The Waqf (Amendment) Act, 2025, passed by the Indian Parliament in early April 2025 and assented to by the President on April 5, marks a significant overhaul of the Waqf Act, 1995. It renames the legislation as the Unified Waqf Management, Empowerment, Efficiency and Development Act, 1995 (referred to as the UMEED Act). The reforms aim to address longstanding issues of mismanagement, encroachments, opaque governance, and underutilization of waqf properties—estimated at over 9 lakh acres and valued at around ₹1.2 lakh crore—while promoting transparency, gender equality, and broader community participation.

The Act amends over 40 sections of the original law, repeals the Mussalman Wakf Act, 1923, and incorporates extensive recommendations from a 31-member Joint Parliamentary Committee (JPC). It emphasizes digitization, structured government oversight in surveys, and inclusivity. While certain provisions face ongoing legal challenges regarding community autonomy, the core framework for modernization remains a pivotal shift in India’s regulatory approach to religious endowments.

Key Provisions of the Waqf Amendment Act 2025

1. Renaming and Redefinition of Waqf

The Act renames the principal legislation to reflect its goals of unified management, empowerment, efficiency, and development. It updates the definition of waqf and refines eligibility: any person declaring a waqf must possess lawful ownership of the property and provide a self-declaration of faith. It retains waqf by declaration and waqf-alal-aulad (family endowment) but strictly mandates that family endowments cannot deprive legal heirs, especially women, of their statutory inheritance rights.

2. Abolition of ‘Waqf by User’ with a Grandfather Clause

One of the most debated changes is the removal of the “waqf by user” doctrine, which previously allowed properties to gain waqf status through long-term religious or charitable use without formal documentation. To prevent arbitrary claims, a registered waqf-nama (deed) is now mandatory for new creations. However, a Grandfather Clause protects pre-existing properties: historical sites, graveyards, and mosques used continuously for over 50 years and documented in historical surveys generally retain their status, provided they are not disputed as government land.

3. Mandatory Digitization and Central Portal

All waqf properties must be registered via a centralized digital portal within a strict six-month window. This system automates the property lifecycle—including registration, surveys, mutation, audits, leasing, and litigation—allowing for real-time monitoring, geo-tagging, and scientific management to curb unauthorized land transactions.

4. Role of District Collectors and Deletion of Section 40

In a major structural shift, Section 40 of the 1995 Act has been deleted, stripping the Waqf Boards of their unilateral power to inquire into and declare any property as waqf. The survey and verification functions are transferred to the District Collector (or nominated revenue officers). Surveys must follow standard revenue laws, requiring proper notice and mutation processes. If state or public land is found to be wrongly recorded as waqf, the revenue authorities initiate a formal reclamation process.

5. Inclusivity and Representation Reforms

• Non-Muslim Participation: To enhance secular administrative transparency, two non-Muslim members must be included in both the Central Waqf Council and State Waqf Boards. Additionally, the Chief Executive Officer (CEO) of State Boards is no longer required to be a Muslim.
• Women’s Empowerment: The Act mandates that at least two Muslim women must be represented on the Central Council and State Boards, ensuring their voice in governance.
• Sectarian and Social Diversity: The framework guarantees proportional representation for Shia, Sunni, Pasmanda (backward) Muslim communities, Bohras, and Ahmadiyyas, allowing separate boards of auqaf for distinct sects if asset thresholds are met.

6. Restructuring Tribunals and High Court Appeals

Waqf Tribunals retain a three-member composition, typically chaired by a current or former District Judge. Crucially, tribunal decisions are no longer final or insulated from regular judicial review. The Act introduces a clear mechanism allowing aggrieved parties to file an appeal directly in the High Court within 90 days. Furthermore, the Limitation Act, 1963, now applies to resolve prolonged property litigations swiftly.

7. Audits, Financial Accountability, and Development

• Mandatory annual audits by state-appointed auditors or under CAG guidelines for institutions earning above ₹1 lakh.
• The mandatory annual contribution from waqf institutions to State Boards is reduced from 7% to 5%, leaving more disposable income for local charity.
• Enhanced statutory penalties for encroachments.
• A strong legislative focus on utilizing surplus waqf revenues for education, professional skill development, healthcare, and the financial independence of widows and divorcees through self-help groups.

8. Constitutional and Territorial Safeguards

The Act explicitly prohibits the establishment or declaration of waqf properties on lands falling under the Fifth and Sixth Schedules of the Indian Constitution, ensuring that the sovereign land rights and autonomy of tribal communities are fully insulated from endowment claims.

Objectives and Expected Impact

The government positions the UMEED Act as a progressive transition toward a secular, accountable, and transparent administration of community assets, aligning resource management with constitutional values of public welfare. Proponents argue it will unlock the massive economic potential of underutilized urban lands, minimize multi-decade title litigations, and safeguard women’s inheritance.

Conversely, critics and minority bodies maintain reservations regarding the expansion of state executive power via the District Collector’s office, arguing it may dilute institutional autonomy. The ongoing constitutional scrutiny in the Supreme Court reflects the delicate balancing act between maximizing public accountability and preserving institutional minority rights under Article 26.

Supreme Court’s Interim Cap on Representation in Waqf Boards

In All India Waqf Board Association v. Union of India (2024), the Supreme Court of India intervened to address constitutional challenges to the amended Waqf Act. While allowing the modernization and administrative framework to proceed, the Court imposed a temporary interim restriction on non‑Muslim representation. It ruled that, during the pendency of the matter, State Waqf Boards may include a maximum of three non‑Muslim members and the Central Waqf Board a maximum of four. This interim cap ensures balanced representation until the Court finally decides on the constitutional validity of the amended provisions.

Conclusion

The Waqf Amendment Act 2025 (UMEED) represents the most sweeping legislative overhaul of religious and charitable endowments in three decades. By prioritizing central digitization, rigorous revenue verification, intra-community diversity, and judicial accountability, it seeks to transform waqf assets into streamlined tools for socio-economic empowerment. Its long-term efficacy will ultimately rest on a balanced rule-making process, objective administrative execution, and consistent judicial oversight.