Zakat (or Zakāh) is one of the Five Pillars of Islam. Zakat is the Arabic word for "giving to charity" or "giving to the needy". Zakat is a form of almsgiving, often collected by the Muslim Ummah. It is considered in Islam a religious obligation, and by Quranic ranking, is next after prayer (salah) in importance. Eight heads of zakat are mentioned in the Quran.
As one of the Five Pillars of Islam, zakat is a religious duty for all Muslims who meet the necessary criteria of wealth to help the needy. It is a mandatory charitable contribution, often considered to be a tax.Muḥammad ibn al-Ḥasan Ṭūsī (2010), Concise Description of Islamic Law and Legal Opinions, , pp. 131–135. The payment and disputes on zakat have played a major role in the history of Islam, notably during the Ridda wars.Shoufani, Elias (1973), Al-Riddah and the Muslim Conquest of Arabia, University of Toronto Press, .
Zakat on wealth is based on the disposable income of an individual after fulfilling all their essential needs.Décobert, C. (1991), Le mendiant et le combattant, L’institution de l’islam, Paris: Éditions du Seuil, pp. 238–240.Medani Ahmed and Sebastian Gianci, Zakat, Encyclopedia of Taxation and Tax Policy, p. 479, quote: "As one of the Islam's five pillars, zakat becomes an obligation due when, over a lunar year, one controls a combination of income and wealth equal to or above Nisaab." It is customarily 2.5% (or ) of a Muslim's total disposable income after the necessities of their dependents and themselves, and Muslims who do not hold wealth above a minimum amount known as nisab do not need to pay Zakat, but Islamic scholars differ on how much nisab is and other aspects of zakat. According to Islamic doctrine, the collected amount should be paid to the poor and the needy, Zakat collectors, orphans, widows, those to be freed from slavery, the aged who cannot work to feed themselves, those in debt, in the cause of God and to benefit the stranded traveller.
Today, in most Muslim-majority countries, zakat contributions are voluntary, while in Libya, Malaysia, Pakistan, Saudi Arabia, Sudan and Yemen, zakat is mandated and collected by the state (as of 2015).
Shias, unlike Sunnis, have traditionally regarded zakat as a private action, and they give zakat to imam-sponsored rather than state-sponsored collectors, but it is also obligatory for them.
Many Muslims choose Ramadan as a time to calculate and distribute zakat because charitable acts are believed to carry greater spiritual significance during the month. Some online tools are also available to help individuals estimate their zakat obligations.
Etymology The word Zakat comes from Arabic root z-k-w (ز ك و), meaning to purify. Zakat is considered a way to purify one's income and wealth from sometimes worldly, impure ways of acquisition.Ridgeon, Lloyd (2003), Major World Religions: From Their Origins to the Present, Routledge, , pp. 258: "The Quranic term zakat came to signify a form of obligatory charity or alms tax that was seen as a means of purifying the believer's wealth." According to Sachiko Murata and William Chittick, "Just as ablutions purify the body and salah purifies the soul (in Islam), so zakat purifies possessions and makes them pleasing to God."Murata, S. and Chittick, W. C. (1994), The vision of Islam, IB Tauris, London, , p. 16
Doctrine
Quran The Quran discusses charity in many verses, some of which relate to zakat. The word zakat, with the meaning used in Islam now, is found, for example, in surahs: 7:156, 9:60, 19:31, 19:55, 21:73, 23:4, 27:3, 30:39, 31:4, and 41:7.Yusuf al-Qaradawi (1999), Monzer Kahf (transl.), Fiqh az-Zakat, Dar al Taqwa, London, Volume 1, , p. xl, "Qur'an used the word zakah, in the meaning known to Muslims now, as early as the beginning of the Makkan period. This is found in Suras: 7:156, 19:31 and 55, 21:72, 23:4, 27:7, 30:39, 31:3, and 41:7."The English translation of these verses can be read here , University of Southern California Zakat is found in the early Medinan suras and described as obligatory for Muslims. It is given for the sake of salvation. Muslims believe those who give zakat can expect reward from God in the afterlife, while neglecting to give zakat can result in damnation. Zakat is considered part of the covenant between God and a Muslim.
Verse 2:177 (the Clear Qur'an translation) sums up the Quranic view of charity and almsgiving (another name for zakat is the poor due):
According to Yusuf al-Qaradawi, verse 9.5 of the Quran makes zakat one of three prerequisites for pagans to become Muslims: "but if they repent, establish prayers, and practice zakat they are your brethren in faith".Yusuf al-Qaradawi (1999), Monzer Kahf (transl.), Fiqh az-Zakat, Dar al Taqwa, London, Volume 1, , p. xix.
The Quran also lists who should receive the benefits of zakat, discussed in more detail below.
Mention of zakat after prayer suggests that it held a different role than almsgiving. Zakat served as a fine or payment for someone guilty of sin to have Muhammad pray for their purification.
Hadith Each of the most trusted hadith collections in Islam have a book dedicated to zakat. Sahih Bukharis Book 24,, Book: 24 – Obligatory Charity Tax (Zakat) at Obligatory Charity Tax (Zakat) , Sahih Bukhari, University of Southern California Sahih Muslims Book 12,, Book: 12 – The Book of Zakat at The Book of Zakat (Kitab Al-Zakat) , Sahih Muslim, University of Southern California and Sunan Abu-Dawuds Book 9, Book: 9 – Zakat (Kitab Al-Zakat) at Zakat (Kitab Al-Zakat) , Sunan Abu-Dawood, University of Southern California discuss various aspects of zakat, including who must pay, how much, when and what. The 2.5% rate is also mentioned in the hadiths.
The hadiths admonish those who do not give the zakat. According to the hadith, refusal to pay or mockery of those who pay zakat is a sign of hypocrisy, and God will not accept the prayers of such people.Sahih Muslim, , , The sunna also describes God's punishment for those who refuse or fail to pay zakat. On the day of Judgment, those who did not give the zakat will be held accountable and punished.A. Zysow, "Zakāt." Encyclopaedia of Islam, 2nd ed.
The hadith contain advice on the state-authorized collection of the zakat. The collectors are required not to take more than what is due, and those who are paying the zakat are asked not to evade payment. The hadith also warn of punishment for those who take zakat when they are not eligible to receive it (see Distribution below).
Amount
The amount of zakat to be paid by an individual depends on the amount of money and the type of assets the individual possesses. The Quran does not provide specific guidelines on which types of wealth are taxable under the zakat, nor does it specify percentages to be given. However, it clearly indicates to donate the "surplus" of one's income. But the customary practice in the Islamic world has been that the amount of zakat paid on capital assets (e.g. money) is 2.5% ().Medani Ahmed and Sebastian Gianci, "Zakat", Encyclopedia of Taxation and Tax Policy, pp. 479–481 Zakat is additionally payable on agricultural goods, precious metals, minerals, and livestock at a rate varying between 2.5% and 20% (1/5), depending on the type of goods.
Zakat is usually payable on assets continuously owned over one lunar year that are in excess of the nisab, a minimum monetary value.Scott, J. C. (1987), "Resistance without protest and without organization: peasant opposition to the Islamic Zakat and the Christian Tithe", Comparative studies in society and history, 29(03), 417–452 However, Islamic scholars have disagreed on this issue. For example, Abu Hanifa did not regard the nisab limit to be a pre-requisite for zakat, in the case of land crops, fruits and minerals.Yusuf al-Qaradawi (1999), Monzer Kahf (transl.), Fiqh az-Zakat, Dar al Taqwa, London, Volume 1 and Volume 2 Other differences between Islamic scholars on zakat and nisab are acknowledged as follows by Yusuf al-Qaradawi,
Unlike prayers, we observe that even the ratio, the exemption, the kinds of wealth that are zakatable are subject to differences among scholars. Such differences have serious implications for Muslims at large when it comes to their application of the Islamic obligation of zakat. For example, some scholars consider the wealth of children and insane individuals zakatable, others don't. Some scholars consider all agricultural products zakatable, others restrict zakat to specific kinds only. Some consider debts zakatable, others don't. Similar differences exist for business assets and women's jewelry. Some require certain minimum (nisab) for zakatability, some don't. etc. The same kind of differences also exist about the disbursement of zakat. – Shiekh Mahmud ShaltutYusuf al-Qaradawi (1999), Monzer Kahf (transl.) King Abdulaziz University, Saudi Arabia, Fiqh az-Zakat, Volume 1, Dar al -Taqwa, London, , pp. xxi–xxii.
Failure to pay
The consequence of failure to pay zakat has been a subject of extensive legal debate in traditional Islamic jurisprudence, particularly when a Muslim is willing to pay zakat but refuses to pay it to a certain group or the state. According to classical jurists, if the collector is unjust in the collection of zakat but just in its distribution, the concealment of property from him is allowed. If, on the other hand, the collector is just in the collection but unjust in the distribution, the concealment of property from him is an obligation (wajib). Furthermore, if the zakat is concealed from a just collector because the property owner wanted to pay his zakat to the poor himself, they held that he should not be punished for it. If collection of zakat by force was not possible, use of military force to extract it was seen as justified, as was done by Abu Bakr during the Ridda Wars, on the argument that refusing to submit to just orders is a form of treason. However, Abu Hanifa, the founder of the Hanafi school, disapproved of fighting when the property owners undertake to distribute the zakat to the poor themselves.
Some classical jurists held the view that any Muslim who consciously refuses to pay zakat is an apostate, since the failure to believe that it is a religious duty (fard) is a form of unbelief (kufr), and should be killed.Abdullahi Ahmed An-Na'im Na (2010), Islam and the Secular State: Negotiating the Future of Shari'a, Harvard University Press, , pp. 58–63Koylu, Mustafa (2003), Islam and its Quest for Peace: Jihad, Justice and Education, , pp. 88–89 However, prevailing opinion among classical jurists prescribed sanctions such as fines, imprisonment or corporal punishment. Some classical and contemporary scholars such as Ishaq Ibn Rahwayh and Yusuf al-Qaradawi have stated that the person who fails to pay Zakat should have the payment taken from them, along with half of his wealth. Additionally, those who failed to pay the zakat would face God's punishment in the afterlife on the day of Judgment.
In modern states where zakat payment is compulsory, failure to pay is regulated by state law similarly to tax evasion.
Distribution According to the Quran's Surah Al-Tawba, there are eight categories of people (asnaf) who qualify to benefit from zakat funds.
Islamic scholars have traditionally interpreted this verse as identifying the following eight categories of Muslim causes to be the proper recipients of zakat:
Those living without means of livelihood (Al-Fuqarā'''), the poor Those who cannot meet their basic needs (Al-Masākīn), the needy To zakat collectors (Al-Āmilīyn 'Alihā) To persuade those sympathetic to or expected to convert to Islam (Al-Mu'allafatu Qulūbuhum), recent converts to Islam, and potential allies in the cause of Islam To free from slavery or servitude (Fir-Riqāb), slaves of Muslims who have or intend to free from their master by means of a kitabah contract