SIDC reaches agreement with GAZT to settle zakat claims

Saudi Industrial Development Co. (SIDC) has reached a final agreement with the General Authority of Zakat and Tax (GAZT) to settle zakat claims from 2007 until the end of 2017, the firm said in a statement to Tadawul.

Under the settlement agreement, the zakat claims were reduced to SAR 3.77 million from around SAR 21.03 million, the statement said.

Also, SIDC set aside a total of SAR 2.74 million in additional zakat provisions for 2019, and will reflect on financial statements for the same year.

SIDC has SAR 1.03 million in accumulated provisions.

SIDC also reached an agreement with GAZT to settle zakat claims from 2005 until 2006. Zakat claims were reduced to SAR 659,600 from SAR 1.14 million. There was no relevant financial impact.

In March, SIDC received a letter from the Saudi Arabian Department of Zakat and Income Tax (DZIT) regarding SAR 21.02 million in zakat claims for the period from 2007-2017, Argaam previously reported.