JAZADCO settles all Zakat cases, assessments except 2018

Logo of Jazan Development and Investment Co. (JAZADCO)

Jazan Development and Investment Co. (JAZADCO) announced the settlement of all Zakat-related cases and assessments for previous years, excluding 2018, according to a statement to Tadawul.

The company received official approval from the Zakat, Tax and Customs Authority (ZATCA) on June 12 regarding an installment plan to settle outstanding Zakat obligations.

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The approved installment plan covers the financial years 2006, 2007, 2008, 2009, 2010, 2014, 2015, 2016, 2019, 2020, and 2023.

The relevant financial impact includes reducing the total estimated obligations from SAR 22.59 million (as disclosed in the Zakat provisions in the latest audited financial statements as of Dec. 31, 2024) to SAR 13.81 million.

This resulted in savings of SAR 8.77 million (SAR 5,671 paid earlier), which will have a positive impact on JAZADCO’s Q2 2025 financial results following the reversal of the provision.

Furthermore, the approved installment plan allows for the settlement of the obligations over 132 monthly installments of SAR 104,646 each, with the first payment due on July 30, 2025.

Payments will be made from the company's internal resources, the statement said.

The installment plan will strategically contribute to improving the company’s cash flows and support efforts to strengthen financial stability. This step aligns with JAZADCO’s strategy to close legacy obligations and reinforce the financial position.

These developments will enable the company to focus its efforts on future growth and investment initiatives.

JAZADCO remains fully committed to fulfilling its obligations in accordance with the approved installment plan.