ZAKAT Q&A P-02 ||| Let us know Islam

Zakat-Deduction On Taxable Income

Is it permissible to deduct zakat from one's taxable income when preparing a tax filing?

It is permissible to deduct zakat from one's taxable income as one would a charitable donation when preparing a tax filing.

Money Changers' Zakat

Is zakat payable on money changers' capital exchanged within one lunar year?

There is no zakat on money changers' capital exchanged within one lunar year.

Giving Total Zakat To Single Person

May I give all my zakat to a single person?

It is permissible to give all of one's zakat to a single person, but this becomes offensive, though no less valid, if the recipient exceeds the nisab minimum as a result of having received this amount.

Distributing Zakat In One's Area

is it necessary to distribute zakat only in one's area?

It is recommended to give zakat in one's area (and offensive not to), unless recipients in another area are more deserving (such as victims of war, zakat eligible relatives, students of Sacred Law, military jihad soldiers fighting intruders, etc.).

Obligation Of Zakat On Non-Muslims

is zakat obligatory upon non-Muslims?

Non-Muslims and apostates to Islam do not pay zakat, even in Muslim lands, nor do they pay zakat for the time spent out of Islam if they later decide to become Muslim.

Zakat Of One Unable To Pay In Person

Who is responsible for the zakat of one unable to pay in person?

A guardian or trustee must pay zakat from the wealth of a qualifying individual who is unable to pay in person, such as a traveler, prisoner or incapacitated person. 





Ethica Institute of Islamic Finance
1401, Boulevard Plaza, Tower 1
Emaar Boulevard, Downtown Dubai
P O Box 127150, Dubai, United Arab Emirates

ZAKAT Q&A P-01 ||| Let us know Islam

Zakat 

What is Zakat?

"And perform the prayer, and pay the alms; whatever good you shall forward to your souls' account, you shall find it with Cod; assuredly God sees the things you do."(2:1 1 0) 

Zakat is an Islamic tax paid by qualifying Muslims to deserving recipients, and a means to purify one's wealth. It is not charity. Rather, it is a portion of one's property that needy Muslim members of society already own by virtue of it having been in one's possession for one lunar year.Zakat therefore, is distributed, not donated. Unlike charity (sadaqah), which is recommended to give, zakat is obligatory, whose non-payment or late payment is an enormity.

Obligation Of Zakat

Who is obliged to pay zakat?

Zakat is obligatorily due on every sane, adult Muslim male and female. Zakat is due on those possessing the minimum nisab and are free of debt obligations; financial obligations (where the net worth of the individual is below the nisab amount because he owes more than he is worth) exempt one from paying zakat only if the individual exhausts all reasonable means to repay these debts using other forms of surplus wealth (i.e. wealth that exceeds what is normal considered a requirement for living).

Exceptions To Zakat On Estate Of Deceased

When is zakat not paid on the deceased's estate?

Unpaid zakat is not taken from the estate of the deceased unless a bequest specifies that zakat should be paid posthumously, in which case zakat is paid on one-third of the estate, regardless of whether this amount covers the zakat obligation or not; it is permissible, though not obligatory, for the inheritors of the remaining two-thirds of the estate to fulfill the balance of the zakat obligation from their own portion.





Ethica Institute of Islamic Finance
1401, Boulevard Plaza, Tower 1
Emaar Boulevard, Downtown Dubai
P O Box 127150, Dubai, United Arab Emirates