Driving Zakat Payment Decision in the Indonesian Zakat Institution: The Role of Shariah Audit, Accountability and Trust

Abstract

This study aims to determine the effect of the Implementation of Sharia Audit, Accountability and Transparency on the Decision of Muzaki to Pay Zakat: With Trust as an Intervening Variable at the Indonesian Zakat Initiative (IZI) Zakat Amil Institution. The study employed the population from the existing muzaki of LAZ IZI. The study collects the by distributing questionnaires with the Simple Random Sampling Technique. This study applies the SEM Partial Least Square (PLS) method. The findings of this study indicate that all determinants of zakat payment decisions demonstrate a positive and significant influence. These influences occur both directly and indirectly, except for the transparency. Trust emerges as a key driver in the decision to pay zakat through this zakat institution. These findings are consistent with previous research. This study may offer strategic insights for this institution in formulating initiatives to increase the public willingness to pay zakat through their organization. The significance of these findings is rooted in the fact that all three determining variables—Sharia compliance, accountability, and transparency—are aspects directly governed by the management of zakat institutions. The extent to which these institutions uphold Sharia principles and ensure credible governance practices directly influences the public trust and their subsequent zakat paying decisions. These findings further suggest actionable recommendations for regulatory bodies, including the Ministry of Religious Affairs and BAZNAS, to reinforce zakat governance frameworks in alignment with the principles of good governance.