Fresh amendments for Zakat collection: Finance Minister Mohammed Al Jadaan has approved the executive bylaws for zakat collection (pdf) in a bid to facilitate collection across business segments, according to official gazette Umm Al Qura on Friday.

What we know: The new rules include separate chapters for several sectors that have special zakat treatments, including ins., funding and others. It also includes a chapter focused on taxpayers rights, including their right to amend their zakat declaration among others.

A look at the changes: The amendments include setting a minimum and maximum threshold to ensure taxpayers’ rights in case of a rise in zakat costs. They also include clarifications on overdue government receivables, its impact on treasury shares. They also address cases in which taxpayers fail to calculate zakat on investments overseas.

The rules don’t apply for some: The executive regulations do not apply to resident companies who have shares held either directly or indirectly for individuals working in the oil and hydrocarbon industries. However, zakat collection rules would apply if the firm was listed on the stock exchange. They also don’t apply to taxpayers subject to income tax.

And some exceptions: Charities, NGOs, awqaf affiliates and non-profit companies are exempted from the set rules, according to the executive regulations.

The rules apply starting with fiscal years that begin on or after 1 January 2024, with a deadline for submitting tax declarations set for 2025 depending on certain conditions.

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