How governance practices influence mandatory Zakāh payment in Saudi Arabia ?

الملخص EN

-The purpose of this study is to investigate the influence of governance practices of the formal zakāh authority in Saudi Arabia, the GAZT (General Authority of Zakat and Tax), on zakāh payment compliance.

It employs a quantitative approach using a questionnaire survey of actual zakāh payers in Saudi Arabia.

The analysis of one hundred and twenty-five usable questionnaires collected through random sampling from al-Madinah region was done using the PLS (Partial Least Squares) - SEM (Structural Equation Models) technique.

The results suggested that the perceived transparency and disclosure, and the perceived procedural fairness had significant and positive relationships with zakāh payment compliance.

In addition, trust was found to have a mediating effect on the relationship between the perceived governance of the zakāh authority and zakāh payment compliance.

The study’s findings provide interesting insights that benefit both theory and practices.