TaxSavvyKW

Zakat versus Islamic religious zakat

Is the Kuwait Zakat Law the same as personal religious zakat?

The situation

The Zakat Law imposes a statutory 1% on net profit of shareholding companies.

The law

  • Law No. 46 of 2006 on Zakat: 1% of net profit for Kuwaiti public and closed shareholding companies

What it means for you

The statutory levy is a corporate obligation under Law 46 of 2006. It is computed on company net profit, not on personal wealth. Shareholders' personal obligations are separate.

What to do

  1. Treat it as a corporate levy.
  2. Compute on net profit.
  3. File.
  4. Keep separate from personal matters.

We can do this for youZakat declaration for Kuwaiti shareholding companies: KWD 500

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