The Zakat, Tax, and Customs Authority

The Zakat, Tax, and Customs Authority is a Saudi governmental authority concerned with collecting zakat, taxes, and customs duties. It also regulates all activities related to customs work and customs ports. Previously, it was composed of the General Authority of Zakat and Tax and the General Authority of Customs. On May 4, 2021, a decision by the Council of Ministers was issued to merge the General Authority of Zakat and Tax and the General Authority of Customs to become the Zakat, Tax, and Customs Authority.

The decision to merge was made to unify the efforts of both sectors under one umbrella, which contributes to enhancing performance effectiveness and spending efficiency.

The authority enjoys a public legal personality and financial and administrative independence and is organizationally affiliated with the Minister of Finance. Its main headquarters is located in the city of Riyadh, and it has the right to establish branches or offices as needed, both within the Kingdom and abroad. The authority has a governor with the rank of minister, and he is responsible for managing the affairs of the authority.

The authority also has a Board of Directors chaired by the Minister of Finance, and its membership includes the governor of the authority, a representative from the Ministry of Interior, a representative from the Ministry of Finance, a representative from the Ministry of Commerce, a representative from the Ministry of Transport and Logistics Services, a representative from the Ministry of Economy and Planning, a representative from the Ministry of Investment, a representative from the Saudi Central Bank, a representative from the Capital Market Authority, a representative from the Presidency of State Security, and two representatives from the private sector who are appointed by a decision from the Council of Ministers based on a nomination from the president.

The authority is entrusted with several tasks, including: collecting zakat, taxes, and customs duties from the taxpayers; providing high-quality services to taxpayers to assist them in fulfilling their obligations; employing modern technology in executing, monitoring, and facilitating the authority's tasks; enhancing the security role in combating customs smuggling; in addition to representing the Kingdom in organizations, authorities, forums, and regional and international conferences related to the authority's jurisdictions. The authority has the right to establish subsidiary companies that perform roles that enable it to carry out its activities and mandates and achieve its objectives.

The establishment of the authority dates back to 1936 under the name Zakat and Tax Office. In 1951, its name was modified to Zakat and Tax Service. Its name was changed again by Royal Decree No. (A/133) on May 7, 2016, to the General Authority of Zakat and Tax. It was later merged with the General Authority of Customs on May 4, 2021, becoming the General Authority of Zakat, Tax, and Customs.

In 2021, the authority launched the Zakat, Tax, and Customs Academy to achieve its strategic objectives through human capital. Among its most prominent goals are: preparing the authority's employees with the required skills; providing professional consultations to ensure continuous learning and development; and preparing the future leaders of the authority in line with succession planning.

The history of Saudi customs dates back about one hundred years. It started with the establishment of the Customs Bureau in 1926. Following that, the Kingdom issued its first Customs Law in 1930. In 1953, the government established the General Directorate of Customs to replace the Customs Bureau and issued a new customs law. In 1971, the directorate transformed into the General Customs Service. Subsequently, in 2018, the Council of Ministers approved the conversion of Saudi Customs from the General Customs Service to the General Authority of Customs. In 2021, it was merged with the General Authority of Zakat and Tax.