Royal Decree No. (577/28/2/17) for the year 1376

Type:	Royal Decree
Date:	1376-03-14
Document Number:	577/28/2/17
Summary:	By AI King Saud bin Abdul Aziz issued a decree regarding Zakat, after reviewing the previous Income Tax and Zakat regulations. The decree stipulates the obligation to collect Zakat in accordance with the Sharia Provisions from all Saudi citizens and companies wholly owned by them, in addition to Saudi partners in mixed companies. It also cancels the application of previous regulations related to Zakat. The implementation of the decree shall commence from the first of Muharram in the year 1376, and the...

By the grace of Almighty God
We, Saud bin Abdul Aziz
King of the Kingdom of Saudi Arabia
After reviewing the Income Tax Law issued by Royal Decree No. 17/2/28/3321 dated21 Muharram1370 and amended by the Royal Decree issued under No. 2/17/28/8955 on 30 Ramadan 1370 AH, and by the Royal Decree issued under No. 576/28/2/17 on 3/14 in the year 1376.
And the Zakat Law issued by Royal Decree No. 17/2/28/8634 on 19 Jumada II 1370 and amended by the Royal Decree issued under No. 17/2/28/8799 on8 Ramadan1370.
And the Council of Ministers decision issued under No. 31 on 27/2/1376 AH.
We order the following:
Article One: Zakat shall be collected in accordance with the noble provisions of Islamic Sharia from all our Saudi subjects equally, and it shall also be collected from Saudi companies where all partners and shareholders are Saudis, as well as from Saudi partners in companies composed of Saudis and non-Saudis.
Article Two: The application of the Royal Decree issued under No. 28/2/17/8634 on 19 Jumada II1370 and the Royal Decree issued under No. 17/2/28/8799 on 8 Ramadan1370 AH shall be terminated.
Article Three: This decree shall be published and come into effect starting from the first of Muharram in the year 1376, and the Council of Ministers shall issue, based on the proposal of the Minister of Finance, the necessary decisions for its implementation.