Muslims are being urged to ensure they give safely to good causes during Ramadan, which is set to begin at the end of February and continues until the end of March.

During the month Muslims globally take time to reflect on self-improvement, worship and fast between sunlight hours.

It is also a time when Muslims give 2.5% of their wealth to charity to support people in need. Called Zakat, or Zakah, this can be paid either all year or during Ramadan.

The Charity Commission, the Fundraising Regulator and the Muslim Charities Forum have issued a joint plea to Muslims to ensure they are donating to registered charities and to be alert at the risk of fake charities, websites and appeals.

“While most fundraising is genuine, fraudsters and criminals may take advantage of people’s generosity, especially at times of increased giving such as holy days or after a humanitarian crisis,” they warn in a joint statement.

“Ramadan is a time of generosity and charitable giving for Muslims around the world. Unfortunately, due to this willingness to give fraudsters may try to take advantage.”

They urge charities to:

• check the charity’s name and registration number on the Charity Register – most charities with an annual income of £5,000 or more must be registered.
• make sure the charity is genuine before giving any financial information
• be careful when responding to emails, texts and online messages or clicking on links within these
• contact the charity or finding out more online about it to understand how it is spending funds
• look out for the Fundraising Badge – the logo that says ‘registered with Fundraising Regulator’ – and checking the Fundraising Regulator’s Directory of organisations committed to the Code of Fundraising Practice
• be aware that a face-to-face collector should have a licence from the relevant local authority or in Greater London the Metropolitan Police.

“Giving during the month of Ramadan always rises as the month holds additional spiritual significance and reward, and this generosity must be both protected and encouraged,” said Muslim Charities Forum chief executive Fadi Itani.

“We urge Muslim donors to continue to give generously but to do so with caution. Stopping to think and do the necessary checks before donation will ensure that precious funds reach those in genuine need, can make a real impact in the fight against poverty and importantly, support effective charities in their continued commendable efforts to change the situations of vulnerable people.”

Charity Commission chief executive David Holdsworth added: “Money raised during Ramadan is a lifeline to millions, and there are thousands of registered charities in England and Wales to choose from that work locally, nationally or overseas.

“Looking up a charity on the register is one way anyone can check their money is going where they think it is. Donating to a registered charity is a good way to feel confident of that, because of the standards the law expects of them."

Meanwhile, Fundraising Regulator chief executive Gerald Oppenheim said: “Many people give generously at Ramadan and each year the funds donated by the Muslim community support vital work. Sadly, there are people who set out to take advantage of the generosity of others at this time.

“We encourage donors to carry out a few simple checks to help make sure the cause being donated to is genuine and that this valuable support reaches those it is intended for.”

Zakat advice

The charity National Zakat Foundation has also issued advice to help Muslims who are choosing to give their Zakat during Ramadan.

“To calculate your Zakat, you must first work out the value of your net assets. Then take off what you owe before checking if your assets are equal to, or exceed, the Nisab value (the minimum Zakat sum to pay based on the value of gold and silver). You then work out 2.5% to get your Zakat amount,” said the charity’s chief executive Sohail Hanif.

He urges Muslims to:

• Calculate everything you own, inclusive of both money and assets.
• Calculate everything you owe and deduct this amount.
• Work out the balance and check that it’s more than the Nisab value.
• If it is above the Nisab value, work out 2.5% of this to find out your Zakat amount.

“Not all assets should be included in your Zakat calculation, however, there are many that are. The general rule of thumb is that an asset is Zakatable if you have complete ownership of said asset, the asset is productive, and the wealth is equivalent to the current Nisab or more,” Hanif added.

“Zakatable assets include business assets, cash, investments such as stocks and shares, gold and silver, and any inherited money.

“Non-zakatable assets include the property you live in with no intention of profiting from it, personal belongings include your car or mobile phone and other metals that aren’t gold or silver.”

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