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Indonesia zakat tax credit push

Updated 2 times since CLSTR started tracking revisions of this situation.

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2026-07-26 17:03 UTC → 2026-07-27 02:10 UTC · added removed

In mid‑July 2026, 2026 Indonesia’s Islamic organisations sharpened their push to reclassify zakat payments as a direct tax credit. Persatuan Islam (PERSIS) welcomed a revived proposal from the National Sharia Council of the Indonesian Ulema Council (DSN MUI) to treat zakat payments as a direct tax credit rather than a mere deduction, arguing that the change would give legal certainty, boost public welfare MUI), and encourage higher compliance. A week later, the Majelis Ulama Indonesia (MUI) itself formally subsequently called on the government to adopt the tax‑credit treatment, describing replace the existing deduction system as system, citing a “double tax” for “double‑tax” burden on Muslims. MUI leaders emphasized that zakat collected by Baznas and local Amil Zakat institutions supports national poverty‑reduction goals and should be recognised as part of taxpayers’ obligations. On 25 July 2026, at At the opening of the Kongres Umat Islam Indonesia (KUII) VIII in Jakarta, on 25 July, MUI Vice‑Chairman KH M. Cholil Nafis reiterated the demand, quoting “Kita ini umat Islam double tax loh, bayar dua kali” and urging the integration of zakat into linking the tax code. reform to national poverty‑reduction goals. The Ministry congress, held 24‑26 July at Hotel Bidakara in Jakarta, adopted eleven strategic recommendations. In addition to reaffirming the zakat‑credit proposal, delegates urged the creation of Religious Affairs, led a state‑level sharia economic body, stronger support for cooperatives, UMKM, pesantren, agrarian reform and technology sovereignty. A special anti‑corruption task force was recommended to investigate alleged misconduct by Minister Nasaruddin Umar, welcomed the push former special prosecutor Febrie Adriansyah, and regulators were asked the Muslim community to support the broader development agenda, linking tackle fake news, low digital literacy and online hate speech. Minister of Religious Affairs Nasaruddin Umar backed the zakat reform reform, urged Muslims to national support President Prabowo Subianto’s priority programmes. programmes, and highlighted Indonesia’s macro‑economic stability.

Versions

  1. 2026-07-27 02:10 UTC Indonesia zakat tax credit push
  2. 2026-07-26 17:03 UTC Indonesia zakat tax credit push
  3. 2026-07-26 17:03 UTC Indonesia zakat tax credit push

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