The Directors present their annual report and financial statements for the year ended 31 January 2025.
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 company's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) 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).
The company's objectives are the promotion and education of Bhuddism and Confucianism.
REVIEW OF ACTIVITIES AND KEY PERFORMANCE INDICATORS
As Chung Wah Tao Tak Tong Ltd celebrates its 27th anniversary this year, we take a moment to reflect on our progress and the activities that have defined our journey. Time has indeed passed swiftly, and our commitment to serving our community has only strengthened over the years.
At Chung Wah Tao Tak Tong Ltd, services are held every Sunday, as well as on the first and fifteenth of each month according to the Chinese lunar calendar. We warmly invite everyone in the community to participate in these gatherings. Additionally, we organize special services for significant events in the Buddhist calendar, ensuring that our members can engage in communal worship during these important times.
Throughout the year, our services have resumed normal operations, providing a vital space for spiritual growth and community connection. During these gatherings, we emphasize the fundamental values of Buddhism by sharing case studies, parables, and lectures. These discussions explore the importance of moral values and encourage members to reflect on how they can positively impact the lives of those around them.
To accommodate members who may be unable to attend in person due to illness or age, we have maintained our online worship options. This allows for continued participation and connection to the temple community, no matter the circumstances. Furthermore, the Temple continues to offer a diverse range of resources, including books, tapes, CDs, and MP3s for our members to borrow. These materials cover a wide array of topics related to Buddhism and religion, supporting our members' spiritual education and personal growth.
In light of the ageing population and health challenges faced by some of our members, we have taken proactive steps to maintain their connection to temple life. Volunteers have generously stepped forward to visit those who are unable to attend temple services due to sickness or mobility issues. These home and hospital visits not only provide spiritual support but also foster a sense of belonging within our community.
March and October marked particularly busy months for Chung Wah, with the celebration of our charity's 27th anniversary and our annual congregation. These events brought together members and supporters, reinforcing our community bonds and celebrating our collective achievements.
Temple’s annual congregation:
This takes place in October every year, with many members returning to the temple for this special and important event. This week-long event attracted many inactive members to come as well as active members from abroad. Also, we have invited preachers from Vancouver, Toronto and Hong Kong to give us special preaches. Attendance was much higher than normal service days.
During the congregation, we promote the fundamental values of Buddhism through case studies, parables and lectures exploring the importance of moral values and the various ways that we can have a positive impact on the lives of those around us. Additionally, to promote the fundamental importance and varied benefits of vegetarianism in the Buddhist religion, we also provide a vegan buffet prepared by our dedicated volunteers after the service.
Fortunately, the annual congregation was held successfully with no disruptions. The number of members following a vegan diet has increased recently after the congregation.
We would like to give special thanks to the preachers and helpers from Vancouver and Hong Kong who gave us special preaches and support in this week-long event.
RESULTS
The income for the year was £36,113 and costs amounted to £38,847, resulting in a deficit for the year of £2,734 (2024: £5,149 deficit). The charity has net assets of £30,498.
RESERVES POLICIES
The Directors are satisfied and confident that maintaining the unrestricted reserves at the current level will provide sufficient resources to cover and prevent unforeseen emergencies.
It is the policy of the charity that unrestricted funds should be maintained at a level equivalent to three months expenditure.
RISK MANAGEMENT
The Directors have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.
The key risks faced by the charity, along with the steps taken to mitigate these risks, have been identified as follows:
Property fire or theft insurance cover is maintained against both these risks. These are reviewed annually. In order to maintain the property in a safe condition, routine maintenance has been carried out each year.
All Cash received is kept in a locked cash box and stored in a lockable filing cabinet and the keys are kept separately in a safe place known to the staff member responsible. Access to the cash box are restricted to a minimum number of staff (the directors only).
CONSTITUTION
The company, which is a recognised charity in Scotland, is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.
The principal object of the company is the promotion and education of Bhuddism and Confucianism.
There have been no changes in the objectives since the last annual report.
The Directors who served during the year were:
METHOD OF APPOINTMENT OR ELECTION OF DIRECTORS
The management of the company is the responsibility of the Directors who are elected and co-opted under the terms of the Memorandum of Association.
ORGANISATIONAL STRUCTURE AND DECISION MAKING
None of the directors has any beneficial interest in the company. All of the directors are members of the company and guarantee to contribute £1 in the event of a winding up.
The company has reviewed its policies relating to the induction and training of Directors to comply with the guidelines and recommendations from the Office of the Scottish Charity Regulator. This has ensured that its policies are sufficient to meet the training needs of its Directors and that the charity continues to maintain the highest possible standards.
The Directors administer the company and are responsible for the day-to-day running of the company.
The Directors' report was approved by the Board of Directors.
I report on the financial statements of the company for the year ended 31 January 2025, which are set out on pages 5 to 11.
The company’s Directors, who also act as trustees for the charitable activities of Chung Wah Tao Tak Tong Charity Company Limited, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The Directors consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
My examination is 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 financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from the 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 financial statements.
In connection with my examination, no matter has come to my attention:
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 financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations;
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
All income in the current and prior year relates to unrestricted funds.
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.
Chung Wah Tao Tak Tong Charity Company Limited is a charitable company limited by guarantee incorporated in Scotland. The registered office is 40 Hamilton Park Avenue, Glasgow, G12 8DT.
The financial statements have been prepared in accordance with the charity's constitution, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) 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) (second edition - October 2019) (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the accounts, the Directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and have taken into account the impact of the current economic and inflationary uncertainties on their activities. Thus the company continues to adopt the going concern basis of accounting in preparing the accounts.
Unrestricted funds are available for use at the discretion of the Directors in furtherance of their charitable objectives.
Cash donations are recognised on receipt. Other donations are recognised once the company 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.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources.
Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.
Charitable activities and Governance costs are costs incurred on the company's operations, including support costs and costs relating to the governance of the company apportioned to charitable activities.
All expenditure is inclusive of irrecoverable VAT.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Assets with a value of over £500 are capitalised.
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:
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.
Company status
The company is a company limited by guarantee. The members of the company are the Directors named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.
Independent examiner fees
There were no disclosable related party transactions during the year (2024 - none).