1Second Edition | April 2020

Purpose of the Guideline This Guideline provides directional guidance and essential information regarding Zakat payers who have been issued a decision by ZATCA exempting them from Zakat collection. It also assists in developing a clear understanding and provides instructions concerning the procedures, conditions, and conditions applicable to Zakat payers who have been issued a decision of exemption from Zakat collection pursuant to the ministerial resolutions issued in this regard. The Guideline further provides practical applications, illustrative examples, and explanations of the said ministerial resolutions and the rules issued in this connection. This Guideline reflects ZATCA’s understanding and interpretation concerning the application of the Implementing Regulation for Zakat Collection issued by the Resolution of His Excellency the Minister of Finance No. (1007), dated 19 Sha‘ban 1445 AH (corresponding to 29 February 2024), which applies to fiscal years beginning on or after 1 January 2024. For guidance regarding any specific transaction, Zakat payers may visit ZATCA’s official website (ZATCA.gov.sa), which contains a wide range of tools and information specifically designed to assist Zakat payers, including visual guidance materials, all relevant data, and responses to frequently asked questions. 2. Key Definitions The following terms and expressions, wherever they appear in this Guideline, shall have the meanings set out opposite each of them, unless the context indicates otherwise. Any amendments made to the relevant laws and regulations relating to these definitions shall result in a corresponding change in the meanings under this Guideline. 1.  Authority: The Zakat, Tax and Customs Authority (ZATCA). 2.  Regulations: The Implementing Regulations for Zakat Collection issued by Ministerial Resolution No. (1007), dated 19 Sha‘ban 1445 AH (corresponding to 29 February 2024), and any amendments thereto. 3.  Kingdom: The Kingdom of Saudi Arabia. 4.  Zakat payer: A person who is subject to the provisions of the Regulations and practices an activity, or who has been issued a license to conduct such activity. 5.  Subject to Zakat: A Zakat payer required to pay Zakat to ZATCA in accordance with the provisions of the Regulation. 6.  Person Non-subject to Zakat: Zakat Payer who shall be exempt from Zakat payment to ZATCA, under the provisions of Chapter (1), Section III, Subsection (2) of the Regulations. 7.  Zakat Return: A statement provided by the Zakat payer in a form approved by ZATCA, showing fiscal items of the Zakat account and Zakat due in accordance with the provisions of the Regulations. 8.  Public Endowment: An endowment restricted to specific forms of general charitable purposes, identified either by name or description. 9.  Private Endowment (Ahli Endowment): An endowment restricted to specific descendants or relatives, identified either by name or description.