The objective of the Zakat policy is to have clear guidance and transparency in the collection and disbursement of zakat funds, in line with the Islamic principles, for the charity and donors.
Islam has five pillars of faith which includes alms (zakat) which has been mentioned over 30 times in the Quran and is a non-negotiable obligatory act for Muslims. Zakat amounting to 2.5% is paid on the surplus of wealth left over after the passage of a year.
The primary motive of zakat is religious/spiritual and encourages brotherhood with less fortunate members of society. From the economic standpoint it discourages hoarding and concentration of wealth and helps maintain balance by redistribution of wealth from the rich to the poor.
The recipients who fall in this category are extremely poor and needy people. These people don’t have any possessions or income.
These are the people who do not have what is sufficient for themselves and their dependents. They do not have any savings, sufficient salary, or a running business, and they do not have compulsory support from anyone.
Individuals who have burden of debt and are unable to pay it fall in this category. These individuals deserve to receive money to pay off their debt.
Traveller stuck in the middle of his journey, due to a lack of provisions. Support with Zakat will help these individuals to complete their journey.
– Depending on selection made by donor i.e., restricted/unrestricted, we will use funds in specific projects or generally to support Zakat-eligible projects.
– Funds will be disbursed to support Muslims in countries where we operate.
– Zakat funds will be used within one lunar year.
– Zakat funds will be deposited in riba free accounts.
– Zakat will not be distributed to members of your immediate family such as your spouse, children, parents, or grandparents.
– Zakat funds will not be used for running costs and overheads of schools, mosques etc.
– 10% of zakat donation will be charged as admin and project management fee.
These funds will have restrictions defined by the donor/charity for use in specific projects/countries only.
These funds will be spent at the discretion of the trustees to further any of the charity’s purposes.