## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
_**Charity Number: 508738**_
## **Financial Statements**
_for the period ended_
## **31 December 2020**
## **Prepared by:**
**HLA & MARLEY ACCOUNTANTS CHARTERED CERTIFIED ACCOUNTS 21 HYDE PARK ROAD LEEDS, LS6 1PY Tel: 01132-47 0505 Email:info@hlaaccountants.co.uk**
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Charity Number: 508738**
## **Report and Accounts**
## **Contents**
|Legal and Administrative Information|1|
|---|---|
|Trustees Responsibilities|2|
|Trustees Report|3-4|
|Examiner's Report|5|
|Statement of Financial Activities|6|
|Summary of Income and Expenditure|7|
|Balance Sheet|8|
|Notes to the Financial Statements|9-13|
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Legal and Administrative Information**
**Chatity's Registration Number:** 508738 **Charity's Registered Office:** 4 Woodview Road Leeds LS11 6LE **Chairman:** Mr Mohammad Arif Butt **Treasurer:** Mr Shafaqat Alam **Trustees:** Mr Mohammad Arif Butt Mr Zafran Mohammed Razaq Mr Mohammed Asif Butt Mr Thierno Salman Diallo Mr Mohammed Rafi Butt **Accountants:** HLA & Marley Accountants . Chartered Certified Accountants 21 Hyde Park Road Leeds LS6 1PY **Bankers:** HSBC Queen Street, Morley Leeds LS27 8DX
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **TRUSTEES RESPONSIBILITY**
**Respective responsibilities of the trustees in relation to the financial statements of THE MUSLIM ASSOCIATION OF LEEDS (11) for the period ended 31 December 2019.**
Law applicable to charities in England and Wales requires the trustees to prepare financial statements of each financial year which give a true and fair view of the state of the charity's financial activities during the year and of its financial position at the end of the year.
In preparing these financial statements the trustees are required to:
- Select suitable accounting policies and then apply them consistently.
- Make judgements and estimates that are responsible and prudent.
- Prepare the financial statements on the going concern basis, unless it is
- inappropriate to presume that the charity will continue in the 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 which enable them to ensure that the financial statements comply with the Charity Act 1993. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention of and detection of fraud and other irregularities.
## **Approved by the trustees on 15 July 2021 and signed on their behalf by:**
**Signature:**
## **Mr Mohammad Arif Butt**
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Trustees Annual Report for the year ended 31 December 2021**
## **History, objectives and activities of the Trust**
The Muslim Association was established about 42 years ago to provide a place of worship for the Muslim community of Beeston. The building was purchased entirely from the donations given by the Muslim community. Both the initial donations and additional amounts donated since have been under terms, which allow the trustees either to retain the amounts as capital or to spend them. The Trust deed gives the trustees the power to apply the funds in such a manner as they think fit to or for the benefit of any charitable object or purpose. The trustees currently have a policy of supporting following types of activity:
- 1 Maintaining the Mosque
- 2 Promoting Islam amongst Muslims
- 3 Providing supplementary classes for children
- 4 Community Cohesion Cafe for the ladies; and
- 5 Providing religious education to Muslim Children
## **Management and governance arrangements**
The trust deed provides for a minimum of three and a maximum of eight trustees. Where there is a requirement for new trustees, these would be identified and appointed by the remaining trustees. The chair of trustees is responsible for the induction of any new trustee, which involves awareness of the trustee's responsibilities, the governing document, administrative procedures, the history, and philosophical approach of the charity. The existing trustees have held office for over 5 years.
## **Procedures and policy**
The trustees normally meet once a month to consider, review and discuss any concerning or pressing matters involving the running of the Mosque. The trustees will also annually check and sign off the Child Protection and Equal Opportunities Policy. The trustees will also utilise this time to review any feedback that has been received over the course of the previous month. The trustees have various policies in place which are communicated to all concerned.
## **Achievements and performance of the Trust**
The trustees always seek feedback on the actual use of the donations and the achievements made, including those given by individuals. During the year, the Trust has been able to continue its support for the Muslim community through various methods and resources, the continued support of the education of the Muslim Children and creating the awareness amongst Muslims in general of how they integrate within the British values. The trust have throughout the previous year created classes with the imam giving lectures on core beliefs of the Islamic way of life from the Quran. The trustees have also begun classes for the elderly to develop and practice their faith by encouraging them to engage with the imam and to learn and understand Arabic.
We have also recently appointed an external organisation to better and improve the extracurricular classes in Islamic Studies held every evening for boys and girls. We have seen a significant improvement in discipline, behaviour and punctuality since the appointment of external organisation.
## **Plans**
The trustees have decided to develop the previous site and turn it into a rental facility which will help fund the running of the mosque. This year the mosque plan to maximise the new mosque by agreeing to open a nursery for the children between the age of 0 - 5 years old and are in advance negotiations with various independent partners.
The trustees will also issue tenders for the refurbishment of the facility. The tender will include of painting and decorating, retiling wudu facilities, replacing seating in wudu areas all due to general wear and tear.
We are hoping to begin the process of youth committee appointments by the end of the year. The objectives are to involve youngsters in the organisation.
## **Statement of trustees' responsibilities**
Charity law requires the trustees to prepare financial statements for each financial year, which show a true and fair view of the state of affairs of the charity, and its financial activities for that period. In preparing those financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any 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 operational existence.
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 1993. 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.
## **Independent Examiner**
The trustees intend to ask the existing accountants to undertake the independent examination of the Trust in the following year.
## **Approved by the trustees on 30 July 2021 and signed on their behalf by:**
## **Signature:**
## **Mr Mohammad Arif Butt**
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Independent examiner's report**
We report on the accounts for the period ended 31 December 2020 set out on page 6 to 13.
## **Respective responsibilities of the trustees and independent examiner**
The charity's trustees are responsible for the preparation of accounts. The charity's trustees consider that an audit is not required for this period under section 43(2) of the Charities Act 1993 and that an independent examination is needed.
It is our responsibility to:
- examine the accounts (under section 43(3) (a) of the 1993 Act)
- to follow the procedures laid down in the General Direction given by the Charities Commission (under section 43(7)(b) of the 1993 Act); and
- to state whether particular matters have come to my attention.
## **Basis of Independent Examiner's Report**
Our examination was carried out in accordance with the General Directions given by the Charities Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently we do not express an audit opinion in the view given by the accounts.
## **Independent Examiner's Statement**
In connection with our examination, no matter has come to our attention: which give us reasonable cause to believe that in any material respect the requirements:
- to keep accounting records in accordance with section 41 of the 1993 Act: and
- to prepare accounts which accord with the accounting records and comply with
- the accounting requirements of the 1993 Act have not been met.
HLA & Marley Accountants. Certified Accountants, 21 Hyde Park Road , Leeds , LS6 1PY
16 July 2021
## **THE MUSLIM ASSOCIATION OF LEEDS (11) Statement of Financial Activities For the period ended 31 December 2020**
||**Notes**|**Unrestricted**
**Funds**|**Restricted**
**Funds**|**Total Funds**
**2020**|**Total Funds**
**2019**|
|---|---|---|---|---|---|
|||**£**|**£**|**£**|**£**|
|**Incoming resources**||||||
|Incoming resources from generated||||||
|funds:||||||
|Voluntary income:||||||
|**Donations**|2|11,105|-|11,105|44,125|
|Activities for generating funds:||||||
|Fund raising events||-|-|-|-|
|Incoming resources from charitable||||||
|activities:|||||-|
|**Other income**|3|28,650|-|28,650|43,065|
|**Total incoming resources**||39,755|-|39,755|87,190|
|**Resources expended**||||||
|Costs of generating funds||||||
|Charitable activities|4|22,346|-|22,346|28,184|
|Governance costs|5|27,200|-|27,200|76,107|
|**Total resources expended**||49,546|-|49,546|104,291|
|Net incoming/(outgoing) resources||||||
|before transfers||(9,791)|-|(9,791)|(17,101)|
|Transfers between funds||-|-|-|-|
|Net incoming resources before other||||||
|recognised gains and losses||(9,791)|-|(9,791)|(17,101)|
|Gains/(losses) on investment assets||-|-|-|-|
|**Net movement in funds**||(9,791)|-|(9,791)|(17,101)|
|Total funds at 31 December 2019||796,945|-|796,945|814.046|
|**Total funds at 31 December 2020**||**787,154**|**-**|**787,154**|**814,046**|
## **THE MUSLIM ASSOCIATION OF LEEDS (11) Summary of Income & Expenditure Account For the period ended 31 December 2020**
||**Continuing**
**Operations**
**Discontinued**
**Operations**
**Funds**
**2020**
**Funds**
**2019**|
|---|---|
|**Income**
Income from grants, donations and
trading
Investment Income
Surplus/(deficit) on the disposal of
tangible fixed assets
Net realised gains/(losses) on the disposal
of investments
Transfer from endowment fund
**Total Income**
**Total Expenditure**
**Surplus/(deficit) for the year**|£
£
£
£
39,755
39,755
87,190
-
-
-
-
-
-
-
-
-
-
-
-|
||39,755
-
39,755
87,190
49,546
49,546
104,291|
||(9,791)
-
(9,791)
(17,101)|
## **THE MUSLIM ASSOCIATION OF LEEDS (11) Balance Sheet As At 31 December 2020**
|**Notes**
**Fixed assets**
Tangible fixed assets
6
**Current assets**
Debtors (Dewsbury Maraz)
Cash at bank (current a/c)
Cash in hand
**Current liabilities**
Creditors : amount falling due
within one year
7
**Net current assets**
**Total assets less current**
**liabilities**
**Long Term liabilities**
Creditors : amount falling due
after more than one year
8
**Net Assets**
**Funds**
Restricted
9
Unrestricted
10
**Total funds**|**2020**
£
£
772,911
-
31,477
12,236
43,713
-
43,713
816,624
(29,470)
787,154
-
787,154
787,154|**2020**
£
£
772,911
-
31,477
12,236
43,713
-
43,713
816,624
(29,470)
787,154
-
787,154
787,154|**2020**
£
£
772,911
-
31,477
12,236
43,713
-
43,713
816,624
(29,470)
787,154
-
787,154
787,154|**2019**
£
£
789,656
1,500
17,448
17,811
36,759
----
36,759
826,415
(29,470)
796,945
-
796,945
796,945|**2019**
£
£
789,656
1,500
17,448
17,811
36,759
----
36,759
826,415
(29,470)
796,945
-
796,945
796,945|
|---|---|---|---|---|---|
||
43,713
-|||
36,759
----||
|||||||
||||816,624
(29,470)
||826,415
(29,470)|
||||787,154||796,945|
||||-
787,154||-
796,945|
||||787,154||796,945|
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Notes forming part of the Financial Statements for the period ended 31 December 2019**
## **1. Accounting Policies**
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and in the preceding year.
## **(a) Basis of accounting**
The financial statements have been prepared under the historical cost convention and in accordance with the Companies Act 2006 and the Statement of Recommended Practice : Accounting and Reporting by the Charities issued in March 2005.
## **(b) Fund accounting**
· Unrestricted funds are available for the use at the discretion of the trustees in furtherance of the general objectives of the charity.
- Designated funds are unrestricted funds earmarked by the Management Committee for particular
- purposes.
- Restricted funds are subjected to restrictions on their expenditure imposed by the donor or
- through the terms of an appeal.
## **(c) 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.
## **(d) Resources expanded**
Expenditure is recognised on the accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be recovered, and is reported as part of the expenditure to which it relates:
· 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.
· Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include the costs linked to the strategic management of the charity.
· All costs are allocated between the expenditure categories of the SoFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis e.g. floor areas, per capita or estimated usage.
## **(e) Fixed Assets and Depreciation**
Fixed assets are stated at cost less accumulated depreciation. The cost of minor additions are not capitalised. Depreciation is provided at reducing balance method calculated to write off the cost of assets over its useful life at the following rates:
Land & Buildings 2% Office Equipment 18% Fixtures & Fittings 18%
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
**Notes forming part of the Financial Statements for the period ended 31 December2020**
|**2 Grants & Donations**
Public Donations
**3 Other Income**
Rent (27-29 Stratford St)
Children Fee
HMRC Jtrs|**Unrestricted**
**Funds**
**Restricted**
**Funds**|**Total Funds**
**2020**
**Total Funds**
**2019**|
|---|---|---|
||£
£
11,105|£
£
11,105
44,125|
||11,105
-|11,105
44,125|
||10,065
8,425
10,160|10,065
13,040
8,425
10,160
30,025
-|
||28,650
-|28,650
43,065|
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Notes forming part of the Financial Statements for the period ended 31 December 2020**
|**4 Direct Charitable Expenditure**
**Salaries & Pension costs**
**Support Costs:**
Volunteers Training & Expenses
**Management and Administration**
**Premises Costs**
Rent, Rates & Water Charges
Light & Heat
Insurance
Repairs & Renewals (general)
Repairs & Renewals (building)
**Office Costs**
Telephone, Fax, Mb, Internet
Advertising, Printing, Marketing, Promotion
Books, Stationery & Printing
Cleaning & Consumables
Professional Fees
Membership/Subcription/Licences
**Depreciation**
Land & Building
Office Equipment
Fixtures & Fittings
**5 Total Operating Cost**
**Total Resources Expanded**|**Unrestricted**
**Funds**
**Restricted**
**Funds**|**Total Funds**
**2020**
**Total Funds**
**2019**|
|---|---|---|
||£
£
22,346
-|£
£
22,346
28,184
-
-|
||**22,346**
**-**|**22,346**
**28,184**|
||4,846
1,153
1,780
1,375
-|4,846
5,304
1,153
14,446
1,780
-
1,375
2,913
-
34,340|
||9,154
-|9,154
57,003|
||276
1,000
0
25
-|276
448
-
1,000
340
0
296
25
720
-
-|
||1,301
-|1,301
1,804|
||15,674
788
283|15,674
15,994
788
960
283
346|
||16,745
-|16,745
17,300|
||||
||**27,200**
**-**|**27,200**
**76,107**|
||||
||**49,546**
**-**|**49,546**
**104,291**|
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
## **Notes forming part of the Financial Statements for the period ended 31 December 2020**
|**6**
**7**
**8**|**Schedule of tangible fixed assets**
As At 31 December 2019
Additions
As At 31 December 2020
Depreciation
As At 31 December 2019
Charge for the period
As At 31 December 2020
Net book value
As At 31 December 2020
As At 31 December 2019
**Creditors:**
**Amount falling due within one year**
PAYE
**Creditors:**
**Amount falling due after more than**
**one year**
Karz-a-Hasna (Interest free loan)|Land &
Buildings
£
913,274
-
913,274
129,566
15,674
145,240
768034
783,708|Office
Equipment
£
8,423
-
8,423
4,049
788
4,837
3,586
4,374|Fixtures &
Fittings
£
7,639
-
7,639
6,065
283
6,348
1,291
1,574
**2019**
£
-
-
**2019**
£
29,470
29,470|Total
£
929,336
-
929,336|Total
£
929,336
-
929,336|
|---|---|---|---|---|---|---|
||||||||
||||||||
||||||139,680
16,745
156,425||
||||||||
||||||||
||||||772,911
789,656
**2018**
£
93||
|||||||93|
||||||||
|||||||**2018**
£
29,470
29,470|
||||||
||
## **THE MUSLIM ASSOCIATION OF LEEDS (11)**
**Notes forming part of the Financial Statements for the period ended 31 December 2020**
|**9 Restricted Funds**
Balance as at 31 December 2018
Incoming resources
Outgoing resources
Balance as at 31 December 2019
**10 Unrestricted Funds**
Balance as at 31 December 2019
Incoming resources
Outgoing resources
Balance as at 31 December 2019||£
-
-
-
-
£
796,945
39,755
836,700
(49,546)
787,154|
|---|---|---|
||||