INTERNATIONAL CONFERENCE OF ZAKAT 2024 PROCEEDINGS

ISSN: 2655-6251

Analysis of the Minister of Religious Affairs Decision (KMA) No. 606 of 2020
on the 12.5% Amil Rights and Its Impact on the Effectiveness
of Zakat Management in Indonesia
Achmad Ridwan*, Ahmad Lukman Nugraha**, Mohamad Anton Athoillah**
*Chairperson of the National Amil Zakat Agency (BAZNAS) of West Java Province, Indonesia
**Universitas Islam Negeri Sunan Gunung Djati, Bandung

Paper to be presented at International Conference of Zakat (ICONZ) 2024

Institut Teknologi Bandung, Indonesia

ABSTRACT

Minister of Religious Affairs Decree (KMA) No. 606 of 2020, which sets the amil (administrator)
rights at 12.5% of zakat funds, has had a significant impact on zakat management, particularly
regarding the use and distribution of operational funds. This policy aims to enhance the accountability
and efficiency of zakat management but also presents challenges, especially in areas with high
community needs and limited operational resources. This study seeks to evaluate the impact of this
policy on the effectiveness of zakat management, particularly in terms of distribution, efficiency, and
accountability of zakat institutions at the regional level. A qualitative approach with descriptive
analysis was used, drawing on field data and case studies in zakat institutions. The findings indicate
that the 12.5% amil rights policy supports transparency but requires greater efficiency in operational
management. As a solution, this study recommends the implementation of the SIBaz Model (Baznas
Integration Standard Model), which includes typology and grading of leadership and staff based on
performance.

Keywords: KMA No. 606 of 2020, zakat, amil rights, accountability, efficiency, SIBaz Model, zakat
management

INTRODUCTION Religious Affairs of the Republic of Indonesia,

2020). Amil rights are part of the eight
The management of zakat in Indonesia categories of zakat recipients mentioned in
has experienced significant development in Surah At-Taubah verse 60, which allows zakat
recent decades. Zakat, as one of the pillars of funds to be allocated to zakat management staff
Islam, plays an essential role in supporting as one of the eligible groups. Based on this
social welfare and economic development for provision, amil rights are an integral part of
the Muslim community. Zakat is not only an zakat management that is legally legitimate
individual obligation but also an economic according to Islamic law.
system capable of reducing social inequality However, the implementation of this
and empowering the needy (Arifin, 2012). At policy faces various challenges, including the
the national level, zakat management has been limited resources available to zakat
entrusted to officially recognized institutions, institutions, particularly those operating in
such as the National Zakat Agency (BAZNAS) regions with high community needs.
and various other zakat institutions spread Operational funds become very constrained
across Indonesia (Hafidhuddin, 2011). when zakat institutions must allocate most of
The enactment of Minister of Religious the funds received for community distribution
Affairs Decree (KMA) No. 606 of 2020 aims and empowerment programs. Moreover, the
to regulate the allocation of amil (zakat characteristics and needs of zakat recipients
management staff) rights at 12.5% of the total vary across regions, necessitating adaptive and
collected zakat to support the operational flexible management approaches (Hafi-
activities of zakat institutions (Ministry of dhuddin, 2011).
 In the concept of modern zakat resources and adequate amil funds are essential
management, the role of amil has expanded for supporting honorariums, operational costs,
significantly from its traditional function, and the sustainable development of zakat
which was limited to collecting and services.
distributing zakat to recipients. Today, amil Accordingly, this research is conducted
faces additional responsibilities, including due to the need for a deeper understanding of
office management, intensive community the impact of KMA No. 606 of 2020 on the
outreach to raise awareness, and the structured effectiveness of zakat management. The 12.5%
planning and implementation of zakat limit on amil rights, while aiming to ensure
programs. This is particularly crucial because accountability and transparency, has the
zakat management in many Muslim-majority potential to restrict the operational flexibility of
countries has evolved into a social industry zakat institutions, especially those in regions
requiring high professionalism and skilled with high operational demands. In the context
human resources. Consequently, the 12.5% of zakat management, effective management
allocation from total zakat collected, which in plays a vital role in achieving optimal
business terms is considered "gross revenue," outcomes in zakat distribution and community
is often insufficient to cover salaries, daily empowerment (Hasan, 2007).
operations, and investments in sustainable This research also responds to the
program development (Al-Sudairy, 2021). increasing number of zakat recipients in certain
A study indicates that zakat management areas in Indonesia, highlighting the importance
requires substantial financial support for zakat of effective zakat management. The policy
institutions to perform the diverse functions setting a maximum amil rights percentage risks
and services necessary in the modern era (Al- limiting zakat institutions’ ability to implement
Khater, 2020). For instance, in Malaysia and sustainable empowerment programs,
Saudi Arabia, operational allocations for amil especially in areas far from administrative
are more flexible to meet local needs and cover centers or public access. Therefore, this
a range of activities, from promotion to the research is essential to evaluate how the amil
development of information technology rights proportion can positively impact the
systems for transparency and efficiency. With overall effectiveness of zakat management in
a structured zakat industry, zakat institutions Indonesia (Al-Qaradawi, 2000).
are expected to make a more substantial impact The primary objective of this study is to
on economic empowerment and community analyze the impact of Minister of Religious
welfare, making zakat an effective social Affairs Decree No. 606 of 2020 on the
instrument (Ibrahim, 2019). effectiveness of zakat management in
Adequate allocation for amil rights not Indonesia, particularly concerning the 12.5%
only supports operational needs but also allows limit on amil rights. By evaluating this amil
amil to innovate in fund management and reach rights proportion, the research aims to: first,
target recipients more effectively. Therefore, identify the effect of the amil rights limit on the
evaluating the amil rights percentage can be a operational efficiency and effectiveness of
crucial step in enhancing the effectiveness of zakat institutions; second, examine the role of
zakat institutions amid modern demands. amil rights in supporting the sustainability of
Additionally, the role of zakat in society zakat distribution programs in various regions;
has become increasingly significant as zakat and third, provide recommendations for future
serves as a driving force in the development of zakat policy development to better suit the
various sectors, including education, operational needs of zakat institutions across
healthcare, and economic empowerment. Indonesia.
Innovations in zakat programs now extend to This study is thus expected to offer
social issues such as education, health, and insights to policymakers and zakat institutions
environmental sustainability, demonstrating for enhancing the performance and quality of
the substantial contribution of zakat to national zakat management in Indonesia (Hafidhuddin,
development. By strengthening the role of 2011).
zakat, society is encouraged to appreciate the Relevant articles from journals related to
power of collaboration in achieving shared this research include: first, Zainal Arifin, "The
prosperity. Thus, professional zakat human Role of Zakat in Poverty Alleviation in
Indonesia," Jurnal Ekonomi dan Kebijakan
Publik, Volume 5, No. 2, 2016; second, DISCUSSION
Fatmawati, "Analyzing the Impact of Zakat
Management Policies on Community Definition and Legal Basis of Amil Rights
Welfare," Jurnal Manajemen Zakat dan Wakaf, Amil rights refer to funds allocated to
Volume 8, No. 1, 2020; third, Abdul Karim, meet the operational needs of zakat
"Regulatory Framework for Zakat institutions. This funding is essential to support
Management in Indonesia: Challenges and the management, distribution, and oversight of
Opportunities," International Journal of zakat funds to ensure their effective and
Islamic Economics and Finance, Volume 3, efficient implementation. In the context of
No. 2, 2019; fourth, Eko Suyanto, "Zakat as a Sharia, amil rights are recognized as part of
Tool for Economic Empowerment: A Case legitimate zakat funds, as stated in Surah At-
Study of BAZNAS," Jurnal Ekonomi Syariah, Taubah, verse 60, where Allah SWT
Volume 4, No. 3, 2021; fifth, Titi Handayani, establishes eight categories of people entitled
"The Effectiveness of Zakat Distribution to receive zakat, including amil. The verse
Management: Lessons from KMA No. 606," states: "Indeed, zakat is only for the poor, the
Jurnal Dakwah dan Komunikasi, Volume 10, needy, those who collect zakat, those whose
No. 1, 2022. hearts are to be reconciled, to free the captives,
While these articles share some themes to relieve the debts, for the cause of Allah, and
with this research, they differ in primary focus. for the wayfarer." This indicates that amil plays
. a crucial role in the zakat management system,
RESEARCH METHODOLOGY acting as a bridge between muzakki (zakat
payers) and mustahik (zakat recipients) (Baba,
This study employs a qualitative 2016).
approach using a descriptive-analytical The policy regarding amil rights is
method. The qualitative approach is chosen as regulated in the Minister of Religious Affairs
it allows the researcher to gain an in-depth Decree (KMA) No. 606 of 2020. This decree
understanding of the phenomenon being sets the maximum amount for amil rights at
studied, particularly concerning zakat policies 12.5% of the total zakat collected. The
and the rights of zakat administrators (amil) as establishment of this limit is expected to
stipulated in Ministerial Decree No. 606 of encourage zakat institutions to manage funds
2020. Data sources were obtained from more professionally and accountably. With
literature reviews, including various academic legal certainty regarding the allocation of amil
journals, books, and official documents, as rights, zakat institutions are expected to focus
well as interviews with practitioners and more on their tasks, which include distributing
experts in the field of zakat. This data zakat to mustahik fairly and appropriately
collection process aims to gather relevant and (Kementerian Agama RI, 2020).
up-to-date information regarding the role of In practice, good zakat management
amil rights in zakat management in Indonesia relies not only on the amount of zakat collected
(Hafidhuddin, 2011). but also on the zakat institutions' ability to
Once the data was collected, analysis was utilize amil rights efficiently. Proper allocation
conducted to obtain a comprehensive of amil rights ensures that zakat institutions can
understanding of the impact of this policy on carry out their operations, including
the effectiveness of zakat management. This developing community empowerment
study not only focuses on the context within programs, training, and other social activities.
Indonesia but also compares zakat policies in This aligns with the very purpose of zakat,
Indonesia with those in other countries. Thus, which is to empower the less fortunate and
the study seeks to gain a broader perspective on reduce social disparities in society
the allocation of amil rights and the challenges (Hafidhuddin, 2011).
faced by zakat institutions in carrying out their However, it is important to remember
functions (Baba, 2016). This comparative that the use of amil rights must still comply
approach is expected to provide valuable with Sharia principles, where every
insights into the development of improved expenditure must be transparent and
zakat management practices in Indonesia.
accountable. Zakat institutions need to ensure Greater transparency can enhance public trust
that the funds obtained from amil rights are not in zakat institutions, which in turn can increase
misused and are utilized for purposes aligned the amount of zakat collected.
with the goals of zakat. This presents a unique Third, Resource Limitations: Zakat
challenge for zakat institutions in Indonesia, institutions operating in areas with limited
especially amid diverse operational needs infrastructure and resources often face
across various regions (Hasan, 2007). challenges in conducting their operations. The
Overall, amil rights play a significant restricted amil rights compel zakat institutions
role in zakat management in Indonesia. With a to be more selective in budget allocation
clear legal foundation, zakat institutions are (Hafidhuddin, 2011). In such situations, zakat
expected to perform their functions better, institutions must prioritize and choose the most
allowing the collected zakat funds to have a effective programs to positively impact
substantial impact on society. The mustahik. This may potentially hinder zakat
establishment of KMA No. 606 of 2020 as institutions from achieving larger program
regulation regarding amil rights is hoped to objectives, especially if the allocation of amil
address challenges in zakat management and rights is insufficient to support their
encourage zakat institutions to be more operational needs.
professional in managing and distributing Fourth, Increased Professionalism: The
zakat. restriction on amil rights can encourage zakat
institutions to enhance professionalism in their
Implications of the Minister of Religious management and operations. They will be
Affairs Decree No. 606 of 2020 on Zakat motivated to adopt better management
ManagementEffectiveness practices, including training and developing
The limit on amil rights of 12.5% in human resources (HR), as well as
KMA No. 606 of 2020 directly impacts several implementing information technology in zakat
aspects of zakat management. This policy is management. This can help zakat institutions
designed to enhance the effectiveness of zakat become more responsive to community needs
management in Indonesia by encouraging and improve the effectiveness of the programs
zakat institutions to operate more efficiently they run.
and transparently. Here are some significant Fifth, Challenges in Implementation:
implications of this policy: Despite the benefits of limiting amil rights,
First, Operational Efficiency: This policy zakat institutions also face challenges in its
encourages zakat institutions to enhance implementation. Particularly in remote areas
efficiency in the use of operational funds. With with inadequate infrastructure, zakat
a maximum limit of 12.5%, zakat institutions institutions may struggle to meet their
are required to optimize their existing budget operational needs with a limited budget.
without compromising the quality of services Therefore, support from the government and
provided to mustahik. This means zakat other stakeholders is essential to ensure that
institutions must seek innovative ways to zakat institutions can function effectively
implement their programs, reduce waste, and (Hafidhuddin, 2011).
increase productivity (Ahmad & Sabri, 2016). Overall, the KMA No. 606 of 2020
This approach not only helps zakat institutions decision regarding amil rights of 12.5% has
manage funds better but also ensures that zakat significant implications for the effectiveness of
funds are used for the greater good. zakat management in Indonesia. This policy
Second, Transparency and encourages zakat institutions to be more
Accountability: With this limitation, zakat efficient, transparent, and professional in
institutions are mandated to operate with managing zakat funds, although it also
transparent governance. The accountability of introduces new challenges that need to be
the management process becomes crucial, as addressed to achieve optimal zakat
zakat institutions must report every allocation management goals.
of amil funds to the public. This requires zakat
institutions to provide clear and accessible
reports to the community regarding the use of
zakat funds and amil rights (Hasan, 2027).
Impact of the Policy on Zakat Institutions' professionalism in zakat management.
Performance in Regions Therefore, it is essential for all parties to
Zakat institutions operating in remote continue supporting zakat institutions to
areas often bear higher operational costs due to perform their duties better, especially in the
accessibility and infrastructure limitations. context of serving the needs of the community.
With the amil rights limit of 12.5%, zakat
institutions in these regions must seek creative Comparative Study with Other Countries
solutions to remain effective in zakat Some other countries, such as Malaysia
distribution and daily operational management. and Sudan, implement more flexible amil
For example, they can leverage information rights policies compared to Indonesia. In
technology to improve operational efficiency, Malaysia, for instance, the amil rights can
such as using zakat management applications reach 15% of total zakat collections. This
to facilitate fund collection and distribution policy gives zakat institutions in Malaysia
(Salleh, 2013). greater operational capacity, allowing them to
On one hand, this policy aids zakat manage and distribute zakat funds more
institutions in being more transparent in fund effectively (Salleh, 2013). In this context, zakat
management. With clear limitations, zakat institutions in Malaysia have more freedom to
institutions are required to account for each allocate the necessary funds for their
allocation of amil funds to the public, thereby operations, including collection and oversight
enhancing accountability and public trust in costs, as well as community empowerment
zakat institutions. However, on the other hand, programs.
these limitations also create a heavier In Sudan, amil rights are set at 10%, with
operational burden for zakat institutions. adjustments based on the operational needs of
Funding constraints for operations can hinder zakat institutions and the level of community
zakat institutions' ability to provide optimal needs. This policy enables zakat institutions in
services to mustahik. Sudan to be more flexible in allocating their
In hard-to-reach areas, zakat institutions operational budgets without reducing
often encounter challenges related to allocations to mustahik. This is particularly
transportation, communication, and access to important, especially in areas with high
information necessary for implementing their poverty levels and urgent social service needs
programs. Therefore, zakat institutions must (Taha, 2009). In this system, zakat institutions
formulate appropriate strategies to adapt to can make adjustments based on ongoing
local conditions, such as collaborating with evaluations of community conditions and the
local organizations or other stakeholders who effectiveness of implemented programs.
have a better understanding of community Flexible policies like those implemented
needs. Additionally, efforts to enhance training in Malaysia and Sudan show that by allowing a
and human resource development within zakat higher proportion of amil rights, zakat
institutions should also be intensified to better institutions can respond better to community
prepare them to face operational challenges. needs. They can enhance operations focused on
Despite the challenges faced, this policy zakat collection and effective distribution
also provides opportunities for zakat while ensuring that the funds allocated to
institutions to strengthen collaborative mustahik remain unaffected. In this context,
networks with various parties, including the flexibility in zakat management is key to
government and non-governmental improving zakat management effectiveness in
organizations, to create synergies in zakat various countries.
management. This is important for zakat Thus, the comparison with policies in
institutions to improve the effectiveness and other countries indicates that adjustments in the
efficiency of zakat distribution to eligible amount of amil rights can significantly impact
recipients, thus better achieving the goals of the effectiveness of zakat management. More
zakat management. flexible policies allow zakat institutions to
In conclusion, while KMA No. 606 of adapt to local needs and improve service
2020 presents challenges and new burdens for delivery to the community, ultimately
zakat institutions in remote areas, it can also contributing to poverty alleviation and social
drive them to innovate and enhance welfare enhancement. This is a crucial lesson
for zakat institutions in Indonesia, which can and accountable financial reports. This
learn from the experiences of these countries to provides assurance to the community that the
improve zakat management strategies. zakat funds they donate are not only used for
institutional operations but also to assist those
Based on the description, amil rights are in need.
an essential aspect of zakat management in Furthermore, the implementation of this
Indonesia, with significant implications for the limitation encourages zakat institutions to
effectiveness of zakat institutions. The innovate in managing and utilizing existing
implementation of KMA No. 606 of 2020, resources. Zakat institutions are expected to
which limits amil rights to a maximum of achieve efficiency and effectiveness in their
12.5%, poses both challenges and operational budget usage, thereby making a
opportunities for zakat institutions. On one more significant impact in distributing zakat to
hand, this policy encourages operational mustahik. Consequently, zakat institutions are
efficiency, transparency, and accountability in not only collectors of zakat but also active
zakat management. On the other hand, it agents of change in empowering communities.
introduces constraints that may hinder the Transparency in zakat management also
performance of zakat institutions, particularly becomes easier to achieve. With this policy,
in regions with limited resources. zakat institutions are required to inform the
It is essential for zakat institutions to public about the detailed use of amil funds.
adopt innovative solutions, enhance This includes reports on how much is allocated
professionalism, and strengthen collaborative for operational costs and how much is
networks with various stakeholders to address distributed to mustahik. In today's digital era,
these challenges. Additionally, lessons learned zakat institutions can also leverage technology
from other countries with more flexible amil to publish financial reports online, allowing the
rights policies should be considered to improve public to easily access this information
zakat management strategies in Indonesia. (Hafidhuddin, 2011).
The ultimate goal remains to optimize Thus, the positive impact of the 12.5%
the use of zakat funds to empower mustahik amil rights policy is not only limited to
and achieve the social welfare objectives financial aspects but also influences the
mandated by Sharia. As zakat institutions adapt improved image of zakat institutions in the
to these new regulations, their ability to eyes of the public. With better and more
effectively manage and distribute zakat will transparent management, zakat institutions can
determine their success in alleviating poverty build public trust, which in turn can increase
and promoting social justice in Indonesian community participation in zakat. Maintaining
society. accountability and transparency will strengthen
the legitimacy of zakat institutions, enabling
ANALYSIS AND SOLUTIONS them to operate more effectively in carrying
out their social missions.
Positive Impact of the 12.5% Amil Rights
Policy on Accountability and Transparency Challenges in Implementing the 12.5% Amil
The establishment of a 12.5% limit on Rights Policy in Regions
amil rights in KMA No. 606 of 2020 has a However, the implementation of the
significant positive impact on the 12.5% amil rights limit also presents
accountability and transparency of zakat operational challenges, particularly in areas
management. With this limitation, zakat with high community needs. Zakat institutions
institutions are expected to prioritize the funds operating in remote regions often face the
collected to be channeled to the mustahik. As a reality that their operational costs are higher
crucial pillar in zakat management, compared to those operating in more developed
accountability is key to building public trust in areas. Limited infrastructure, accessibility, and
zakat institutions (al-Qaradawi, 2020). This human resources can pose significant obstacles
policy encourages zakat institutions to enhance in providing adequate services to mustahik
their governance quality. With a clear (Salleh, 2013).
proportion allocated for amil rights, zakat To address these challenges, zakat
institutions are required to prepare transparent institutions in these areas need to achieve high
efficiency in managing their operational funds. allocate their operational budgets more
They are required to optimize their existing adaptively. Here, zakat institutions can adjust
budgets without compromising the quality of their budgets according to the dynamics and
services provided to mustahik. In this context, challenges faced in the field, particularly in
the use of technology becomes a potential addressing diverse community needs.
solution. Digital zakat applications, for In Saudi Arabia, zakat policies also set
example, can help zakat institutions reduce amil rights with a more flexible approach. The
operational costs. Through this technology, amil rights range from 8% to 12%, with budget
zakat institutions can manage the collection, adjustments for zakat institutions responsible
distribution, and reporting of zakat more for collection, distribution, and zakat
efficiently (Hafidhuddin, 2011). operations across the regions. Saudi Arabia
The implementation of digital zakat systematically manages zakat funds, including
applications allows zakat institutions to utilizing advanced technology in zakat
accelerate the fundraising process and management and distribution. This allows for
minimize administrative costs. With a more high levels of transparency and efficiency,
integrated system, data on mustahik and zakat enabling zakat institutions to distribute zakat
recipients can be managed more effectively, quickly and accurately, especially to mustahik
leading to more targeted zakat allocation. who are genuinely in need (Al-Sudairy, 2021).
Moreover, transparency and accountability can This more adaptive approach could serve
also improve since information regarding the as a valuable evaluation point for Indonesia,
allocation and use of zakat funds can be especially in areas with high community needs.
accessed by the public in real-time. By considering the local context, Indonesia
However, the implementation of this could formulate policies that allow zakat
technology also requires training and capacity institutions to operate more efficiently and
building for human resources in zakat responsively. For instance, it might be
institutions so they can optimally utilize the worthwhile to adopt more flexible policies in
technology. With the right support, zakat determining amil rights limits, particularly in
institutions in remote areas can enhance their regions with underdeveloped infrastructure
operational efficiency and continue to provide where operational costs are higher.
quality services to mustahik, despite the Furthermore, lessons from other
existing limitations (Hasan, 2007). Therefore, countries also highlight the importance of
while KMA No. 606 of 2020 aims to improve strengthening the capacity of zakat institutions
accountability and transparency, it must also in managing funds. In Malaysia, zakat
consider the local context and challenges faced institutions are encouraged to adopt technology
by zakat institutions in its implementation. in zakat management and distribution, which
has proven to enhance efficiency and
Lessons from Other Countries transparency (Salleh, 2013). Adopting best
Learning from zakat policies in other practices from other countries can help zakat
countries shows that more flexible policies can institutions in Indonesia improve their fund
help zakat institutions better meet their management and increase public trust in zakat
operational needs. For example, in Malaysia, institutions.
the amil rights can reach 15% of total zakat By studying the zakat policies and
collection, giving zakat institutions there practices of other countries, Indonesia can
greater capacity to operate and provide services draw valuable lessons to address existing
to the community (Salleh, 2013). With this challenges and formulate more effective and
higher proportion, zakat institutions in responsive zakat policies. Such efforts will not
Malaysia can adjust their budgets to meet local only enhance zakat management effectiveness
needs without sacrificing the quality of in Indonesia but also strengthen the social
services provided to mustahik. impact of zakat as an instrument for
Similarly, in Sudan, the amil rights are community empowerment.
set at 10% with adjustments based on
operational needs and the level of community Applying Typology and Grading Mechanisms
requirements (Taha, 2009). This policy to the Number of Zakat Institution Leaders and
provides flexibility for zakat institutions to Amil
 Based on the above presentation, the and LAZ must show a commitment to
researcher proposes a solution in the form of a implementing a grading and typology system
model named SIBaz (Standar Integrasi to ensure that operational fund allocation is
BAZNAS Model), which serves as an carried out fairly and efficiently. This can also
innovation in the grading concept for Zakat address the issue of amil fund shortages and
Management Institutions. This model refers to improve overall operational performance.
the performance in collecting zakat, infaq, and Sixth, Amil Zakat must possess professional
sedekah (ZIS) as well as local humanitarian competence to support operational success.
social funds (DSKL) to determine parameters With the implementation of a grading system,
such as the number of leaders, grant funds from fund allocation can be more efficient,
regional budgets (APBD), leader honoraria, improving the performance of BAZNAS or
and the number and honoraria of employees LAZ and strengthening public trust in zakat
(amil) (Ridwan, 2024). management.
Some important notes from this
modeling include: 1) The main performance of CONCLUSION
Zakat Management Institutions is their ability
to collect ZIS funds. 2) The government The implementation of KMA No. 606 of
provides appreciation in the form of 2020 regarding the 12.5% share for amil
operational assistance funds for Zakat provides a clear legal foundation for the
Management Institutions (LPZ), especially for management of zakat funds in Indonesia. This
well-performing Regional BAZNAS in annual policy supports zakat institutions in
collections. 3) The number of leaders and maintaining accountability and transparency in
employees is determined based on the fund management, which are crucial aspects in
performance of each Zakat Management building public trust in these organizations.
Institution. 4) Honoraria for leaders and With this limitation, zakat institutions are
employees are set based on the performance of required to be more responsible in managing
the Zakat Management Institution. and distributing zakat funds to the mustahik,
The application of this model also allowing the community to monitor and
requires several recommendations and notes to evaluate their performance more objectively.
improve its effectiveness: First, the House of However, on the other hand, this policy
Representatives (DPR) needs to revise Law also demands an increase in efficiency in the
No. 23 of 2011, not only for zakat management use of operational budgets. The maximum limit
but also to regulate the zakat obligation for of 12.5% can pose a challenge for zakat
every qualifying Muslim officially recognized institutions, particularly those operating in
by the government. Second, the Ministry of areas with high community needs. In such
Religion, as the main regulator of zakat in regions, zakat institutions often incur higher
Indonesia, is expected to issue a Minister of operational costs due to limited infrastructure
Religion Decree (KMA) on sharia audits and and accessibility. Therefore, zakat institutions
procedures for zakat for qualifying Muslims, as must seek innovative solutions to remain
well as ensure budgetary support from the state effective in zakat distribution and daily
budget (APBN) for BAZNAS operations. operational management without reducing
Third, the Ministry of Home Affairs needs to services for the mustahik.
support Law No. 23 of 2011 with regulations To address these challenges, evaluation
regarding operational assistance for BAZNAS and flexibility in policies tailored to local needs
from the state and regional budgets, as well as are essential. This may include adjusting the
provide instructions to regional heads amil rights limit based on specific regional
regarding zakat deductions from ASN to be conditions, where zakat institutions need to
deposited to BAZNAS. Fourth, regional align their budgets with local needs and
governments are expected to issue regulations existing challenges. Such an approach can
related to zakat deductions for ASN, as well as prevent additional burdens that zakat
provide adequate facilities for BAZNAS, institutions may face in more remote or
including buildings, leader honoraria, and underdeveloped areas.
support in oversight functions. Fifth, Zakat Additionally, lessons from other
Management Institutions such as BAZNAS countries such as Malaysia, Sudan, and Saudi
Arabia can serve as references for improving
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