Company No:
Contents
Note | 2021 | 2020 | ||
£ | £ | |||
Restated - note 2 | ||||
Current assets | ||||
Stocks |
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Debtors | 4 |
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Cash at bank and in hand |
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2,071,543 | 1,339,134 | |||
Creditors | ||||
Amounts falling due within one year | 5 | (
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Net current assets | 1,187,051 | 1,249,486 | ||
Total assets less current liabilities | 1,187,051 | 1,249,486 | ||
Net assets |
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Capital and reserves | ||||
Called-up share capital | 6 |
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Profit and loss account |
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Total shareholder's funds |
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Director's responsibilities:
The financial statements of Hallhill Developments Limited (registered number:
B McNeil
Director |
The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.
Hallhill Developments Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in Scotland. The address of the Company's registered office is C/O Brodies Llp Capital Square, 58 Morrison Street, Edinburgh, EH3 8BP, United Kingdom.
The financial statements have been prepared under the historical cost convention, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.
The financial statements are presented in pounds sterling which is the functional currency of the company and rounded to the nearest £.
At the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. During the year, the company had reduced activity due to the impact of COVID-19 and associated lockdowns on the wider economy. The company had been supported by the director both during and post financial year end, as it looks to continue developments and return to activity following the removal of the government mandated lockdowns.
The director believes, at the point of signing the financial statements, that the company will have sufficient resources to continue trading and they will provide support as and when required.
Other debtors were overstated by £535,632 in previous financial statements as the monies had been used to pay trade creditors of £446,360 which were also overstated in previous financial statements. A corporation tax debtor would have been realised of £16,962 on this, which means the corporation tax debtor had been understated in previous financial statements. Overall, this resulted in the brought forward retained earnings being overstated by £72,311. The prior period financial statements have been restated to capture these adjustments.
The tax currently payable is based in taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable of deductible in other years and it further excludes items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same authority.
Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.
Non-financial assets
Financial assets
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Basic financial assets
Basic financial assets, which include debtors and bank balances, are measured at transaction price including transaction costs.
Basic financial liabilities
Basic financial liabilities, including creditors, are initially recognised at transaction price.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business 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.
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
It was discovered that during the year ended 31 December 2018, funds previously understood to be held in the company's solicitor's client account had been paid across to a supplier, incurring costs for the company. The amounts have been restated as follows:
As previously reported | Adjustment | As restated | ||||
Year ended 31 December 2020 | £ | £ | £ | |||
Debtors - Other Debtors | 553,116 | (535,632) | 17,484 | |||
Debtors - Corporation tax | 0 | 16,962 | 16,962 | |||
Creditors - Trade Creditors | 507,892 | (446,360) | 61,532 | |||
Retained Earning | 361,795 | (72,311) | 289,484 |
2021 | 2020 | ||
Number | Number | ||
Monthly average number of persons employed by the Company during the year, including the director |
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2021 | 2020 | ||
£ | £ | ||
Trade debtors |
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Corporation tax |
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Other debtors |
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2021 | 2020 | ||
£ | £ | ||
Trade creditors |
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Other creditors |
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2021 | 2020 | ||
£ | £ | ||
Allotted, called-up and fully-paid | |||
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Transactions with owners holding a participating interest in the entity
2021 | 2020 | ||
£ | £ | ||
Amounts owed to director | 502,811 | 0 |
The balance shown above is interest free and there are no fixed terms of repayment.