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TS-FS-10 Trust & Stewardship Financial Stewardship CORE Compliance v2.9.7

Zakat policy documented

This criterion assesses whether the organization has a comprehensive, documented policy governing the collection, management, and distribution of Zakat funds. It distinguishes between two roles: (A) Zakat Fund Administrator (charities collecting/holding/distributing donor Zakat) and (B) Corporate Zakat Payer (entities calculating/paying their own Zakat). A formal policy is essential for compliance, donor trust, and effective administration.

Compliance 5
  • Roles and responsibilities (Conflict of Interest/Gifts)
    Governance Essential
  • Policy on admin costs (‘āmilīn) with Cap and Disclosure
    Governance Essential
  • Donor intent capture & GDPR (DPIA, Privacy Notice)
    Transparency Essential
  • Tiered Sanctions/AML Due Diligence Matrix
    Compliance Essential
  • Safeguarding & Fraud Risk Assessment
    Compliance Essential
Basic 2
  • Procedures for verification of recipient eligibility
    Process Essential
  • Segregation of Zakat from other funds (Separate Bank Account)
    Process Essential
Good 9
  • Comprehensive written Zakat policy (Administrator vs Payer)
    Documentation Essential
  • Asnāf Mapping & Decision Rules Appendix
    Documentation Essential
  • Guidelines for Zakat calculation and collection
    Process Essential
  • Timeframes for Zakat distribution (Target: 90 days)
    Process Essential
  • Compliance with relevant scholarly opinions
    Compliance Essential
  • Distinct procedures for Zakat al-Fitr
    Process Essential
  • Tamlīk Evidence Standard
    Compliance Essential
  • Regular policy review and updates
    Continuous Improvement Medium
  • Staff training on Zakat requirements
    Excellence High
Better 5
  • Scholarly review and endorsement of the policy
    Leadership High
  • Transparent communication on fees/deductions
    Transparency High
  • Digital systems for Zakat management
    Technology High
  • Sanctions/PEP screening (Risk-Based Approach)
    Compliance High
  • Cross-border transfer procedures (IDTA/Addendum)
    Process Medium
Best 1
  • Shariah Advisory Panel/Advisor with minuted reviews
    Governance High

Related Criteria

TS-FS-01 Trustees review management accounts TS-FS-02 Banking, procurement & AML controls TS-FS-03 Robust accounting system TS-FS-04 Segregate and control Zakat vs Sadaqah (ledgers, banking, donor intent) TS-FS-05 Fundraising costs fairly reported
Version
2.9.7 2025-11-05

Discussion (1)

Administrator 2026-03-07 11:07:49.237879

📋 **Version updated: 1.0.0 → 2.9.7** **Changes:** Updated islamic_references from mizan-297.json

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