Zakah from Salary and EPF: Issues and Challenges

The purpose of zakat is to develop socioeconomic value, and it will be hard to be achieved if there is no active role from the organizer (amil) whom is expected to be professional and innovative in organizing the zakat funds. The objective of this research is to know how the zakat productive empowerment in Islamic law perspective. This research used Library Research. The researcher gathered from the books, journals, magazines, and some reports related to the study. Scientific investigation is a form of qualitative research as it pertains to Islamic science that comes from al-Quran and al-Hadith. Generally, there are three instruments known in the data collection, namely observation, interviews and documents study or literature review. This research used only the documents or literature review. Therefore, Data collection methods used to obtain information related to zakat productive in Islamic law perspective is only based on the documentation method. Documentation is inscribed objects that can provide a wide range of information. To meet this method, data is collected based on information obtained from libraries and documents related to the problems of this study. The result of this research is Productive zakat empowerment according to Islamic law is justifiable, as long as pay attention to the basic needs for each mustahiq in the form of consumptive urgent to be addressed immediately.

Share: Jurnal Ekonomi dan Keuangan Islam

The aim of this article is to find out the conceptual construction of zakat (alms) and taxes in Islamic public finances. Its significance is to propose an alternative for Islamic public policy. It also means to enhance literature on Islamic public finance. This qualitative study is an explorative-analysis, which is intended to unravel key concepts of the classical scholar thought, both from primary and secondary sources. It clarifies various charges in the institution of zakat as like taxation in general economics. This study finds that the ultimate goal of Islamic political economy is the fulfillment of the basic needs of every citizen. Thus, its concepts and approaches are different from conventional economics, which promotes the aggregate economic growth and ignores the well-being of individuals. The government has the competence of public policy to collect something from the public according to its consideration, for example, jizya and kharāj. Regarding fair distribution, the go...

Invest Journal of Sharia & Economic Law

Based on Law Number 23 of 2011 concerning Zakat Management, which strengthens BAZNAS as an institution authorized to manage Zakat responsible for supervising zakat management based on Islamic law, mandate, benefit, justice, legal certainty, integration, and accountability, the purpose of this article is to explain how BAZNAS distributes Zakat in DKI Jakarta. The research method involves literature, including websites, books from the National Amil Zakat Agency, and articles on the studied topics. The National Amil Zakat Agency (BAZNAS) distributes economic empowerment, economic programs, and educational programs from the point of view of dharuriyat (faith, soul, descent, reason, and wealth), hajiyyat, and tahsiniyat (BAZNAS). Regarding Maqāshid Sharia, this paper concludes that the "Jak B Be Taqwa" program, the "Jak B Cerdas" program, the "Jak B Sehat" program, the "Jak B Hijau" program, and the "Jak B Berdaya" program implemented fro...

The use of zakat for income generation is a mechanism where zakat wealth is distributed in a way that helps eligible recipients to generate their income, so that they could be permanently independent after a specific period of time. The idea of such a mechanism, although considerably discussed by many contemporary scholars, is not totally new as it has also been briefly mentioned by some classical jurists. This article thus discusses the concept and proposed mechanism of income generation through zakat underlined by a number of modern scholars together with its related issues of fiqh. This is due to the fact that the zakat as a religious obligation must accordingly adhere to the principles underlined bySharìah beside any other economic objective which it strives to achieve.

The Message of the Glorious Qur'an the Greatest Book on Earth, 2022

Abstract Islām as total way of life is built on five fundamental principles. Out of these five pillars, three are considered a must for all Muslims, while the other two has limitations, which means, it is not obligatory on all Muslims. Kalimat-sh-Shahādah (Declaration of oneness of Allāh and Messengership of Prophet Muhammad), Aṣ-Ṣalāt (establishing daily prayers) and Aṣ-Ṣawm (fasting in the month of Ramaḍān) are the three principles that cut across all and sundry. Zakāt (alms tax) and Ḥājj (Pilgrimage to Makkah for the purpose of worship) is not for all Muslims but, for those who have fulfilled conditions attached to it. This paper, is analytical, jurisprudential and partially empirical in methodology. It appraises Zakāt as an institution in the Qur’ān (Islām) and x-rays its significance. The paper also, examines the categories of recipients of Zakāt, assesses and the status of its collections and distributions in Muslims countries. It also, evaluates its collections and distributions two major Muslim organizations in Nigeria. The paper recommends that, there is a need for Government at state levels to participate actively towards the collection and distributions. This is because, the institution is a spiritual obligation for the Muslims, and if properly managed, poverty, unemployment and other social vices amongst the citizenry will be the thing of the past. The paper equally, call on the Nigerian Supreme Council for Islāmic Affairs to lead from the front in this drive. Keywords: Institution of Zakāt, Qur’ān, Niṣāb, Zakāt al-Fiṭr and Ṣadaqah

Jurnal Ekonomi dan Bisnis Islam (Journal of Islamic Economics and Business)

Zakat has been widely described as a tool of income distribution. Not with standing of the potential of zakat in Indonesia and Malaysia, however, there are some issues in zakat institutions. This study aims to analyze institutional program of collecting zakat in reaching Maqashid Sharia and also to identify the issues over the program conducted by the Selangor and DKI Zakat institutions. This study conducted a case study approach which involved two Zakat institutions in two different countries; Lembaga Zakat Selangor in Malaysia and Badan Amil Zakat Infaq and Sadaqah in Indonesia. Zakat Institution should be the leading institution in economic empowerment of society by using Maqashid Sharia as benchmark indicator to design zakat distribution program. This study found that LZS has fulfilled all aspects of maqashid ShariaSharia in zakat distribution program while BAZIS DKI meet three aspects of maqashid Sharia namely hifdzu ad-din, hifdzu an-nafs and hifdzu an-nasl. It is acknowledged...

Department of Fiqh and Usul, 2008

Zakat in terms of socio-economic role is a mandatory religious duty on the well to do members of the Ummah, to part with a portion of their wealth for the well-being of have-nots and helping other eligible social causes. To practically implement this policy, the Prophet laid down a comprehensive legal framework for its collection and distribution befitting the condition of his time. The classical jurists supplemented it by framing other operational laws to realize efficacious implementation of zakat at their time. In our contemporary time, jurists were faced with the question of efficacy of classical elaboration of zakat jurisprudence to serve the socio-economic objectives of zakat in modern time. Among others the adequacy of classical definition of zakat terms became debatable. The result was the usual divergence of opinions among the contemporary thinkers both with Shari‘ah and Islamic economics backgrounds. This study is primary designed to critically evaluate the opposing views from fiqh perspective.

International Journal of Academic Research in Business and Social Sciences (IJ-ARBSS), 2017

The state Islamic religious authorities in Malaysia distribute zakat funds only to Muslims. In this situation, two questions arise: What about the non-Muslims who are poor and in-need? Are these groups of people not eligible for Zakat Funds? The current paper aims to analyse the distribution of zakat funds by state Islamic religious authorities in Malaysia to non-Muslims. The two aspects analysed were the practise of zakat fund distribution to non-Muslims during the times of the Prophet (PBUH), and the Rashidun Caliphate. In this aspect, the views of classical scholars were considered. The second aspect is the view of contemporary scholars in Malaysia regarding the distribution of zakat funds to non-Muslims. This aspect was argued in the interest of the current set up, as the distribution of zakat funds to non-Muslims must be seriously examined by the state Islamic religious authorities.

This study aimed at reviewing the contemporary systems of zakat collection, drawing insights from Islamic legal theories and economic policies. The study is designed to address many questions regarding the permissibility or otherwise in respect to some collection methods employed by zakat administrators. Thus, the study focuses on topics related to zakat collection including; criteria for zakatability of wealth, the condition of the nisab, the condition of alhaul, condition of full right of ownership, and exempted properties from zakat base. In a bid to find better systems of collection the study discusses issues arising regarding nisab and deductible expenses, issues arising regarding alhaul, and the best methods of determining the nisab in line with contemporary changes. This work considers both classical and contemporary views and practices of zakat collection.

International Conference of Zakat

Zakat is one of the instruments for well-being distribution. Zakat is also one of the most significant institution of Islam, in early Islamic zakat proved to be an extremely effective tool for poverty alleviation and inclusive finance. Total potential of zakat in the OIC member countries ranges from 1.8 percent to 4.34 percent of their GDP. Zakat has the potential to be developed economically. In contrary, development and performance of zakat institutions was relatively poor and this is illustrated by the collection of zakat in Muslim countries on average very low, less than 1% of GDP. Maqashid Syariah is considered intellectual methodologies for Islamic studies and Non-Law studies. This has been used by the Muslim scholars to propose Islamic reform and revival in many aspects of live and to address problems of the Ummah in a way that is in line with Islamic tradition and aspirations. The institutions could make the Maqashid Sharia as an essential benchmark to design zakat distribut...