A WAQF also spelled Wakf formally known as Wakf-alal-aulad is an inalienable religious endowment in Islamic law, typically denoting a building or plot of land for Muslim religious or charitable purposes. The donated assets are held by a charitable trust. The grant is known as mushrut-ul-khidmat, while a person making such dedication is known as Wakif.
The term waqf literally means detention. The legal meaning of Waqf according to Imam Abu Hanifa is the detention of specific thing in the ownership of waqif and the devoting of its profit or products "in charity of poors or other good objects".
EXAMPLES OF WAQF
Land & Buildings: Cash is provided by one or more persons as waqf to purchase land and buildings, e.g. a small shopping complex. Once the complex is purchased, the property may be classified as a waqf property and waqf rules apply. The property may not be sold (except to replace), be gifted, or inherited. The property remains intact and may not be spent. The rental income that is produced by the complex may be used for any shari'ah compliant purpose.
EXPLANATION OF WAQF
A Waqf is your Capital Gift or Benevolent Loan to Allah in the form of a charitable endowment. 100% of your donation is invested in an income producing capital asset, remains intact, and is never spent for any expense. Only the income generated ie rental or profits from the capital investment is utilised for funding sustainable community and social development projects or programmes.
As a donor (waqif/a) you may designate the project or programme, or you may leave it to the discretion of your Mutawallees to spend on a need or priority basis. Beneficiaries may be Muslim as well as the poor in the broader community. Of course, waqfs may take the form of masjids, schools, clinics, and other socio-religious assets.
A Waqf may be made by any sane adult male or female and with any amount - not only by the rich and famous, but one and all – irrespective of social or economic background – according to means.