Key Points:
- New Zakat regulation (MR 1007, 1445 H) applies for fiscal years starting on or after 1 Jan 2024.
- Calculation method of Zakat base changed: now based on year-end closing balances, matching of assets vs liabilities, and new rules for equity and provisions.
- Zakat rate: ~2.5% on the Zakat base for Hijri-year companies; ~2.57% for companies using Gregorian year.
- Extended deadline: Zakat payers can apply the new regulation retroactively for fiscal years before Jan 2024. The application filing deadline has been moved to 31 August 2025 under MR 1463.
- Special update for real estate: Off-plan projects now have clearer Zakat treatment under amended Article 73.
- ZATCA requires strong documentation: closing balances, additions, deductions must be well tracked.
Conclusion
Saudi’s zakat system just got a serious upgrade — new rules, new base, and more clarity from 2024 onward.
Disclaimer: The Content offers general guidance and should not be considered legal, financial, or tax advice. Consult qualified professionals for personalized guidance. While efforts have been made to ensure accuracy, no guarantee is provided for completeness or applicability to individual situations. Users are responsible for their interpretation and actions based on this information, at their own risk.
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This article was published on 02 December 2025.
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