2023-03-31-accounts

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

Charity Registration No. 273130

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees	Mr S Ebrahim
	Mr A Walji
	Mr A Salehi
	Mr N Virji
Charity number	273130
Principal address	2-8 Burton Street
	Peterborough
	Cambridgeshire
	PE1 5HD
Auditor	Deitch Cooper LLP
	1stFloor, 3 Hobbs House
	Harrovian Business Village
	Bessborough Road
	Harrow
	Middlesex
	HA1 3EX
Bankers	Barclays Bank PLC
	1 Church Street
	Peterborough
	PE2 8DP
Solicitors	Hunt & Coombs LLP
	35 Thorpe Road
	Peterborough
	Cambridgeshire
	PE3 6AG
Office bearers	Rizwan Rahemtulla	President
	Abbas Manji	Vice president
	Mohamed Abbas Karim	Secretary
	Shozebali Ebrahim	Assistant Secretary
	Imtiazali Bhimani	Assistant treasurer
Elected members
Management committee	Abbasali Husseinaly Damani	Shia Sports
	Maisam Husseinaly Damani	Education
	Shokat Bhalwani	HVC/Kitchen
	Murtaza Ramzan Walji	Maintenance
	Shabbir Sadak	Madrasah
	Mohamed Siddiq Jaffer	Youth
Nominated - Management
committee	Dr Azher Rizvi	Medical

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CONTENTS

	Page
Trustees' report	1 - 5
Independent auditor's report	6 - 8
Consolidated statement of financial activities	9
Consolidated statement of financial position	10
Charity statement of financial position	11
Consolidated statement of cash flows	12
Notes to the financial statements	13 - 29

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2023

The Trustees present their report and the consolidated financial statements for the year ended 31 March 2023. The legal and administrative information page forms a part of this report.

Objectives and activities for the public benefit

The Trustees have complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Commission.

The principal objective of the charity is to advance the Islamic Religion in accordance with the Shia Ithna-Asheri Jafferi faith, by all or any of the following means:

• a) Propagate and promote the religious, social, educational and humanitarian teachings of the Shia IthnaAsheri Jafferi faith as per the rulings of the Marja, recognised by our community at large.

• b) To buy, rent, build and maintain centres, mosques and such other infrastructure as may be necessary from time to time for the furtherance of the Objects of The Community.

• c) To facilitate, maintain and develop the worship and practice of the Shia Ithna-Asheri Jafferi faith.

• d) To raise funds and invite and receive contributions from any person(s), organisation(s), or institution(s) whatsoever by way of subscription, donations or otherwise, provided that The Community shall not undertake any permanent trading activities in raising funds for its charitable objects.

• e) To relieve poverty within and outside The Community.

• f) To educate members of The Community in both secular and religious fields.

• g) To promote health and wellbeing of The Community.

• h) To work in co-operation with other Shia Ithna-Asheri Muslim Communities and other charitable organisations.

• i) To educate and further understand Khoja heritage, history, culture and its principles in order to pass such understanding down to successive generations.

• j) Promoting knowledge and mutual understanding between the Khoja Shia Ithna-Asheri Community and different racial and cultural groups.

• k) To handle and manage at its own discretion, but in accordance with English Law, such charitable trusts of Members, that has been handed over to The Community for their management.

• l) To perform marriage ceremonies and burial rites in accordance with the Shia Ithna-Ashei Jafferi faith.

• m) To do all such other things as shall further the above mentioned objects.

The charity focuses primarily on its religious activities but is supported in its objectives by its fellow group companies.

• The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation – This is an investment holding company and owns most of the investment properties held by the group.

• 313 Project Ltd - The company's objective is to complete the Al-Qaeem project and any profits earned by the company will be donated to the charity.

• 313 Trust Corporation Ltd – This is an investment holding company and owns an investment property held by the group.

• 1 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Achievements and performance

The Trustees have considered the Charity Commission's general guidance on public benefit and in particular its supplementary guidance on the advancement of religion for the benefit of the public.

The charity provides facilities for observing the important events in the Shia calendar.

• a) There are approximately 125 days of importance in the calendar which are marked by observations with special functions in the Mosque. These include the fasting month of Mahe Ramadhaan and the mourning month of Mahe Muharram.

• b) Daily prayer facilities (congregation and individual) are held three times a day throughout the year.

• c) Facilities are provided for Juma prayers every Friday where participants include the wider Muslim community.

• d) Welfare support for families in poverty (with the assistance of the Council of European Jamaats and The World Federation of Khoja Shia Ithna-Asheri Muslim Communities).

• e) Facilitating, hosting and organising weddings and funerals.

• f) Hosting Youth programmes incorporating sports, debates, quizzes, etc.

• g) Providing education facilities including Husaini Madrasah.

• h) Hosting Inter-Faith activities for those of other faiths or no faith.

• i) Supporting Ladies and Gents’ Senior Citizen groups to cater for their physical, emotional and religious needs.

• j) Hosting of various programmes specifically catering for the ladies of the community.

• k) Supporting the Youth and English Lecture Committee to organise programmes specifically catering for the youth of the community.

• l) Provide training to ensure compliance (e.g. Safeguarding of Children in Madrasah, First Aid at Work, etc.)

• m) Provide Safeguarding and Emotional Support to those in need.

• n) Attendance and affiliation to City-wide organisations (e.g. Muslim Council of Peterborough, Joint Muslims Council, Peterborough Inter-faith Council, Children & Education Scrutiny Panel, etc.).

• o) Provide seminars to increase the awareness of medical issues pertaining to the needs of the community and educate the community in combating them.

• p) Working with Partner Agencies to help both the homeless and those in need (e.g. Husaini Soup Kitchen).

• q) During 2016, the charity incorporated 313 Project Ltd. The company was set up to take over and complete the Al-Qaeem project which had been commenced by the charity at the point where the contractors had failed to meet their obligations under the construction contract. The company's objective is to complete the project and any profits earned annually by the company will be donated back to the charity. The construction project was fully completed during the period. The financial position at 31 March 2023 and results for the year then ended of 313 Project Ltd are consolidated in these financial statements.

• r) The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation and 313 Trust Corporation Ltd are investment property holding companies controlled by the charity for the benefit of the charity and for no other purpose. The investment properties held by these companies were revalued during the period. In addition, The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation purchased an investment property for £146,446 for the benefit of the community. The financial position at 31 March 2023 and results for the year then ended of both subsidiaries are consolidated in these financial statements.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Financial review

The results for the year are shown on pages 9 to 12. The consolidated statement of financial activities shows the income and the expenditure analysed between different activities conducted by the group. In order to provide a better understanding of the activities undertaken, a summary of the activities is included.

The Statement of Financial Activities shows how the group's funds have been applied during the year. The gross receipts of the group were £602,103 (2022: £431,077). Donations directly relating to the principal activities amounted to £318,583 (2022: £241,791). During the year, the value of the investment properties increased by £233,554 (2022: £275,000). The group has achieved an overall net income for the year of £350,376 (2022: £361,534). Total funds of £8,354,046 (2022: £8,003,670) have been carried forward to forthcoming years, including £261,908 (2022: £3,295,833) of restricted funds. The purposes of these restricted funds are set out in the notes to the final statements.

Reserves policy

The perpetual nature of the charity's existence means that it will never cease to exist and therefore reserves are carried forward at the end of each financial year. The Trustees and the management committee aim to maintain unrestricted reserves at a level which equates approximately to three months of its unrestricted charitable expenditure, which amounts to £50,000. It is in the Trustees and the management committee views that this level is sufficient to respond to an unexpected level of expenditure as well as finance other recurring expenditure. The Trustees and management committee are not remunerated. The restricted funds all relate to items there the donors have specified its intended use or recipient. Where deficit occur on the restricted funds, the Trustees would normally use the unrestricted funds to disburse them.

Investment policy

The assets of the parent charity are held in the nominee name of the Trustees as required by law. The constitution authorises the Trustees to make further capital investments in furtherance of the charity's objectives. All but one of the investment properties owned by the group are held in the names of the group companies limited by guarantee and are consolidated in these financial statements.

Risk management

The Trustees recognise that effective risk management is essential in achieving the Charity's and group’s objectives. Risk management is considered as an integral element of all decision making and identifying appropriate procedures to ensure that risk levels are acceptable in each case. The Trustees believe that it is important to develop and enhance the approach towards risk management, to ensure it remains fit for purpose. The group will formalise its risk management and create a risk register which will be reviewed on regular basis.

The Trustees have considered the potential impact of the coronavirus, and the various measures taken to contain it, on the operations of the Charity.

No immediate concerns in relation to the Charity’s long term future have been identified but this area continues to be monitored.

The Trustees are satisfied that the steps they have taken in the short term are appropriate and effective.

Future plans

In addition to the objectives outlined above, the group has additional objectives over the forthcoming 12 months period:

• to continue renovation and refurbishment of the Mosque buildings.

• to identify suitable investment opportunities for the charity.

• to increase on-site programmes and activities, subject to social distancing measures if necessary.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Structure, governance and management

The charity is an unincorporated charity formed under a constitution under a deed dated 2 June 1977 as amended on 11 November 2012 and 6 September 2013. It has been registered with the Charity Commission under reference 273130. The charity also controls three companies. These companies are as follows:

• The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation – Investment holding company.

• 313 Project Ltd – Project Management for the Al-Qaeem project.

• 313 Trust Corporation Ltd – Investment holding company.

The Trustees who served during the year and up to the date of the approval of the financial statements were: Mr S Ebrahim

Mr A Walji Mr A Salehi Mr N Virji

Recruitment of new trustees:

In accordance with the constitution, the Trustees are elected at the Biennial General Meeting of the Community and shall hold office for four (4) years. Trustees may not hold office for more than two (2) consecutive terms (eight (8) years).

Any potential new Trustee is already familiar with charities and when appointed as a new Trustee has a full induction to the business of MKSIC Peterborough and its assets.

The charity is managed by the management committee who are elected at the Biennial General Meeting.

The management of the community is undertaken by the Management Committee which comprises of 17 members who administer the charity.

Connected charities

The charity has a close relationship with The Council of European Jamaats (COEJ) which is member of The World Federation of Khoja Shia lthna-Asheri Muslim Communities, a UK registered charity, number 282303. MKSIC Peterborough collects funds on behalf of COEJ which is the European body that channels donations and contributions to worthwhile causes and calamities throughout Europe and on to the World Federation for international causes.

Appreciation

The charity relies heavily on services of volunteers. The Trustees wish to thank the Jamaat staff and all the volunteers for their unstinting hard work during the financial year and their on-going efforts in the daily administration of numerous areas of work we do.

The Trustees also wish to acknowledge the immense quantity of high-quality work undertaken by staff, officers and volunteers in helping to achieve and deliver the charitable objectives of the charity.

We would like to recognise the passing of a long-standing active volunteer and Treasurer of the community, Brother Ramzan Walji. He worked tirelessly over the years in various capacities as a volunteer, including preparing and presenting the accounts of the charity.

This year, the accounts have been prepared by volunteers to help the year-end process and we would recommend the incoming team and its Treasurer to review and evaluate systems and procedures currently in place, with a view to improving current systems and utilise technology, which will produce reports effectively and efficiently.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees' Report and the accounts 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 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 of the charity for that year.

In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP (FRS102);

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and the group and 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.

Statement of disclosure to auditor

• a) So far as each Trustee is aware, there is no relevant audit information (information needed by the auditors in connection with preparing their report) of which the company’s auditors are unaware; and

• b) Each Trustee has taken all the steps that they ought to have taken as a Trustee in order to make themselves aware of all relevant audit information and to establish that the auditors are aware of that information.

The Trustees' report was approved by the Board of Trustees.

Mr A Walji Trustee

23 September 2023

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

INDEPENDENT AUDITOR’S REPORT

TO THE TRUSTEES OF THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

Opinion

We have audited the financial statements of The Muslim Khoja Shia lthna-Asheri Community of Peterborough (the 'charity') and its group for the year ended 31 March 2023, which comprises the consolidated statement of financial activities, the consolidated statement of financial position, the statement of financial position, the consolidated statement of cash flows, and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of lreland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the group's and charity's affairs as at 31 March 2023 and of its incoming resources and application of resources, for the year then ended; and

• 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) (lSAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's 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

ln auditing the financial statements, we have concluded that the 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 course of 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.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

INDEPENDENT AUDITOR’S REPORT (CONTINUED)

TO THE TRUSTEES OF THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• the information given in the financial statements is inconsistent in any material respect with the Trustees' report; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of Trustees

As explained more fully in the statement of Trustees' responsibilities, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they 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. ln 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 cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor 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 an auditor's report 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

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:

• we identified the laws and regulations applicable to the charity and the group through discussions with management and from our knowledge and experience of the sector and activities of the charity; and

• 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 charity, including the Charities (Accounts and Reports) Regulations 2008 and the Charities Act 2011; and

• we assessed the extent of compliance with the laws and regulations identified through making enquiries of management and inspecting documentation; and

• we identified laws and regulations which were communicated within the audit team and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the financial statements to material misstatements including obtaining an understanding of how fraud might occur by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

INDEPENDENT AUDITOR’S REPORT (CONTINUED)

TO THE TRUSTEES OF THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

Auditor's responsibilities for the audit of the financial statements (continued)

To address the risk of fraud through management bias and override of controls we performed the following procedures:

• we performed analytical procedures to identify any unusual or unexpected relationships; and

• we assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias; and

• we 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, agreeing financial statement disclosures to underlying supporting documentation and remaining alert for actual and potential litigation and claims during our other audit procedures. We did not identify any key audit matters relating to irregularities, including fraud.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. Auditing standards also limit the audit procedures required to identify noncompliance with laws and regulations.

A further description of our responsibilities is available on the Financial Reporting Council's website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Other matters

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with "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) (second edition – October 2019)” in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

This has been done in order for the financial statements to provide a true and fair view in accordance with current United Kingdom Generally Accepted Accounting Practice.

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, or for the opinions we have formed.

Deitch Cooper LLP

23 September 2023

Statutory Auditor	1stFloor, 3 Hobbs House
	Harrovian Business Village
	Bessborough Road
	Harrow
	Middlesex
	HA1 3EX

Deitch Cooper LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2023

Unrestricted funds 2023 Notes £ Income from: Donations and legacies 4 148,969 Charitable activities 5 25,644 Investments 6 120,550 Total income 295,163 Expenditure on: Raising funds 7 34,082 Charitable activities 8 193,336 ` Total resources expended 227,418 Revaluation of investment properties 233,554 Net incoming/(outgoing) resources before transfers 301,299 Gross transfers between funds 18 3,083,022 Net income for the year 3,384,301 Other recognised gains and losses - Net movement in funds 3,384,301 Fund balances at 1 April 2022 4,707,837 Fund balances at 31 March 2023 8,092,138	Restricted funds 2023 £ 169,614 137,326 - 306,940 - 257,863 257,863 - 49,077 (3,083,002) (3,033,925) - (3,033,925) 3,295,833 261,908	Total Unrestricted funds 2023 2022 £ £ 318,583 99,167 162,970 34,259 120,550 115,889 602,103 249,315 34,082 27,174 451,199 132,785 485,281 159,959 233,554 275,000 350,376 364,356 - (20,196) 350,376 344,160 - - 350,376 344,160 8,003,670 4,363,677 8,354,046 4,707,837	Restricted funds 2022 £ 142,624 39,138 - 181,762 - 184,584 184,584 - (2,822) 20,196 17,374 - 17,374 3,278,459 3,295,833	Total 2022 £ 241,791 73,397 115,889
				431,077
				27,174
				317,369
				344,543
				275,000
				361,534 -
				361,534 -
				361,534 7,642,136
				8,003,670

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2023

Notes Fixed assets Tangible assets 12 Investment properties 13 Current assets Debtors 14 Cash at bank and in hand Creditors: amounts falling due within one year 16 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 17 Net assets Funds Restricted funds 18.b Unrestricted funds General unrestricted funds 18.a Revaluation reserve 18.c	2023 £ £ 5,008,180 3,251,000 8,259,180 45,939 662,036 707,975 (454,818) 253,157 8,512,337 (158,291) 8,354,046 261,908 6,732,720 1,359,418 8,092,138 8,354,046	2022 £ £ 5,010,454 2,871,000 7,881,454 34,608 667,699 702,307 (402,699) 299,608 8,181,062 (177,392) 8,003,670 3,295,833 3,348,419 1,359,418 4,707,837 8,003,670

The accounts were approved by the Board of Trustees on 23 September 2023 and were signed on its behalf by:

Mr A Walji Trustee

Mr R Rahemtulla President

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CHARITY STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2023

Notes Fixed assets Tangible assets 12.a Investment properties 13.a Current assets Debtors 14.a Cash at bank and in hand Creditors: amounts falling due within one year 16.a Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 17.a Net assets Funds Restricted funds Unrestricted funds General unrestricted funds Revaluation reserve	2023 £ 1,708,673 561,979 2,270,652 (451,076) 5,391,825 1,359,418		£ 5,122,866 229,000 5,351,866 1,819,576 7,171,442 (158,291) 7,013,151 261,908 6,751,243 7,013,151	2022 £ £ 5,125,051 194,000 5,319,051 1,635,708 516,856 2,152,564 (436,203) 1,716,361 7,035,412 (177,392) 6,858,020 3,314,913 2,183,689 1,359,418 3,543,107 6,858,020

The accounts were approved by the Board of Trustees on 23 September 2023 and were signed on its behalf by:

Mr A Walji Mr R Rahemtulla Trustee President

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2023

Notes Cash flows from operating activities Cash generated from/(absorbed by) operations 22 Investing activities Purchase of tangible fixed assets Purchase of investment property Investment income received Net cash (used in)/generated from investing activities Financing activities Repayment of bank loans Net cash used in financing activities Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of year Effect of foreign exchange rates Cash and cash equivalents at end of year	2023 £ £ 118,896 (89,553) (146,446) 120,550 (115,449) (18,639) (18,639) (15,192) 667,699 9,529 662,036	2022 £ £ (9,283) (94,638) - 115,889 21,251 (20,844) (20,844) (8,876) 672,592 3,983 667,699

• 12 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

The Muslim Khoja Shia Ithna-Asheri Community of Peterborough (“the charity”) is an unincorporated charity formed under a constitution under a deed. The principal place of business is 2-8 Burton Street, Peterborough, Cambridgeshire, PE1 5HD.

1.1 Accounting convention

The accounts have been prepared in accordance with the charity's constitution, the Charities Act 2011 and the Charities SORP “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) (second edition – October 2019)”. The charity is a Public Benefit Entity as defined by FRS 102.

The accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 (effective 1 January 2019) rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

1.2 Basis of consolidation

The consolidated financial statements include the results for the year, of the charity and all associated companies that the group controls and their net assets at the year-end date. Transactions between associated undertakings are eliminated on consolidation. Control is the power to govern the financial and operating policies of the associated company so as to obtain benefits from its activities.

The group financial statements include the financial statements of The Muslim Khoja Shia Ithna-Asheri Community of Peterborough, The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation, 313 Project Ltd and 313 Trust Corporation Ltd. A separate Statement of Financial Activities, or income and expenditure account, for the charity itself is not presented.

1.3 Going concern

At the time of approving the accounts, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The Trustees have considered the levels of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the accounts.

1.4 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.

1.5 Incoming resources

All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants, including capital grants, where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant. If the terms of the grant impose conditions the grant is only recognised as income when the conditions are met. Grants received before the revenue recognition criteria are met are recognised as a liability.

• 13 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies (continued)

1.6 Resources expended

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates.

Raising funds comprise the costs associated with attracting voluntary income and for costs incurred for the investment properties.

Charitable expenditure comprises 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.

1.7 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings Straight line over 50 years Fixtures, fittings & equipment 25% straight line Plant and equipment 25% straight line

1.8 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially measured at cost and subsequently measured using the fair value model and stated at its fair value as at the reporting end date. The net gain or loss on revaluation is recognised in net income/(expenditure) for the year.

1.9 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Retirement benefit schemes

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.10 Cash and cash equivalents

Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11 Financial instruments

Financial assets and financial liabilities are recognised in the statement of financial position when the charity becomes party to the contractual provisions of the instrument. Financial instruments are measured at amortised cost or fair value, which is normally transaction price.

• 14 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. Key accounting estimates include the valuation of investment properties. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future i d

3.a Income Earned from other Activities

The following entities, all incorporated in England and Wales, form part of the group:

					Control	Control
	The Muslim Khoja Shia Ithna-Asheri Community		of Peterborough Trust		100 %	control of assets
	Corporation (company number	08382399)
	313 Project Ltd (company number 10122041)				100 %	control of assets
	313 Trust Corporation Ltd (company number 12319023)				100 %	control of assets
		313 Trust Corporation		313 Project Ltd		The Muslim Khoja Shia
		Ltd				Ithna-Asheri		Community
						of Peterborough			Trust
						Corporation
		2023	2022	2023	2022		2023		2022
		£	£	£	£		£		£
	Total income	-	-	-	71,590		-		-
	Total expenditure	-	-	(3,309)	(71,801)		-		-
	Net gains on investments	15,000	55,000	-	-		183,554		191,000
	Net gain/(loss) for year	15,000	55,000	(3,309)	(211)		183,554		191,000
	The assets and liabilities of
	the subsidiary were:
	Assets	450,000	435,000	100,648	194,501		2,752,065	2,440,705
	Liabilities	(333,165)	(333,165)	(104,698)	(195,242)		(1,409,247)	(1,281,441)
	Capital and Reserves	116,835	101,835	(4,050)	(741)		1,342,818	1,159,264
`

• 15 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

3.b Financial performance of the Charity

The Financial activities shown in the consolidated financial statements include those of the charity’s associates. A summary of the financial activities undertaken by the charity is set out below:

Income Expenditure on raising funds Expenditure on charitable activities Revaluation of investment properties Net income for the year / Net movement in funds Total funds brought forward Total funds carried forward	2023 £ 602,103 (34,082) (447,890) 35,000 155,131 6,858,020 7,013,151	2022 £ 452,971 (27,174) (312,994) 29,000
		141,803 6,716,217
		6,858,020

4 Donations and legacies

148,969 169,614 Unrestricted Restricted funds funds 2023 2023 £ £ Donations and gifts 119,936 169,614 Covid-19 related grants - - Membership fees 29,033 - Donations and gifts Al-Qaeem donations - 63,314 Panjatanpak nyaz - 119 Senior citizens - 8,307 Third party collections - 88,014 Foodbank - 9,860 Gift aid 38,776 - Jamaat funds (general) 46,499 - Majlis and nyaz 31,929 - Imam Zamin 1,834 - Chawda masumeen 898 - 119,936 169,614	148,969 169,614 Unrestricted Restricted funds funds 2023 2023 £ £ Donations and gifts 119,936 169,614 Covid-19 related grants - - Membership fees 29,033 - Donations and gifts Al-Qaeem donations - 63,314 Panjatanpak nyaz - 119 Senior citizens - 8,307 Third party collections - 88,014 Foodbank - 9,860 Gift aid 38,776 - Jamaat funds (general) 46,499 - Majlis and nyaz 31,929 - Imam Zamin 1,834 - Chawda masumeen 898 - 119,936 169,614	148,969 169,614 Unrestricted Restricted funds funds 2023 2023 £ £ Donations and gifts 119,936 169,614 Covid-19 related grants - - Membership fees 29,033 - Donations and gifts Al-Qaeem donations - 63,314 Panjatanpak nyaz - 119 Senior citizens - 8,307 Third party collections - 88,014 Foodbank - 9,860 Gift aid 38,776 - Jamaat funds (general) 46,499 - Majlis and nyaz 31,929 - Imam Zamin 1,834 - Chawda masumeen 898 - 119,936 169,614	318,583 99,167 142,624 Total Unrestricted Restricted funds funds 2023 2022 2022 £ £ £ 289,550 63,470 142,624 - 5,405 - 29,033 30,292 -	318,583 99,167 142,624 Total Unrestricted Restricted funds funds 2023 2022 2022 £ £ £ 289,550 63,470 142,624 - 5,405 - 29,033 30,292 -	318,583 99,167 142,624 Total Unrestricted Restricted funds funds 2023 2022 2022 £ £ £ 289,550 63,470 142,624 - 5,405 - 29,033 30,292 -	Total 2022 £ 206,094 5,405 30,292
						241,791
	- - - - - 38,776 46,499 31,929 1,834 898 119,936	63,314 119 8,307 88,014 9,860 - - - - - 169,614	63,314 119 8,307 88,014 9,860 38,776 46,499 31,929 1,834 898 289,550	- - - - - 26,805 24,021 10,915 1,729 - 63,470	72,300 25 1,500 68,799 - - - - - - 142,624	72,300 25 1,500 68,799 - 26,805 24,021 10,915 1,729 -
						206,094

• 16 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

4 Donations and legacies (continued)

Covid-19 related grants comprises amounts received directly from the government under the Coronavirus Job Retention Scheme. Amounts totalling £nil (2022: £5,405) were received to compensate for wages costs already incurred by the group during the Covid-19 pandemic.

Contribution of volunteers

The Charity benefits greatly from the involvement and support of many volunteers who assist with a wide range of charitable and support activities. In accordance with FRS102 and the Charities SORP (FRS102) the economic contribution of general volunteers is not recognised in the financial statements.

5 Charitable activities

Education Religious £ £ Muharram and Hazrat Abbas - 25,644 Income from Madressa - - Ziyarat - 100,159 Income from Education 1,000 - Youth - 1,129 Tabligh - 3,288 Income from burial scheme - - 1,000 130,220 Analysis by fund Unrestricted funds - 25,644 Restricted funds 1,000 104,576 1,000 130,220 For the year ended 31 March 2022 Unrestricted funds - 34,259 Restricted funds - 6,812 - 41,071 Income from investments Rental income	Burial Madressa Total 2023 Total 2022 £ £ £ £ - - 25,644 34,259 - 15,314 15,314 9,312 - - 100,159 - - - 1,000 - - - 1,129 725 - - 3,288 6,087 16,436 - 16,436 23,014 16,436 15,314 162,970 73,397 - - 25,644 16,436 15,314 137,326 16,436 15,314 162,970 - - 34,259 23,014 9,312 39,138 23,014 9,312 73,397 2023 2022 £ £ 120,550 115,889	Total 2022 £ 34,259 9,312 - - 725 6,087 23,014
		73,397
		34,259 39,138
		73,397

6 Income from investments

• 17 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

7 Raising funds

8	Charitable activities Education Religious £ £ Staff costs - - Third party collections - 51,458 ELC - 557 Panjatanpak nyaz - 1,194 Senior citizens - 102,311 Tabligh - 10,134 Bank loan interest and charges - 8,885 Youth - 2,691 Alim and mulyani - 17,178 Foodbank - 2,085 Education expenses 296 - Burial - - Madressa expenses - - Majlis and nyaz - 23,665 Muharram fund - 16,899 Events and welfare - 26,885 296 263,942 Share of support costs (see note 9) 8,566 158,091 8,862 422,033 Unrestricted Restricted funds funds 2023 2023 £ £ Fundraising and publicity Property agents 16,115 - Premises costs 13,063 - Other fundraising costs 4,904 - Total fundraising 34,082 - 34,082 -		Burial Madressa £ £ - - - - - - - - - - - - - - - - - - - - - - 9,891 - - 10,413 - - - - - - 9,891 10,413 - - 9,891 10,413 Total Unrestricted funds 2023 2022 £ £ 16,115 18,015 13,063 5,867 4,904 3,292 34,082 27,174 34,082 27,174	Total 2023 £ - 51,458 557 1,194 102,311 10,134 8,885 2,691 17,178 2,085 296 9,891 10,413 23,665 16,899 26,885 284,542 166,657 451,199 Restricted funds 2022 £ - - - - -	Total 2022 £ 18,015 5,867 3,292
					27,174
					27,174
					Total 2022 £ 11,563 58,582 - 1,689 100 22,093 5,907 700 22,900 - 50 13,689 4,802 5,783 14,690 5,547
					168,095 149,274
					317,369

• 18 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

8 Charitable activities (continued)

Education Religious £ £ Analysis by fund Unrestricted funds 8,566 184,770 Restricted funds 296 237,263 8,862 422,034	Burial Madressa £ £ - - 9,891 10,413 9,891 10,413	Total 2023 £ 193,336 257,863
		451,199

Senior citizen activities include Ziyarat expenses amounting to £100,159 (2022: £nil).

For the year ended 31 March 2022

Education Religious £ £ Staff costs 11,563 - Third party collections - 58,582 Panjatanpak nyaz - 1,689 Senior citizens - 100 Tabligh - 22,093 Bank loan interest and charges - 5,907 Youth - 700 Alim and mulyani - 22,900 Preschool expenses 50 - Burial - - Madressa expenses - - Majlis and nyaz - 5,783 Muharram fund - 14,690 Events and functions - 5,547 11,613 137,991 Share of support costs (see note 9) 5,859 143,415 17,472 281,406 Analysis by fund Unrestricted funds 5,859 126,926 Restricted funds 11,613 154,480 17,472 281,406	Burial Madressa £ £ - - - - - - - - - - - - - - - - - - 13,689 - - 4,802 - - - - - - 13,689 4,802 - - 13,689 4,802 - - 13,689 4,802 13,689 4,802	Total 2022 £ 11,563 58,582 1,689 100 22,093 5,907 700 22,900 50 13,689 4,802 5,783 14,690 5,547
		168,095 149,274
		317,369
		132,785 184,584
		317,369

• 19 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

9 Support costs

Staff costs Depreciation Secretariat Cleaning and waste General expenses Telephone and internet Bank charges Insurance Foreign exchange Repairs Light and heat Rates and water Audit fees Legal and professional Subscriptions Analysed between Charitable activities	Support costs 2023 £ 13,000 91,827 133 2,187 170 1,043 3,023 4,795 7,570 4,344 25,735 2,830 9,200 - 800 166,657 166,657	Total 2023 £ 13,000 91,827 133 2,187 170 1,043 3,023 4,795 7,570 4,344 25,735 2,830 9,200 - 800 166,657 166,657	Support costs 2022 £ 11,912 87,461 72 4,882 43 1,700 1,958 5,108 5,784 1,127 16,432 1,399 9,440 1,156 800 149,274 149,274	Total Basis of allocation 2022 £ 11,912Usage 87,461 Property usage 72Usage 4,882Usage 43Usage 1,700Usage 1,958Bank transactions 5,108Area 5,784Directly attributable 1,127Usage 16,432Area 1,399Area 9,440Directly attributable 1,156Directly attributable 800Directly attributable 149,274 149,274

10 Trustees

None of the Trustees (nor any persons connected with them) received any remuneration or benefits from the charity during the year (2023: £nil).

• 20 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

11 Employees

Number of employees

The average monthly number of employees during the year was:

Nursery Caretaker Others Employment costs Wages and salaries Social security costs Oher pension costs	2023 Number - 1 2 3 2023 £ 12,621 - 379 13,000	2022 Number 2 1 3
		6
		2022 £ 23,001 - 474
		23,475

There were no employees whose annual remuneration was £60,000 or more.

12 Tangible fixed assets - The group

Tangible fixed assets - The group
Cost or valuation At 1 April 2022 Additions At 31 March 2023 Depreciation and impairment At 1 April 2022 Depreciation charged in the year At 31 March 2023 Carrying amount At 31 March 2023 At 31 March 2022	Land and buildings Plant and equipment Fixtures, fittings & equipment £ £ £ 5,591,038 1,260 65,608 74,781 - 14,772 5,665,819 1,260 80,380 584,594 1,149 61,709 87,423 90 4,314 672,017 1,239 66,023 4,993,802 21 14,357 5,006,444 111 3,899	Total £ 5,657,906 89,553
		5,747,459
		647,452 91,827
		739,279
		5,008,180
		5,010,454

• 21 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

12 Tangible fixed assets (continued)

Land and buildings include revalued assets with a carrying amount of £2,021,498 (2022: £1,979,502). The most recent revaluation had an effective date of 31 March 2020 and was made by a professional valuer not connected to the charity.

At 31 March 2023, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £523,412 (2022: £464,572).

12.a Tangible fixed assets - The charity

Cost or valuation At 1 April 2022 Additions At 31 March 2023 Depreciation and impairment At 1 April 2022 Depreciation charged in the year At 31 March 2023 Carrying amount At 31 March 2023 At 31 March 2022	Land and buildings £ 5,705,745 74,781 5,780,526 584,594 87,423 672,017 5,108,509 5,121,152	Fixtures, fittings & equipment £ 65,608 14,772 80,380 61,709 4,314 66,023 14,357 3,899	Total £ 5,771,353 89,553
			5,860,907
			646,303 91,737
			738,040
			5,122,866
			5,125,051

Land and buildings include revalued assets with a carrying amount of £2,021,498 (2022: £1,979,502). The most recent revaluation had an effective date of 31 March 2020 and was made by a professional valuer not connected to the charity.

At 31 March 2023, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £523,412 (2022: £464,572).

• 22 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

13 Investment property - The group

Fair value At 1 April 2022 Additions through external acquisition Net gains and losses through fair value adjustments At 31 March 2023	2023 £ 2,871,000 146,446 233,554
	3,251,000

Investment property comprises freehold property held for rental and capital appreciation. The fair value of the investment property has been arrived at from reviewing market evidence from sources not connected with the charity. The valuation is by the Trustees on an open market value basis. The most recent professional valuation by an independent valuer had an effective date of 31 March 2020.

At 31 March 2023, had the investment property been carried at historic cost rather than on a fair value basis the carrying amount would have been £1,602,988 (2022: £1,456,542).

13.a Investment property - The charity

Fair value At 1 April 2022 Net gains and losses through fair value adjustments At 31 March 2023	2023 £ 194,000 35,000
	229,000

Investment property comprises freehold property held for rental and capital appreciation. The fair value of the investment property has been arrived at from reviewing market evidence from sources not connected with the charity. The valuation is by the Trustees on an open market value basis. The most recent professional valuation by an independent valuer had an effective date of 31 March 2020.

At 31 March 2023, had the investment property been carried at historic cost rather than on a fair value basis the carrying amount would have been £50,095 (2022: £50,095).

14 Debtors - The group

Amounts falling due within one year: Other debtors Prepayments and accrued income	2023 £ 40,035 5,904 45,939	2022 £ 32,296 2,312
		34,608

Other debtors due within one year includes £690 (2022: £690) stock of religious ornaments, £38,776 (2022: £26,805) of gift aid tax claims and other taxes recoverable of £569 (2022: £4,801).

There were no amounts falling due after one year (2022: £nil).

• 23 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

14.a Debtors - The charity

Amounts falling due within one year: Amounts owed by fellow group undertakings Other debtors Prepayments and accrued income Amounts falling due after one year: Amounts owed by fellow group undertakings Total debtors	2023 £ 100,955 39,466 5,904 146,325 1,562,348 1,708.673	2022 £ 190,000 27,495 2,312
		219,807
		1,415,901
		1,635,708

Other debtors due within one year includes £690 (2022: £690) stock of religious ornaments and £38,776 (2022: £26,805) of gift aid tax claims. Amounts due from fellow group undertakings are interest free.

15 Loans and overdrafts

Bank loans (secured) Payable within one year Payable after one year	2023 2022 £ £ 180,066 198,705 21,775 21,313 158,291 177,392

The long-term bank loans are secured by fixed charges over the investment properties held by The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation. A market rate of interest is charged.

16 Creditors: amounts falling due within one year - The group

Notes Bank loans (secured) 15 Trade creditors Other taxation and social security Other creditors Accruals and deferred income	2023 £ 21,775 1,742 289 422,892 8,120 454,818	2022 £ 21,313 1,742 - 370,204 9,440
		402,699

Included within other creditors are private loans received from community members of £422,303 (2022: £370,204). These loans have no fixed term, are interest free and are repayable on demand.

• 24 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

16.a Creditors: amounts falling due within one year - The charity

Borrowings Other taxation and social security Other creditors Accruals and deferred income	2023 £ 21,775 289 422,892 6,120 451,076	2022 £ 21,313 - 406,704 8,186
		436,203

Borrowings represents an obligation to a fellow group undertaking.

Included within other creditors are private loans received from community members of £422,303 (2022: £370,204) and amounts due to a fellow group undertaking totalling £nil (2022: £36,500). These loans have no fixed term, are interest free and are repayable on demand.

17 Creditors: amounts falling due after more than one year - The group

Notes Bank loans (secured) 15 Creditors: amounts falling due after more than one year - The charity Borrowings	2023 2022 £ £ 158,291 177,392 2023 2022 £ £ 158,291 177,392

17.a Creditors: amounts falling due after more than one year - The charity

Borrowings represents an obligation to a fellow group undertaking.

18.a Unrestricted funds

	Movement in funds	Movement in funds	Movement in funds
	Balance at 1	Income	**Expenditure **	Transfers	Revaluation	Balance at 31
	April 2022				gains	March 2023
	£	£	£	£	£	£
General fund	3,348,419	295,163	(227,418)	3,083,002	233,554	6,732,720
	3,348,419	295,163	(227,418)	3,083,002	233,554	6,732,720

The general fund comprises the “free reserves” after allowing for any other unrestricted funds. Revaluation gains represents a revaluation of investment properties to fair value.

• 25 -

DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

18.b Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Balance at 1 April 2022 £ Al-Qaeem 3,094,904 Burial 130,830 Panjatanpak nyaz 21,699 Education - Senior citizens 1,400 Third party collections 36,861 ELC 557 Youth 25 Madressa 9,557 Tabligh - Foodbank - 3,295,833 Balance at 1 April 2021 £ Al-Qaeem 3,093,921 Burial 121,505 Panjatanpak nyaz 23,363 Education 7,422 Senior citizens - Third party collections 26,644 ELC 557 Youth - Madressa 5,047 Tabligh - 3,278,459

Movement in funds Income Expenditure Transfers Balance at 31 March 2023 £ £ £ £ 63,314 (66,833) (3,091,385) - 16,436 (9,891) - 137,375 119 (1,194) - 20,624 1,000 (296) - 704 108,466 (102,312) - 7,554 88,014 (51,457) - 73,418 - (557) - - 1,129 (2,691) 1,537 - 15,314 (10,413) - 14,458 3,288 (10,134) 6,846 - 9,860 (2,085) - 7,775 306,940 (257,863) (3,083,002) 261,908 Movement in funds Income Expenditure Transfers Balance at 31 March 2022 £ £ £ £ 72,300 (71,317) - 3,094,904 23,014 (13,689) - 130,830 25 (1,689) - 21,699 - (11,613) 4,191 - 1,500 (100) - 1,400 68,799 (58,582) - 36,861 - - - 557 725 (700) 25 9,312 (4,802) - 9,557 6,087 (22,092) 16,005 - 181,762 (184,584) 20,196 3,295,833

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Description of funds

Al-Qaeem donations - donations specific for the building of the new community centre.

ELC - donations specific for the use of the English Lecture Committee.

Youth - donations given for the youths of the community to enable them to run their programs.

Madressa - funds given specifically for the use of the religious school.

Burial - relates to subscriptions given specifically for the use of future burial needs.

Panjatanpak nyaz - donations collected specifically for the provisions of feasts for the holy panjatans.

Education - funds collected specifically for the use of educational activities.

Senior citizens – specific donations and funds for senior citizen activities.

Tabligh - specific donations for the propagation of the message of Islam.

Third party collections - religious collections specifically collected on behalf of The World Federation and The Council of European Jamaats.

Foodbank – restricted grants and donations towards a foodbank.

Description of the transfers

Transfers are made from unrestricted funds to restricted funds to cover deficits of restricted funds, within the objectives of the charity.

In addition, a transfer has been made of the balance of the Al-Qaeem project restricted fund now the project is complete. The project has been completed using restricted donations but the Al-Qaeem centre itself does not have restrictions on its use.

18.c Revaluation reserve

Balance at 1 April 2022 £ Freehold property 1,359,418 1,359,418	Movement in funds Income Expenditure Revaluation gain/(loss) TransfersBalance at 31 March 2023 £ £ £ £ £ - - - - 1,359,418 - - - - 1,359,418

Freehold property – gains and losses arising on revaluation of freehold land and buildings other than investment property. This comprises the Mosque building and properties held for use by the charity.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

19 Analysis of net assets between funds

Unrestricted Restricted funds funds 2023 2023 £ £ Fund balances at 31 March 2023 are represented by: Tangible assets 5,008,180 - Investment properties 3,251,000 - Current assets/(liabilities) (8,751) 261,908 Long term liabilities (158,291) - 8,092,138 261,909	Total Unrestricted Restricted funds funds 2023 2022 2022 £ £ £ 5,008,180 1,983,401 3,027,053 3,251,000 2,871,000 - 253,157 30,828 268,780 (158,291) (177,392) - 8,354,046 4,707,837 3,295,833	Total 2022 £ 5,010,454 2,871,000 299,608 (177,392)
		8,003,670

20 Related party transactions

There were no disclosable related party transactions during the year (2022 - none).

21 Connected parties

The charity, although independent, is involved with a wider network of charities. It is a member of The Council of European Jamaats (COEJ) which represents the charity at the global organisation, The World Federation of Khoja Shia Ithna-Asheri Muslim Communities (WF). Both charities are registered with the Charities Commission in the UK. WF represents Peterborough Jamaat when dealing with international work which includes disaster and general relief outside the UK. During the year, the amounts collected on their behalf were £88,014 (2022: £68,799) and payments of £51,457 (2022: £58,582) were made during the period.

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DocuSign Envelope ID: 62ED372E-4EEE-4C8D-A0C8-373FAA59B953

THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF PETERBOROUGH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

22 Cash generated from operations

Cash generated from operations
			2023	2022
			£	£
Surplus for the year			350,376	361,534
Adjustments for:
Investment income recognised in Statement of Financial	Activities		(120,550)	(115,889)
Foreign exchange differences			7,570	5,784
Fair value gains and losses on investment properties			(233,554)	(275,000)
Depreciation and impairment of tangible fixed assets			91,827	87,461
Movements in working capital:
Decrease in debtors			(11,331)	5,965
(Decrease) in creditors			34,558	(79,138)
Cash generated from/(absorbed by) operations			118,896	(9,283)
Analysis of changes in net funds
	At 1 April	Cash flows	Foreign	At 31 March
	2022		exchange	2023
			movements
	£	£	£	£
Cash at bank and in hand	667,699	(15,192)	9,529	662,036
Loans falling due within one year	(21,313)	(462)	-	(21,775)
Loans falling due after more than one year	(177,392)	19,101	-	(158,291)
	468,994	3,447	9,529	481,970

23 Analysis of changes in net funds

24 Guarantee

Under the terms of a bank loan between Barclays Bank and The Muslim Khoja Shia Ithna-Asheri Community of Peterborough Trust Corporation, the group is required to provide a security of investment properties with a market value of at least £950,000.

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