General Manual of Zakat

Controls for Installment of Amounts Due: If the taxpayer is in an exceptional situation or difficulties preventing it from being able to pay the full amount of zakat when due, the same can apply to ZATCA for installment of the amounts due according to the following controls: ● An application shall be submitted to ZATCA through the ZATCA‘s portal, explaining the value of the obligation to be paid, the financial period or periods related thereto, and the reasons for not being able to pay it on the due date, with submitting the supporting documents. The application shall include the number of proposed installments, the value of each installment, and any advance payments, provided that the installment period does not exceed the number of years for which the obligation is due. 34 ● ZATCA shall examine the request and respond to the taxpayer within (30) thirty days from the date of receiving the installment application. 13.2.2 The ZATCA‘s Right to cancel the Installment: ZATCA may consider the installment decision cancelled in the event that two consecutive or three non-consecutive installments are discontinued during the installment period or if it appears that the zakat dues are vulnerable to loss. The taxpayer shall be notified of the cancellation of the installment by a letter from ZATCA or an automated notification. In this case, the taxpayer shall immediately pay the full dues on it. 34 Article (27), in certain cases and after the approval of ZATCA, Executive Regulations. 14. Final Zakat Dues 14.1 Considering the Zakat Dues Final: Zakat dues are final in the following cases: ● The taxpayer‘s approval of the ZATCA‘s assessment. 35 ● The elapse of the statutory time limit without the taxpayer paying the zakat due on it under its declaration submitted to ZATCA. ● The elapse of the statutory time limit for objecting to the assessment made by ZATCA, or after the first cancellation of the objection. ● The issuance of a final decision by the Adjudication Committee or the issuance of a decision by the Appeals Committee. 14.2 Property Seizure: In the event that the taxpayer does not respond to the first and second claims for payment, the same shall be notified of the intention to seize its movable and immovable property that may be seized legally, unless payment is made within (20) twenty days from the date of this notification. 14.2.1 Procedures for Seizure of Movable and Immovable Property: The Saudi Arabian Monetary Authority shall be provided with a copy of the notification of the intention to seize to stop any withdrawals from the taxpayer‘s bank balances within the limits of the amount due on it from Zakat. ZATCA shall initiate the seizure of the movable and immovable property of the taxpayer with all or any of the following: ● Addressing the Saudi Arabian Monetary Authority and the Capital Market Authority to seize the taxpayer‘s funds in local banks within the limits of the zakat due and transfer them to the ZATCA‘s account upon request. 35 Article (28). Certain conditions for the zakat dues being considered final, Executive Regulations. ● Addressing the Saudi Customs to seize the taxpayer‘s imports within the limits of the zakat due. ● Addressing the Ministry of Finance to seize any amount pertaining to the taxpayer within the limits of the zakat value due on it. ● Addressing the Ministry of Justice to stop any disposal of the taxpayer with immovable property. 14.2.2 Seizure Procedures Controls: The value of the monthly expenses obligated by the taxpayer to its employees or others, including the necessary living expenses under any other law, shall not be seized. The value of such expenses shall be determined on the basis of the information available to ZATCA. Whoever makes the required seizure shall handover the asset seized with it to ZATCA when requested to do so. This obligation includes any amounts that a third party owes to the taxpayer on or after receiving the seizure notice.