Understanding Zakat Administrators: From BAZNAS to Mosque Zakat Collection Units (UPZ)
As Ramadan 2026 draws to a close, Muslims in Indonesia are preparing to fulfil their obligation of paying zakat fitrah (alms). However, do you know which parties are legally and religiously authorised to manage these community funds?
Professional zakat management is crucial to ensure aid reaches the correct recipients and has genuine impact on poverty alleviation. The following are the three main pillars of zakat fitrah administrators in Indonesia in accordance with Law No. 23 of 2011.
BAZNAS is a non-structural government institution that answers directly to the President through the Minister of Religious Affairs. In 2026, BAZNAS remains the primary national coordinator for zakat management.
LAZ (Lembaga Amil Zakat – Zakat Management Organisations) are institutions established by civil society organisations (NGOs, foundations, or private institutions) that have obtained official government approval. Examples include LAZISMU, LAZISNU, Rumah Zakat, and Dompet Dhuafa.
Many members of the public are accustomed to paying zakat at their local neighbourhood mosque. Legally, the committee at such mosques functions as a Zakat Collection Unit (UPZ – Unit Pengumpul Zakat).
According to Islamic principles and technical regulations applicable in Indonesia in 2026, a zakat administrator (amil) must meet the following requirements.
May zakat committees without official BAZNAS approval take a share of zakat administrator fees?
According to Islamic law and regulation, if they do not possess official approval, they act only as representatives (wakalah). They are not entitled to claim the 1/8 portion of collected zakat as administrator fees or wages.
What percentage of zakat is a zakat administrator entitled to receive?
According to zakat distribution criteria, an administrator is entitled to receive a maximum of 12.5 per cent (1/8 share) of collected zakat as operational costs and wages, whilst adhering to principles of fairness.
Sources: Law No. 23 of 2011 on Zakat Management, BAZNAS Administrator Guidelines 2026.