculated using the effective interest method.
Critical accounting estimates and areas of judgement
Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The items in the financial statements where these judgements and estimates have been made include
-
assessing the valuation of of investment property, and
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assessing the valuation of unlisted investments.
continued...
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THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
2. DONATIONS AND LEGACIES
| Donations Other income 3. INVESTMENT INCOME Rents received Income from lease extensions 4. CHARITABLE ACTIVITIES COSTS Grant funding of activities (see note 5) £ Relief of poverty, advancement of education and furtherance of religion 5,375,301 5. GRANTS PAYABLE Relief of poverty, advancement of education and furtherance of religion |
2021 £ 9,482,700 79,434 9,562,134 2021 £ 14,855 268,121 282,976 Support costs (see note 6) £ 129,696 2021 £ 5,375,301 |
2020 £ 11,240,000 - |
2020 £ 11,240,000 - |
||
|---|---|---|---|---|---|
| 11,240,000 | |||||
| 2020 £ 18,602 213,751 232,353 Totals £ 5,504,997 |
2020 £ 18,602 213,751 |
||||
| 232,353 | |||||
| 2020 £ 8,274,157 |
Page 15
continued...
THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
5. GRANTS PAYABLE - continued
The total grants paid to institutions during the year was as follows:
| BC Trust Chasdei Esther Chevras Mo'oz Ladol Colel Polen Kupath Ramban Limited Dignity Organisation Ezer Bekovoid Limited Friends of Gur Foundation Israel Friends of the United Institutions of Arad Gitter Foundation Ichud Talmudei Yesodey Hatorah JNF Charitable Trust Kehal Chasidei Wiznitz Limited Keren Shmuel KKL Charity Accounts March of the Living (UK) Limited Side by Side School Ltd UK Toremet Limited Yad Eliezer Trust Yesamach Levav Yeshuas Chaim Synagogue Yesodey Hatorah Schools Other grants below £45,000 |
2021 £ 90,000 72,525 125,000 - 74,572 95,000 465,000 450,000 - 26,650 545,000 50,000 - - - - 2,861,159 125,000 77,000 62,200 35,000 221,195 5,375,301 |
2020 £ - 74,050 - 46,000 144,000 - 470,000 584,000 50,000 57,700 400,000 - 490,000 250,000 46,000 50,000 5,293,400 - - - 49,000 270,007 |
|---|---|---|
| 8,274,157 |
All grants were paid from unrestricted funds to charitable institutions whose objects are in line with the objects of the charity.
Analysis of the objectives supported
Many of the institutions to which grants are made have broad objects and their activities encompass more than one area. Where grants have been made to fund a particular area, these are set out accordingly. Where grants made fulfilled a number of objectives these have been classified as made for general charitable purposes.
| 2021 | |
|---|---|
| £ | |
| Relief of poverty | 752,300 |
| Advancement of education | 743,395 |
| Furtherance of religion | 562,772 |
| Medical advocacy and equipment | 164,600 |
| Development of the Land of Israel and its citizens | 1,332,807 |
| General charitable purposes | 1,819,427 |
| 5,375,301 |
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continued...
THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
6. SUPPORT COSTS
| SUPPORT COSTS | |||
|---|---|---|---|
| Governance | |||
| Management | costs | Totals | |
| £ | £ | £ | |
| Relief of poverty, advancement of education | |||
| and furtherance of religion | 103,860 | 25,836 | 129,696 |
7. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 March 2021 nor for the year ended 31 March 2020.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 March 2021 nor for the year ended 31 March 2020.
8. FIXED ASSET INVESTMENTS
| MARKET VALUE At 1 April 2020 Additions Revaluations At 31 March 2021 NET BOOK VALUE At 31 March 2021 At 31 March 2020 There were no investment assets outside the UK. |
Shares in group undertakings £ - 1 - 1 1 - |
Unlisted investments £ 4,745,258 - 167,704 4,912,962 4,912,962 4,745,258 |
Totals £ 4,745,258 1 167,704 |
|---|---|---|---|
| 4,912,963 | |||
| 4,912,963 | |||
| 4,745,258 | |||
Cost or valuation at 31 March 2021 is represented by:
| Shares in | ||||
|---|---|---|---|---|
| group | Unlisted | |||
| undertakings | investments | Totals | ||
| £ | £ | £ | ||
| Valuation in | 2021 | 1 | 4,912,962 | 4,912,963 |
The charity holds seven ordinary shares each in Deanplan Limited and Parkdale Investments Limited and five ordinary shares in Luxor Properties Limited, companies registered in England and Wales.
The share in group undertakings refers to an investment in Malcolm Way Limited, a subsidiary of The Kasner Charitable Trust which has not begun trading as of the balance sheeet date.
continued...
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THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
9. INVESTMENT PROPERTY
| INVESTMENT PROPERTY | |
|---|---|
| FAIR VALUE At 1 April 2020 Additions Revaluation At 31 March 2021 NET BOOK VALUE At 31 March 2021 At 31 March 2020 |
£ 4,120,300 1,022,697 (139,900) |
| 5,003,097 | |
| 5,003,097 | |
| 4,120,300 |
The open market value of the investment properties was valued by the trustees as at 31 March 2021 based on their understanding of the properties within the portfolio and current market conditions and on professional valuations carried out at 31 March 2020 by Maunder Taylor, RICS Chartered Surveyors.
Fair value at 31 March 2021 is represented by:
| Valuation in 2021 10. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other debtors VAT 11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors 12. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR Other creditors |
2021 £ 238 2,457 2,695 2021 £ 23,250 2021 £ - |
£ 5,003,097 |
£ 5,003,097 |
£ 5,003,097 |
|---|---|---|---|---|
| 2020 £ - - - 2020 £ 27,520 2020 £ 3,709,026 |
2020 £ - - - 2020 £ 27,520 |
2020 £ - - |
||
| - |
Other creditors comprised of unsecured interest free loans due from companies controlled by the trustees of this charity. These loans have now been repaid.
continued...
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THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
13. LOANS
An analysis of the maturity of loans is given below:
| 2021 | 2020 | ||
|---|---|---|---|
| £ | £ | ||
| Amounts falling due in more than five years: | |||
| Repayable otherwise than by instalments: | |||
| Other loans | - | 3,709,026 |
14. MOVEMENT IN FUNDS
| Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are Unrestricted funds General fund TOTAL FUNDS Comparatives for movement in funds Unrestricted funds General fund TOTAL FUNDS |
as follows: Incoming resources £ 9,845,110 9,845,110 |
At 1.4.20 £ 5,551,688 5,551,688 Resources expended £ (5,524,687 ) (5,524,687 ) At 1.4.19 £ (1,029,617 ) (1,029,617 ) |
Net movement in funds £ 4,348,227 4,348,227 Gains and losses £ 27,804 27,804 Net movement in funds £ 6,581,305 6,581,305 |
At 31.3.21 £ 9,899,915 9,899,915 Movement in funds £ 4,348,227 4,348,227 At 31.3.20 £ 5,551,688 5,551,688 |
|---|---|---|---|---|
continued...
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THE KASNER CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2021
14. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 11,472,353 11,472,353 |
Resources expended £ (8,346,606 ) (8,346,606 ) |
Gains and losses £ 3,455,558 3,455,558 |
Movement in funds £ 6,581,305 6,581,305 |
|---|---|---|---|---|
15. RELATED PARTY DISCLOSURES
The companies in which the charity holds shares as investments (Note 8) are controlled by the trustees of this charity.
During the year the charity received donations of £7,855,500 from Cresta Estates Limited and £1,400,000 from Parkdale Investments Limited, companies of which the trustees of this charity are directors.
16. AUDITOR LIABILITY LIMITATION AGREEMENT
The charity has entered into a liability limitation agreement with Raffingers, the statutory auditor, in respect of the statutory audit for the year ended 31 March 2021. The proportionate liability agreement follows the standard terms in Appendix B to the Financial Reporting Council's June 2008 Guidance on Auditor Liability Agreements.
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