Govt wants to focus on 'zakat' first: Minister

Fitri Wulandari, The Jakarta Post, Jakarta

Minister of Religious Affairs Said Agil Husein Al Munawar said on Sunday that the government still had no concrete plan to extend its tax-deductible policy on Islamic alms, or zakat, to similar kinds of alms-giving in other religions.

"God willing, we will arrange it later. We will go ahead with the zakat first. We still have a lot of things to do," Said Agil told reporters over the weekend during a ceremony marking World AIDS Day.

Earlier, Said had announced that zakat, donations to charity that Muslims are obliged by their religion to pay, would be income tax-deductible starting January.

According to Muslim law, zakat donations should account for 2.5 percent of net income per year. Muslims usually pay zakat to government-sanctioned agencies, mosques, orphanages or directly to the needy.

Other religious groups have reportedly called for the application of a similar policy to them, arguing that they also have to encourage their followers to be more generous in giving alms.

"We will do it one by one," Said stressed.

President Megawati Soekarnoputri is slated to inaugurate a new zakat agency on Monday. The agency will oversee the collection and disbursement of zakat. Similar agencies will also be set up in the provinces.

According to Said, during the inauguration ceremony the President and her husband, Taufik Kiemas, would donate their zakat to symbolize the beginning of a zakat awareness campaign aimed at alleviating poverty.

Another issue concerning the policy is that it might be open to corruption as the funds collected from zakat will be managed by a government agency.

Said stressed that the government would do its utmost to prevent any misappropriation of zakat funds.

"There will be government-sanctioned agencies who will report on zakat. Transparency, honesty, and accuracy in carrying out the work is our target," Said remarked.

He added that to ensure transparency, the agencies would also be audited and supervised by various parties.

"There will be public accountants. The legislators will supervise it. As a minister, I will be the first to be questioned. So, God willing, there will be no misappropriation," Said stressed.

He said that the Directorate General of Taxation had started disseminating information on the new policy.

Said further revealed that the government was considering presenting gifts as a mark of appreciation to those who regularly paid their zakat.