REGISTERED CHARITY NUMBER: SC048654
Report of the Trustees and
Unaudited Financial Statements for the Year Ended 30 June 2020
for
MCG SCIO
Scottcourt House West Princes Street Helensburgh Argyll & Bute G84 8BP
MCG SCIO
Contents of the Financial Statements for the Year Ended 30 June 2020
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 3 |
| Statement of Trustees' Responsibilities | 4 | ||
| Independent Examiner's Report | 5 | ||
| Statement of Financial Activities | 6 | ||
| Balance Sheet | 7 | ||
| Notes to the Financial Statements | 8 | to | 12 |
| Detailed Statement of Financial Activities | 13 |
MCG SCIO
Report of the Trustees for the Year Ended 30 June 2020
The trustees present their report with the financial statements of the charity for the year ended 30 June 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
Since the Charity qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
The Charity also operates under the names of Meditation Centre of Glasgow and Wat Phra Dhammakaya Scotland.
OBJECTIVES AND ACTIVITIES
Objectives and aims
To advance the Buddhist religion according to the Buddhist religious doctrines and in furtherance of this to promote meditation.
Strategies for achieving objectives
Leading meditation class and retreat on weekly and quarterly basis for the local community and Thai community.
Provide Buddhist religion services, activities and events on a monthly basis and each special occasion for Buddhist and anyone who is interested.
Significant activities
Provide morning and evening chanting and meditation every day Provide Sunday and Wednesday meditation class for local people between 18.30 - 20.30 Provide quarterly meditation retreat for local people between Friday - Sunday
Provide First Sunday Buddhist ceremony on the first Sunday of each month
Provide Buddhist ceremony on each Buddhist holy day, such as the Buddha Birthday, Buddhist lent season etc Provide Buddhist blessing in members' house or restaurant on each occasion, such as new year, birthday anniversary, opening new restaurant, marriage ceremony, pass away ceremony
All of these activities are free of charge. Donations are acceptable for the temple upkeep
Public benefit
Public benefit is at the heart of what it means to be a charity. Two key principles define this area:
1 There must identifiable benefits.
2 The benefits must be to the public.
The trustees must carry out the following:
1 Review the activities undertaken for the public benefit.
2 State whether they have complied with this duty.
The trustees have reviewed the activities undertaken for the public benefit and confirm their compliance with this duty.
Volunteers
Each week volunteers assist at the temple with cooking, repair and cleaning. The average number of volunteers are five each week for cooking and five each week for repair and cleaning. The temple would like to thank the volunteers for their dedicated work.
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MCG SCIO
Report of the Trustees for the Year Ended 30 June 2020
ACHIEVEMENT AND PERFORMANCE
Charitable activities
Meditation is an activity with benefits that include bringing happiness and good positive thoughts into a person's mind to spread loving kindness. This is practiced at the temple and available to persons of any faith. Thus, the general public are given a warm welcome and the aim is for many members of the public to visit the temple and enjoy meditation.
People who are Buddhists are able to visit the Temple and attend morning and evening chanting and other ceremonies. This includes chanting the five precepts of good behaviour that help a person lead a life of goodness and respect of other people. In addition, they are able to hear talks given by monks. All chanting and ceremonies are open to persons of any faith. During the mornings people are able to make a food offering to monks and receive a blessing.
Review of activities
Regular events were held at the temple including the following numbers of participants:
| 2020 | 2019 | |
|---|---|---|
| First Sunday Ceremony | 10 | 10 |
| Makha Bucha | 10 | 20 |
| Songkran Festival | 20 | 30 |
| Visaka Bucha Day | 10 | 20 |
| Meditation Retreat (3 days) | 5 | 7 |
| Kathina Ceremony | 50 | 200 |
| New Year Retreat | 5 | 5 |
| Weekly meditation class | 20 | 35 |
| Number of school visits | 2 (80 children) | 2 (25 children) |
FINANCIAL REVIEW
Financial position
Financial position as at 30 June 2020 showed low bank and cash balances. This was due to the completion of refurbishment of work during the financial year that put pressure on bank and cash balances. Donation income was in line with expenses.
Reserves policy
The temple was created from an old church building with renovation taking place to attract members of the public. The temple are moving towards reserves of £10,000 that covers eight weeks of expenditure. However, during the year income matched expenditure with low actual reserves.
Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
Charity constitution
MCG SCIO is registered as a charitable company limited by guarantee and was set up by a Constitution.
Recruitment and appointment of new trustees
The management of the Charity is the responsibility of the trustees who are elected and co-opted under the terms of the Constitution.
New trustees are chosen for their skills in respect of Buddhism and suitability to work as a member of the team of trustees.
Organisational structure
The trustees with the title "Phra" in their name are Buddhist monks. Usually monks ordain after graduation from university. One monk acts as the abbot of the temple. Decisions are reached by agreement between the monks.
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MCG SCIO
Report of the Trustees for the Year Ended 30 June 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT
Related parties
Other Buddhist temples in the UK have assisted with refurbishment of the building including sending monks and temple staff to help. Another Buddhist temple own the freehold to our temple building. No rent is paid. The longer term intention is to gift the freehold to our charity.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
SC048654
Principal address
15 Charlotte Street Helensburgh Argyll & Bute G84 7QS
Trustees
Independent Examiner
Scottcourt House West Princes Street Helensburgh Argyll & Bute G84 8BP
Approved by order of the board of trustees on 11 June 2022 and signed on its behalf by:
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MCG SCIO
Statement of Trustees' Responsibilities for the Year Ended 30 June 2020
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in Scotland, the Charities and Trustee Investment (Scotland) Act 2005, Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity's constitution, requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles in the Charity SORP;
-
make judgements and estimates that are reasonable and prudent;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity's constitution. 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.
The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
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Independent Examiner's Report to the Trustees of MCG SCIO
I report on the accounts for the year ended 30 June 2020 set out on pages six to twelve.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under Section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
Basis of the independent examiner's report
My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. 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 I do not express an audit opinion on the view given by the accounts.
Independent examiner's statement
In connection with my examination, no matter has come to my attention :
-
(1) which gives me reasonable cause to believe that, in any material respect, the requirements
-
to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and
-
to prepare accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations
have not been met; or
- (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Scottcourt House West Princes Street Helensburgh Argyll & Bute G84 8BP
11 June 2022
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MCG SCIO
Statement of Financial Activities for the Year Ended 30 June 2020
| 30.6.20 Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 113,321 EXPENDITURE ON Charitable activities Temple upkeep 102,016 NET INCOME/(EXPENDITURE) 11,305 RECONCILIATION OF FUNDS Total funds brought forward 5,382 TOTAL FUNDS CARRIED FORWARD 16,687 |
30.6.19 Total funds £ 71,057 73,588 (2,531) 7,913 5,382 |
|---|---|
The notes form part of these financial statements
Page 6
MCG SCIO
Balance Sheet 30 June 2020
| 30.6.20 | 30.6.19 | ||
|---|---|---|---|
| Unrestricted | Total | ||
| fund | funds | ||
| Notes | £ | £ | |
| FIXED ASSETS | |||
| Tangible assets | 5 | 26,731 | 7,230 |
| CURRENT ASSETS | |||
| Cash at bank and in hand | 6,743 | 193 | |
| CREDITORS | |||
| Amounts falling due within one year | 6 | (6,741) | (2,041) |
| NET CURRENT ASSETS | 2 | (1,848) | |
| TOTAL ASSETS LESS CURRENT | |||
| LIABILITIES | 26,733 | 5,382 | |
| CREDITORS | |||
| Amounts falling due after more than one year | 7 | (10,046) | - |
| NET ASSETS | 16,687 | 5,382 | |
| FUNDS | 10 | ||
| Unrestricted funds: | |||
| General fund | 16,687 | 5,382 | |
| TOTAL FUNDS | 16,687 | 5,382 |
The financial statements were approved by the Board of Trustees and authorised for issue on 11 June 2022 and were signed on its behalf by:
Trustee
The notes form part of these financial statements
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MCG SCIO
Notes to the Financial Statements for the Year Ended 30 June 2020
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities and Trustee Investment (Scotland) Act 2005. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 20% on cost Motor vehicles - 20% on cost
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Hire purchase and leasing commitments
The interest element of these obligations is charged to the Statement of Financial Activities over the relevant period. The capital element of the future payments is treated as a liability.
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
continued...
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MCG SCIO
Notes to the Financial Statements - continued for the Year Ended 30 June 2020
2. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 30 June 2020 nor for the year ended 30 June 2019.
Trustees' expenses
There were no trustees' expenses paid for the year ended 30 June 2020 nor for the year ended 30 June 2019.
3. STAFF COSTS
The average monthly number of employees during the year was as follows:
| Monks Temple Staff |
30.6.20 6 4 10 |
30.6.19 6 5 |
|---|---|---|
| 11 |
No employees received emoluments in excess of £60,000.
All monks and temple staff have dedicated their lives to work for the temple with small amount of wages (around £150 - £200 per month). They perform Buddhist precepts and regulations within the temple area as minister of religion and religious workers. Accommodation, food, travelling and necessary needs are provided by the temple.
Therefore the minimum wage is exempt as stated in www.gov.uk/national-minimum-wage/who-gets-the-minimum-wage: people living and working in a religious community are not entitled to the National Minimum Wage or National Living Wage.
4. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted | |
|---|---|
| fund | |
| £ | |
| INCOME AND ENDOWMENTS FROM | |
| Donations and legacies | 71,057 |
| EXPENDITURE ON | |
| Charitable activities | |
| Temple upkeep | 73,588 |
| NET INCOME/(EXPENDITURE) | (2,531) |
| RECONCILIATION OF FUNDS | |
| Total funds brought forward | 7,913 |
| TOTAL FUNDS CARRIED FORWARD | 5,382 |
continued...
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MCG SCIO
Notes to the Financial Statements - continued for the Year Ended 30 June 2020
5. TANGIBLE FIXED ASSETS
| 5. | TANGIBLE FIXED ASSETS | ||||
|---|---|---|---|---|---|
| Fixtures | |||||
| and | Motor | ||||
| fittings | vehicles | Totals | |||
| £ | £ | £ | |||
| COST | |||||
| At 1 July 2019 | 8,530 | - | 8,530 | ||
| Additions | 810 | 25,699 | 26,509 | ||
| At 30 June 2020 | 9,340 | 25,699 | 35,039 | ||
| DEPRECIATION | |||||
| At 1 July 2019 | 1,300 | - | 1,300 | ||
| Charge for year | 1,868 | 5,140 | 7,008 | ||
| At 30 June 2020 | 3,168 | 5,140 | 8,308 | ||
| NET BOOK VALUE | |||||
| At 30 June 2020 | 6,172 | 20,559 | 26,731 | ||
| At 30 June 2019 | 7,230 | - | 7,230 | ||
| 6. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||||
| 30.6.20 | 30.6.19 | ||||
| £ | £ | ||||
| Bank loans and overdrafts (see note 8) | - | 41 | |||
| Hire purchase (see note 9) | 2,741 | - | |||
| Other creditors | 4,000 | 2,000 | |||
| 6,741 | 2,041 | ||||
| 7. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR | ||||
| 30.6.20 | 30.6.19 | ||||
| £ | £ | ||||
| Hire purchase (see note 9) | 10,046 | - | |||
| 8. | LOANS | ||||
| An analysis of the maturity of loans is given below: | |||||
| 30.6.20 | 30.6.19 | ||||
| £ | £ | ||||
| Amounts falling due within one year on demand: | |||||
| Bank overdrafts | - | 41 |
continued...
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MCG SCIO
Notes to the Financial Statements - continued for the Year Ended 30 June 2020
9. LEASING AGREEMENTS
Minimum lease payments under hire purchase fall due as follows:
| 30.6.20 | 30.6.19 | |||
|---|---|---|---|---|
| £ | £ | |||
| Net obligations repayable: | ||||
| Within one year | 2,741 | - | ||
| Between one and five years | 10,046 | - | ||
| 12,787 | - | |||
| 10. | MOVEMENT IN FUNDS |
| Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Unrestricted funds General fund TOTAL FUNDS Comparatives for movement in funds Unrestricted funds General fund TOTAL FUNDS |
At 1.7.19 £ 5,382 5,382 Incoming resources £ 113,321 113,321 At 1.7.18 £ 7,913 7,913 |
Net movement At in funds 30.6.20 £ £ 11,305 16,687 11,305 16,687 Resources Movement expended in funds £ £ (102,016) 11,305 (102,016) 11,305 Net movement At in funds 30.6.19 £ £ (2,531) 5,382 (2,531) 5,382 |
|---|---|---|
continued...
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MCG SCIO
Notes to the Financial Statements - continued for the Year Ended 30 June 2020
10. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 71,057 | (73,588) | (2,531) |
| TOTAL FUNDS | 71,057 | (73,588) | (2,531) |
A current year 12 months and prior year 12 months combined position is as follows:
| Net | |||
|---|---|---|---|
| movement | At | ||
| At 1.7.18 | in funds | 30.6.20 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 7,913 | 8,774 | 16,687 |
| TOTAL FUNDS | 7,913 | 8,774 | 16,687 |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 184,378 184,378 |
Resources Movement expended in funds £ £ (175,604) 8,774 (175,604) 8,774 |
|---|---|---|
11. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 30 June 2020.
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MCG SCIO
Detailed Statement of Financial Activities for the Year Ended 30 June 2020
| Detailed Statement of Financial Activities for the Year Ended 30 June 2020 |
||
|---|---|---|
| 30.6.20 | 30.6.19 | |
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Donations and legacies | ||
| Temple donations | 113,321 | 71,057 |
| Total incoming resources | 113,321 | 71,057 |
| EXPENDITURE | ||
| Charitable activities | ||
| Staff costs | 16,060 | 15,576 |
| Travel | 10,549 | 9,410 |
| Premises costs | 28,005 | 18,082 |
| Welfare & food | 14,388 | 9,868 |
| Insurance | 1,234 | 2,492 |
| Ceremony & public work | 5,459 | 3,449 |
| Telephone & internet | 1,610 | 2,959 |
| Postage and stationery | 419 | 879 |
| Motor expense | 4,648 | 4,721 |
| Sundries | 1,021 | 571 |
| Fixtures and fittings | 1,868 | 800 |
| Motor vehicles | 5,140 | - |
| Hire purchase | 412 | - |
| Donation to Buddhist Temples | 7,637 | 2,553 |
| 98,450 | 71,360 | |
| Support costs | ||
| Finance | ||
| Bank charges | 62 | 228 |
| Governance costs | ||
| Accountancy and legal fees | 3,504 | 2,000 |
| Total resources expended | 102,016 | 73,588 |
| Net income/(expenditure) | 11,305 | (2,531) |
This page does not form part of the statutory financial statements
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