Company Registration No. SC006394 (Scotland)
Scottish Canadian Trust. Limited
financial statements
for the year ended 31 March 2021
Pages for filing with Registrar
Scottish Canadian Trust. Limited
Contents
Page
Balance sheet
1
Notes to the financial statements
2 - 7
Scottish Canadian Trust. Limited
Balance Sheet
as at 31 March 2021
31 March 2021
- 1 -
2021
2020
Notes
£
£
£
£
Fixed assets
Investments
3
67,034,170
45,502,384
Current assets
Debtors
4
74,581
74,786
Cash at bank and in hand
2,356,546
3,082,932
2,431,127
3,157,718
Creditors: amounts falling due within one year
5
(188,255)
(126,443)
Net current assets
2,242,872
3,031,275
Total assets less current liabilities
69,277,042
48,533,659
Provisions for liabilities
(7,985,339)
(4,215,239)
Net assets
61,291,703
44,318,420
Capital and reserves
Called up share capital
6
100,000
100,000
Revaluation reserve
7
37,911,421
22,105,936
Capital reserve
8
20,636,843
19,382,455
Profit and loss reserves
10
2,643,439
2,730,029
Total equity
61,291,703
44,318,420
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
These financial statements have been prepared and delivered 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 27 May 2021 and are signed on its behalf by:
AF Thomson
Director
Company Registration No. SC006394
Scottish Canadian Trust. Limited
Notes to the financial statements
for the year ended 31 March 2021
- 2 -
1
Accounting policies
Company information
Scottish Canadian Trust. Limited is a
private
company
limited by shares
incorporated in Scotland.
The registered office is
22 Meadowside, Dundee, DD1 1LN.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies' regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared on the historical cost convention, modified to include the revaluation of certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
COVID-19 has had a significant impact in the UK since March 2020. The directors continue to monitor
performance, particularly investment performance, post year end. Given the level of investments held
and planned expenditure going forward, the directors consider that there are no material
uncertainties
about the company’s ability to continue as a going concern.
1.3
Fixed asset investments
Investments are initially measured at transaction price including transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in profit or loss.
1.4
Cash and cash equivalents
Cash and cash equivalents
are basic financial assets
and
include cash in hand,
and
deposits held at call with banks
.
1.5
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments
'
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.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
Scottish Canadian Trust. Limited
Notes to the financial statements (continued)
for the year ended 31 March 2021
1
Accounting policies (continued)
- 3 -
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts 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.
1.6
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.
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on 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 or 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
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 end 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 tax authority.
Scottish Canadian Trust. Limited
Notes to the financial statements (continued)
for the year ended 31 March 2021
1
Accounting policies (continued)
- 4 -
1.8
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
1.9
Investment income receivable is recognised on an accruals basis which for franked investment income means on an XD basis.
Capital gains or losses are transferred net of related tax to the capital reserve.
1.10
Management expenses are stated on the basis of amounts applicable to the financial year.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
3
Fixed asset investments
2021
2020
£
£
Investments
67,034,170
45,502,384
Scottish Canadian Trust. Limited
Notes to the financial statements (continued)
for the year ended 31 March 2021
3
Fixed asset investments (continued)
- 5 -
Movements in fixed asset investments
Investments other than loans
£
Cost or valuation
At 1 April 2020
45,502,384
Additions
4,591,962
Valuation changes
19,904,697
Disposals
(2,964,873)
At 31 March 2021
67,034,170
Carrying amount
At 31 March 2021
67,034,170
At 31 March 2020
45,502,384
4
Debtors
2021
2020
Amounts falling due within one year:
£
£
Other debtors
74,581
74,786
5
Creditors: amounts falling due within one year
2021
2020
£
£
Corporation tax
180,064
113,830
Other creditors
8,191
12,613
188,255
126,443
6
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
ordinary shares of £1 each
100,000
100,000
100,000
100,000
Each ordinary share carries one vote and is entitled to participate pari passu with other ordinary shares in any dividend or capital distribution.
Scottish Canadian Trust. Limited
Notes to the financial statements (continued)
for the year ended 31 March 2021
- 6 -
7
Revaluation reserve
The revaluation reserve represents the cumulative effect of the revaluations of fixed asset investments net of any deferred tax associated with the future sale of these investments.
8
Capital reserve
The capital reserve represents gains or losses realised on disposal of investments and is non-distributable according to the Articles of the company.
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements
,
the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006
:
The auditor's report was unqualified.
The senior statutory auditor was David Taylor.
The auditor was Henderson Loggie LLP.
10
Profit and loss reserves
The profit and loss account represents amounts available for distribution amongst the shareholders.
11
Related party transactions
Transactions with related parties
During the year the company entered into the following transactions with related parties:
Purchases of services
2021
2020
£
£
Other related parties
126,679
126,051
Dividends paid
2021
2020
£
£
Other related parties
94,011
94,011
12
Directors' transactions
Dividends totalling £40,977 (2020 - £7,841) were paid in the year in respect of shares held by the company's directors.
Scottish Canadian Trust. Limited
Notes to the financial statements (continued)
for the year ended 31 March 2021
- 7 -
13
Controlling party
No one individual has ultimate control of the company.