Setting the scene 

Should religious trusts be above the law? 

In Islamic law, Waqf means properties that are exclusively devoted to charitable and religious intentions. The properties which are classified as Waqf properties cannot be used for any other means, nor can they be sold. 

To centralise Waqf, the Waqf Act, 1954 was enacted. The Act was then amended in 1955 to govern the administration of the Waqf properties. The key motive behind amending the Waqf Act, 1995 was to address the challenges and issues which were faced during the management and regulation of the Waqf properties. 

Passing of the Waqf (Amendment) Bill, 2025 

The Lok Sabha had cleared the Waqf (Amendment) Bill, 2025 on 3rd April, 2025 (Thursday) after a 12-hour-long debate. The Rajya Sabha passed the Bill on 4th April, 2025. The President has also now given assent to the Waqf (Amendment) Bill, 2025, making it the Waqf (Amendment) Act of 2025 (hereinafter referred to as the ‘UMEED Act’).  The UMEED Act is introduced with the aim of increasing transparency, including the judicial overview and addressing issues related to the title disputes. This legislative measure was brought forward to improve the administration as well as the management of the Waqf properties in India. 

Let’s check out what key changes are introduced with the UMEED Act.

Key changes made in UMEED Act, 2025

Following are the key changes introduced with the Waqf (Amendment) Act, 2025. 

Retitled as the Umeed Act

It’s not just the provisions which were introduced or omitted! The Act itself is also renamed. The Waqf Act, 1955, is now renamed as the Unified Waqf Management, Empowerment, Efficiency and Development Act, 1995 (UMEED), also referred to as the UMEED Act. 

Securing the rights of tribal lands

This Act clearly also states that no land will be considered Waqf which comes under Schedule V and VI of the Constitution of India. Rights of the tribals are protected with this amendment, as the Schedule protects these lands. With this change, rights of the tribals are secured and will remain undisturbed. 

Abolition of Section 40 of the Waqf Act, 1995

Section 40 of the Waqf Act, 1995, talks about the powers of the Waqf Board to declare a property as Waqf property. This provision is highly arbitrary in nature and was often criticised. With this 2025 amendment, Section 40 is omitted. 

• Home Minister Amit Shah, in his speech, stated that the total waqf land in India is at Rs. 39 lakh acres. 
• Kiren Rijju also pointed out that over 40,000 litigations related to the waqf properties are pending in the country. 
• It was also pointed out by Amit Shah that out of the 39 lakh acres, 21 lakh acres alone were added after the year 2013, which somehow shows the misuse. 

Fiscal restructuring

One of the other vital reasons behind amending the Waqf law was to introduce more flexibility when it comes to financial aspects. The Act states that the annual compulsory contributions made will be reduced from 7% to 5%. This applies to Waqf whose annual income is at least Rs. 5000, and these funds will now be steered towards charitable actions. With this amendment, the better utilisation of the waqf funds is promoted. These extra funds can be directed towards charitable actions, development of women and children, etc. 

Audits

All the institutions in India which have Rs. 1 lakh or more as their annual income will now be subjected to mandatory audits conducted by the government. This change is introduced to ensure transparency in the financial aspects. 

Incorporation of non-muslim representatives

One of the key changes in the UMEED Act is to enhance inclusivity in the Waqf-related matters. A provision related to the same is added in the UMEED Act. The Waqf (Amendment) Act, 2025, also includes non-Muslim members in Waqf boards at both the central and state levels.  

Exclusion of trusts from Waqf

Waqf and trusts are now to be considered as separate legal entities with the Waqf (Amendment) Act, 2025. In simple words, if any Muslims create a trust, whether after or before this law, it will not be counted as Waqf if it follows other laws related to public charities. This will help in reducing the confusion and ensure that trusts are not confused with Waqfs. 

Implementation of the Limitation Act, 1963 

The Limitation Act, 1963, is now applicable with the Waqf (Amendment) Act, 2025. Section 107 of the Waqf Act, 1955, is omitted with the UMEED Act. This change will be applicable from the date the UMEED Act comes into effect. 

Redressal system and appeal system

A senior government officer will now have the ultimate say instead of the Waqf tribunal when it comes to handling the disputes. The senior officer will now decide whether the property belongs to the government or the Waqf. The UMEED Act also states that people can now appeal the decisions which are made by the Waqf tribunals in the High Courts within 90 days.

Constitution of the Waqf tribunal

The Waqf tribunal will be composed of 3 members, who are recommended by the Joint Parliamentary Committee (JPC).

Transparency

To introduce more transparency in Waqf-related properties, the mutawallis, who are the managers of the Waqf property, will now have to register all the information related to the property in a portal which is centralised all over India within 6 months. 

Inheritance rights and their protection

The rights of children and women (divorced or widowed) and orphans will now be protected more efficiently with the introduction of the UMEED Act. It will be ensured that women and children get their lawful succession before the property is declared as a Waqf property.   

Investigation of the properties

All the properties which are claimed as Waqfs will now have to go through investigations conducted by officers who rank higher than the collectors. 

Removal of Waqf by user

The provision of ‘Waqf by user’ is being omitted by the UMEED Act, 2025. This rule allowed the declaration of a property as Waqf merely due to it being used for religious purposes for a long time. This change will not affect the properties which are already registered as Waqf by a user, with the exception that there is any dispute ongoing. 

Waqf dedication eligibility 

To dedicate a property as Waqf, the individual has to be practising Islam (must be a muslim) for at least 5 years.

With all these changes, only one question comes to our minds. What will be the impact of this new Waqf (Amendment) Act, 2025? 

Impact of the Waqf (Amendment) Act, 2025 on the old Waqf Law

• The accountability and transparency will be enhanced with these amendments in the Waqf Law.
• Properties are dedicated as Waqf.
• Administration of the Waqf properties can now be streamlined with the integration of advanced technology.
• This UMEED Act also supports diversity and inclusion of females as well as non-Muslims in Waqf boards. 

Conclusion

We can conclude that the Waqf (Amendment) Act, 2025 will help in streamlining the governance of Waqf properties in India. This UMEED Act also aims to provide legal clarity, transparency, and judicial oversight. The UMEED Act was criticised by the opposition, stating it is an invasion of religious rights. However, it has promised that these safeguards will protect the religious rights of the Muslims. Engagement of the supporters and a balanced implementation of the UMEED Act will help ensure fair outcomes. 

Frequently Asked Questions

How will the money generated from the waqf land be used?

The money which will be generated from the Waqf land will be used for the benefit of the poor Muslims, for providing educational opportunities to Muslim children, and also for the development of widows and orphans. 

Are traditional or oral Waqf declarations still valid after the amendment?

As per the new amendment, a long-term use of the land for religious purposes and oral declarations made will no longer be considered solely. Now, the Waqf board will have to register the land and provide all valid documents to claim the property.