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2022-03-31-accounts

Charity registration number 290494

Company registration number 1857716 (England and Wales)

CENTRAL MOSQUE OF BRENT CHARITY ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

CENTRAL MOSQUE OF BRENT CHARITY

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr Nazir Ahmad Nazir
Mr Dil Mohammad
Mr Zaffar Iqbal
Mr Mohammad Nazir
Mr Abdul Rauf
Mr Nazar Hussain
Mr Tariq Mahmood Dar
Dr Raja Amjid Riaz
Secretary Mr Zaffar Iqbal
Charity number 290494
Company number 1857716
Principal address Marley Walk
Station Parade
Willesden Green
London
NW2 4PU
Registered office Marley Walk
Station Parade
Willesden Green
London
NW2 4PU
Independent examiner Reddy Siddiqui LLP
183-189 The Vale
Acton
London
W3 7RW

CENTRAL MOSQUE OF BRENT CHARITY

CONTENTS

Page
Trustees report 1 - 2
Independent examiner's report 3
Statement of financial activities 4
Balance sheet 5
Notes to the financial statements 6 - 13

CENTRAL MOSQUE OF BRENT CHARITY

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

The Trustees present their annual report and financial statements for the year ended 31 March 2022.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's [governing document], the Companies Act 2006 and "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

The principal activity of the charity during the year continued to be that of an established mosque and religious school.

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

The results for the year are shown in the statement of financial activities including income and expenditure account.

Achievements and performance

The financial year 2021/22 has like for all charities been very challenging financially. The extra cost of PPE and safety equipment and reduced donations etc has been noted. Covid 19 has left its mark on the board of Trustees and on the community at large. With significant lockdowns and closures and major changes in social distancing, opening hours and restrictions in wash facilities this has had huge impact on the running of the Mosques and its activities. Major adjustment included a truncated Tarawei prayers and early closures and late openings.

Alternatively the good Will in the congregation and volunteers was on display in abundance. The vaccination programme went from strength to strength administering over 11,000 doses and we are continuing with the Autumn Booster. Our Community Diabetic Days, Lung seminar as well as the Children’s Educational Support Classes, community Gym and food bank sessions. Thousands of members of the local community are benefiting from this great work and long may it continue.

It is planned to replace the deceased Trustees Mohammad Riaz and Mohammad Iqbal by Haidar Zaman and Nayyar Iqbal and to continue to further increase the amount of work carried out at the Mosque wether that religious, social or Health related.

Next year will see challenges with a stand alone Community Health Centre funded by winning a very tough grant application, make progress with redevelopment of the Car park space and see the introduction of a Full time English speaking Imaam who will be resident On site.

Financial review

Please refer to statement of financial activies.

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Structure, governance and management

The company is a registered charity and a company limited by guarantee without having any share capital.

CENTRAL MOSQUE OF BRENT CHARITY

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

The Trustees, who are also the directors for the purpose of company law, who served during the year were: Mr Nazir Ahmad Nazir

Mr Mohammad Zaffar Iqbal (Resigned 3 December 2021) Mr Dil Mohammad Mr Zaffar Iqbal Mr Mohammad Nazir Mr Abdul Rauf Mr Nazar Hussain Mr Tariq Mahmood Dar Dr Raja Amjid Riaz

The charity is single organisation.

There are no connected charities.

The Trustees report was approved by the Board of Trustees.

Mr Zaffar Iqbal Trustee 14 December 2022

Dr Raja Amjid Riaz BSc FRCS(I) FRCS(Eng) PhD Health and Social Programme Lead Trustee

CENTRAL MOSQUE OF BRENT CHARITY

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF CENTRAL MOSQUE OF BRENT CHARITY

I report to the Trustees on my examination of the financial statements of Central Mosque of Brent Charity (the charity) for the year ended 31 March 2022.

Responsibilities and basis of report

As the Trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of , which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Reddy Siddiqui LLP

183-189 The Vale Acton London W3 7RW

Dated: 14 December 2022

CENTRAL MOSQUE OF BRENT CHARITY

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£
Income and endowments from:
Donations and legacies
3
194,266
35,127
Charitable activities
4
21,829
-
Investments
5
-
-
Other income
6
61,172
-
Total income
277,267
35,127
Expenditure on:
Charitable activities
Charitable Expenditure
7
122,910
4,178
Total charitable expenditure
122,910
4,178
Net income for the year/
Net movement in funds
154,357
30,949
Fund balances at 1 April 2021
4,038,334
6,197
Fund balances at 31 March
2022
4,192,691
37,146
Total Unrestricted
Restricted
funds
funds
2022
2021
2021
£
£
£
229,393
92,663
-
21,829
25,293
-
-
227
-
61,172
16,003
-
312,394
134,186
-
127,088
92,140
6,197
127,088
92,140
6,197
185,306
42,046
(6,197)
4,044,531
4,002,485
6,197
4,229,837
4,044,531
-
Total
2021
£
92,663
25,293
227
16,003
134,186
98,337
98,337
35,849
4,008,682
4,044,531

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

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

CENTRAL MOSQUE OF BRENT CHARITY

BALANCE SHEET

AS AT 31 MARCH 2022

Notes
Fixed assets
Tangible assets
12
Investment properties
13
Current assets
Cash at bank and in hand
Creditors: amounts falling due within
one year
15
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after
more than one year
Net assets
Income funds
Restricted funds
Unrestricted funds
2022
£
£
3,394,611
61,567
3,456,178
777,099
(1,440)
775,659
4,231,837
(2,000)
4,229,837
37,146
4,192,691
4,229,837
2021
£
£
3,424,680
-
3,424,680
622,571
(720)
621,851
4,046,531
(2,000)
4,044,531
-
4,044,531
4,044,531

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2022.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 14 December 2022

Dr Raja Amjid Riaz

Trustee

Company registration number 1857716

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

Charity information

Central Mosque of Brent Charity is a private company limited by guarantee incorporated in England and Wales. The registered office is Marley Walk, Station Parade, Willesden Green, London, NW2 4PU.

1.1 Accounting convention

The accounts have been prepared under the historical cost convention.

The entire donation collected is unrestricted. To reflect this the reserve has been transferred to unrestricted reserve.

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

The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

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 financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

Liabilities are recognised when resources are expended. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both the direct pay and non-pay costs and support costs relating to those activities.

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include its audit fees and costs linked to the strategic management of the charity including trustee expenses.

1.6 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 60% of the value over 100 years Fixtures, fittings & equipment 20% Reducing balance method Computers Enter depreciation rate via StatDB - cd198

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.

[Property rented to a group entity is accounted for as tangible fixed assets.]

1.8 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.9 Cash and cash equivalents

Cash and cash equivalents 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 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.

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. 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 periods.

3 Donations and legacies

Unrestricted
Restricted
funds
funds
2022
2022
£
£
Donations and gifts
194,266
35,127
Brent council (LFTC)
-
-
194,266
35,127
Total
Unrestricted
funds
2022
2021
£
£
229,393
73,913
-
18,750
229,393
92,663
Total
Unrestricted
funds
2022
2021
£
£
229,393
73,913
-
18,750
229,393
92,663
92,663

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

4 Charitable activities

2022 2021
£ £
Charitable rental income 21,829 25,293
5 Investments
Total Unrestricted
funds
2022 2021
£ £
Interest receivable - 227
6 Other income
Unrestricted Unrestricted
funds funds
2022 2021
£ £
Other income 61,172 16,003

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

7 Charitable activities

Staff costs
Depreciation and impairment
Insurance
Light & Heat
Repairs & Maintenance
Telephone & Fax
Sundry Expenses
Bank Interest & charges
Cleaning
Charitable expenditure heading 10
Charitable expenditure heading 11
Charitable expenditure heading 12
Share of governance costs (see note 8)
Analysis by fund
Unrestricted funds
Restricted funds
For the year ended 31 March 2021
Unrestricted funds
Restricted funds
2022
£
7,095
30,779
10,179
23,836
21,565
1,465
19,707
1,646
5,772
291
3,541
492
126,368
720
127,088
122,910
4,178
127,088
92,140
6,197
98,337
2021
£
-
23,955
15,190
13,463
36,460
2,185
2,932
493
2,939
-
-
-
97,617
720
98,337
92,140
6,197
98,337

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

8 Support costs

Governance
costs
£
Accountancy
720
720
Analysed between
Charitable activities
720
2022
£
720
720
720
2021
£
720
720
720

Governance costs includes payments to the accountants of £600+vat (2021- £600+vat) for accountancy fees.

9 Trustees

None of the Trustees (or any persons connected with them) received any remuneration during the year.

10 Employees

There were no employees during the year.

Employment costs 2022 2021
£ £
Wages and salaries 7,095 -

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

11 Taxation

The charitable company is exempt from corporation tax on its charitable activities.

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

12
Tangible fixed assets
Cost
At 1 April 2021
Additions
At 31 March 2022
Depreciation and impairment
At 1 April 2021
At 31 March 2022
Carrying amount
At 31 March 2022
At 31 March 2021
13
Investment property
Fair value
At 1 April 2021
Additions through external acquisition
At 31 March 2022
Land and
buildings
£
3,588,009
-
3,588,009
230,403
230,403
3,357,606
3,415,854
Fixtures,
fittings &
equipment
£
70,625
-
70,625
47,480
47,480
23,145
8,826
Computers
£
-
17,325
17,325
3,465
3,465
13,860
-
Total
£
3,658,634
17,325
3,675,959
281,348
281,348
3,394,611
3,424,680
2022
£
-
61,567
61,567

Investment property comprises [XXX]. The fair value of the investment property has been arrived at on the basis of a valuation carried out at [XXX] by [XXX] Chartered Surveyors, who are not connected with the charity. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

Freehold
Long leasehold
Short leasehold
14
Loans and overdrafts
Qard-e-Hasna
Payable after one year
-
-
-
2022
£
2,000
2,000
-
-
-
2021
£
2,000
2,000

Other loans is Qard-e-Hasna (interest free loan)

CENTRAL MOSQUE OF BRENT CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

15 Creditors: amounts falling due within one year

15
Creditors: amounts falling due within one year
Accruals and deferred income
16
Analysis of net assets between funds
Unrestricted
funds
Restricted
funds
2022
2022
£
£
Fund balances at 31
March 2022 are
represented by:
Tangible assets
3,394,611
-
Investment properties
61,567
-
Current assets/(liabilities)
744,710
30,949
Long term liabilities
(2,000)
-
4,198,888
30,949
Total
Unrestricted
funds
2022
2021
£
£
3,394,611
3,424,680
61,567
-
775,659
621,851
(2,000)
(2,000)
4,229,837
4,044,531
2022
£
1,440
Restricted
funds
2021
£
-
-
-
-
-
2021
£
720
Total
2021
£
3,424,680
-
621,851
(2,000)
4,044,531