International Dance Teachers Association - Limited company accounts 23.2

REGISTERED NUMBER: 00556248 (England and Wales)

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

FOR

INTERNATIONAL DANCE TEACHERS ASSOCIATION

LIMITED

Page

Report of the Directors

1

Report of the Independent Auditors

2

Income Statement

5

Balance Sheet

6

Statement of Changes in Equity

7

Notes to the Financial Statements

8

The directors present their report with the financial statements of the company for the year ended 31 December 2022.

DIRECTORS

The directors who served during the year ended 31 December 2022 were:

President:

President Elect:

Mrs L Kalis (Miss L Cook)

Mrs Y Saunders

Financial Director:

Immediate Past President:

Mr G Coad (deceased 20 April 2023)

Miss A Jones

Other:

Mrs L Bouchier (Miss L Armsby)

Ms D Parker

Mrs L Curtin (Miss L King)

Mr M Sandham

Mr P Diment

Mrs Y Saunders

Mr C Donaldson

Mrs L Hastings

Mrs V Hooper

Miss W Heywood

Mrs J Kirkland

Mr B Thomson

Miss D Chapman

Mrs B Underwood (Miss B Sharples)

Mrs K D Skinner

Mr P Winston

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

BY ORDER OF THE BOARD:

E J Murphy - Secretary

18 September 2023

Opinion

We have audited the financial statements of International Dance Teachers Association Limited (the 'company') for the year ended 31 December 2022 which comprise the Income Statement, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2022 and of its deficit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page one, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the company and industry, we considered the risk of non-compliance with laws and regulations, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to management override, revenue recognition, salaries and investment valuations. Audit procedures performed included:

- Enquiring of management whether there were any instances of non-compliance with laws and regulation;

- Review of legal expenses for evidence of fees relating to non-compliance;

- Substantive testing of member applications to confirm income earned was recognised in the accounting records;

- Substantive testing to ensure revenue was recognised in the correct period;

- Substantive testing of investment valuations, including estimation of investment property valuations;

- Substantive testing of employee existence and accuracy of salaries; and

- Reviewing journal entries, non-sales bank receipts and non-purchase bank payments.

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Colin Young BA FCA (Senior Statutory Auditor)

for and on behalf of Galloways Accounting

Statutory Auditor

Atlas Chambers

33 West Street

Brighton

East Sussex

BN1 2RE

21 September 2023

TURNOVER

2,907,740

2,482,128

Administrative expenses

(3,484,300

)

(2,772,336

)

(576,560

)

(290,208

)

Other operating income

160,011

223,369

OPERATING DEFICIT

(416,549

)

(66,839

)

Income from fixed asset investments

232,903

188,095

Interest receivable and similar income

660

5

(182,986

)

121,261

Movement on market value of investments

(578,102

)

569,056

(DEFICIT)/SURPLUS BEFORE TAXATION

(761,088

)

690,317

Tax on (deficit)/surplus

7,015

1,363

(DEFICIT)/SURPLUS FOR THE FINANCIAL YEAR

(754,073

)

691,680

FIXED ASSETS

Intangible assets

4

106,641

144,996

Tangible assets

5

598,099

603,142

Investments

6

5,360,761

5,950,638

Investment property

7

2,719,852

2,719,852

8,785,353

9,418,628

CURRENT ASSETS

Stocks

781,496

751,930

Debtors

8

868,073

1,005,786

Cash at bank and in hand

451,782

658,035

2,101,351

2,415,751

CREDITORS

Amounts falling due within one year

9

583,504

764,338

NET CURRENT ASSETS

1,517,847

1,651,413

TOTAL ASSETS LESS CURRENT LIABILITIES

10,303,200

11,070,041

PROVISIONS FOR LIABILITIES

-

12,769

NET ASSETS

10,303,200

11,057,272

RESERVES

Revaluation reserve

10

210,865

216,136

Non distributable reserve

10

801,085

801,085

Income and expenditure account

9,291,250

10,040,051

10,303,200

11,057,272

The 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 Board of Directors and authorised for issue on 18 September 2023 and were signed on its behalf by:

L Kalis (Miss L Cook) - Director

M Sandham - Director

Non

Retained

Revaluation

distributable

Total

earnings

reserve

reserve

equity

£

£

£

£

Balance at 1 January 2021

9,343,099

221,408

801,085

10,365,592

Changes in equity

Surplus for the year

691,680

-

-

691,680

Other comprehensive income

5,272

(5,272

)

-

-

Total comprehensive income

696,952

(5,272

)

-

691,680

Balance at 31 December 2021

10,040,051

216,136

801,085

11,057,272

Changes in equity

Deficit for the year

(754,073

)

-

-

(754,073

)

Other comprehensive income

5,272

(5,271

)

-

1

Total comprehensive income

(748,801

)

(5,271

)

-

(754,072

)

Balance at 31 December 2022

9,291,250

210,865

801,085

10,303,200

1.	STATUTORY INFORMATION

International Dance Teachers Association Limited is a private company, limited by guarantee , registered in England and Wales. The company's registered number and registered office address are as below:

Registered number:

00556248

Registered office:

International House

76 Bennett Road

Brighton

East Sussex

BN2 5JL

The presentation currency of the financial statements is the Pound Sterling (£).

The financial statements are rounded to the nearest £1.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Preparation of consolidated financial statements

The financial statements contain information about International Dance Teachers Association Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements.

Turnover

Turnover is measured at the fair value of consideration received or receivable and represents amounts receivable for goods and services supplied.

Revenue from sale of goods is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue from rendering of services is recognised when the outcome of the transaction can be reliably estimated. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period. When the outcome of the transaction involving the rendering of services cannot be reliably estimated, revenue is recognised only ot the extent that expenses recognised are recoverable.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Amortisation has been provided at rates estimated to reduce the assets to their net realisable value over their estimated useful lives.

The following rates have been used:

Copyrights

-

Over the duration of the copyright

Computer software

-

20% straight line

Tangible assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

2% on cost

Office furniture, machinery & equipment

-

33% on cost and 20% on reducing balance

Tangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Investment property

Investment properties are recognised initially at cost and subsequently measured at fair value at each reporting date with changes in fair value recognised in the income and expenditure account.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Financial instruments

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Investments

Investments held as fixed assets are recognised initially at transaction price and subsequently measured at fair value at each reporting date with changes in fair value recognised in the income and expenditure account.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 25 (2021 - 24 ) .

4.	INTANGIBLE FIXED ASSETS

Computer

Copyrights

software

Totals

£

£

£

COST

At 1 January 2022

and 31 December 2022

520,788

41,000

561,788

AMORTISATION

At 1 January 2022

392,912

23,880

416,792

Amortisation for year

30,155

8,200

38,355

At 31 December 2022

423,067

32,080

455,147

NET BOOK VALUE

At 31 December 2022

97,721

8,920

106,641

At 31 December 2021

127,876

17,120

144,996

5.	TANGIBLE FIXED ASSETS

Office

furniture,

Freehold

machinery

property

& equipment

Totals

£

£

£

COST

At 1 January 2022

703,614

104,822

808,436

Additions

-

16,889

16,889

Disposals

-

(5,784

)

(5,784

)

At 31 December 2022

703,614

115,927

819,541

DEPRECIATION

At 1 January 2022

126,234

79,060

205,294

Charge for year

14,072

7,860

21,932

Eliminated on disposal

-

(5,784

)

(5,784

)

At 31 December 2022

140,306

81,136

221,442

NET BOOK VALUE

At 31 December 2022

563,308

34,791

598,099

At 31 December 2021

577,380

25,762

603,142

6.	FIXED ASSET INVESTMENTS

Investment

in

subsidiary

Other

undertakings

investments

Totals

£

£

£

COST OR VALUATION

At 1 January 2022

2,004

5,948,634

5,950,638

Additions

-

1,144,047

1,144,047

Disposals

-

(1,155,822

)

(1,155,822

)

Revaluations

-

(578,102

)

(578,102

)

At 31 December 2022

2,004

5,358,757

5,360,761

NET BOOK VALUE

At 31 December 2022

2,004

5,358,757

5,360,761

At 31 December 2021

2,004

5,948,634

5,950,638

The other investments are measured at fair value at the balance sheet date based on their quoted market price.

7.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 January 2022

and 31 December 2022

2,719,852

NET BOOK VALUE

At 31 December 2022

2,719,852

At 31 December 2021

2,719,852

The directors have fair valued the investment properties at the balance sheet date based on the market value of similar properties in the area.

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Trade debtors

200,064

288,262

Other debtors

668,009

717,524

868,073

1,005,786

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Payments on account

61,862

99,224

Trade creditors

77,123

202,596

Amounts owed to group undertakings

228,042

281,811

Other creditors

216,477

180,707

583,504

764,338

10.

RESERVES

Non

Revaluation

distributable

reserve

reserve

Totals

£

£

£

At 1 January 2022

216,136

801,085

1,017,221

Transfers

(5,271

)

-

(5,271

)

At 31 December 2022

210,865

801,085

1,011,950

11.	RELATED PARTY DISCLOSURES

At the year end, the company was owed £25,815 (2021: £25,815) by a charitable fund under the control of the company.