In the second part, we discuss on meaning of poverty and poverty picture in Malaysia. Beside that, only surpluses asset are subject to zakat. Earning income in variety of means has led to discussion among Muslim scholars about the zakat that imposed upon it. An example of cash zakat is zakat on income earned. It is to be spent upon the poor and disabled for their maintenance; may be given to new converts to Islam who fall in financial distress due to their conversion; may be spent for the liberation of slaves; may be given to those who are in debts; may be given to those travelers who become short of funds while on their journey. Points: Introduction — Its importance — How is Zakat to be spent — Back bone of the economic system of Islam -Conclusion. Science is intimately linked with technology; technology is developed using scientific discoveries and science is reliant on technology to further its ideas.
Under this voluntary system, zakat committees are established, which are tasked with the collection and distribution of zakat. This means that if the sum of the zakatable assets owned by the business is below the nisab at the time zakat falls due haul , the businesses do not have to pay zakat. Zakaat al-fitr has to be handed over to someone who is entitled to it or someone who has been appointed to collect it, at the right time before the Eid prayer. These sources were tapped and utilized by the state to defray its essential expenses incurred on discharging various functions, and also with a motive to distribute wealth among the poor and destitute classes of the society. Zakat is a form of giving to those who are less fortunate. This approach is known as Working Capital considers current assets and deducts current liabilities and the necessary adjustments by adding or deducting clarified items by this equation Hamat,2009.
It is the most important obligation duty after namaz or prayer. The time when it is permissible to give zakaat al-fitr is one or two days before Eid. If his son is rich, he does not have to give zakaat al-fitr on his behalf. Zakāt is to meet the needs of several stakeholders and is a divine duty for which those charged with its management are accountable. Refleksi Ekonomi Syariah dan Outlook 2010. Due to this reasons, amount of zakat on earning collected was more than zakat al-fitr. This system acts not only as a leveling influence but also as a means of developing the higher sentiments of man namely, the sentiments of love and sympathy towards his fellow men.
Zakat is the third fundamental pillar of Islam, with the objective of distributing wealth to the less fortunate Muslim community and would therefore be able. How many categories are there? It has been said 30 times in Quran to pay zakat along with namaz. The study revealed that effective and efficient of zakat administration including method and ways of distribution of zakat become important indicator on the successful Islamic era. A husband has to give zakaat al-fitr on behalf of a divorced wife whose divorce talaaq is not yet final i. A manmust consciously intend Zakat, since without intent it is. Verily As-Sadaqat Az zakāt are only for the poor, the needy, those employed to collect, to attract those whose hearts are being reconciled towards Islam , in freeing the captives, helping those in debt, in the way of Allah i. It is also referred to as the Zakat of the body.
This is done before the beginning of the month of the Muharram which is the first month in a year. Besides, the perceptions from the students are based on their basic knowledge and what they learned in their faculty through 3 parts of questionnaires. This paper will focus on the effect on the distribution of zakat to the poor and needy. Who is obliged to pay it? Therefore, it is really need to have strong and firm institution in order to become an effective administration and organization structure for the Zakat management. Besides, for zakat al-fitr, it was imposed on Muslim in the month of Ramadan only. Benefits of Zakat Zakat, the forth pillar of Islam is obligated to be payed by every sahib-e nisab among the Muslims. It is so said because by giving to the poor the wealth of the community definitely increases and at the same time giver's heart is purified from inordinate love of wealth.
According to the Holy Quran, every Muslim who is able to pay zakat must pay it. The levy of Zakat on the capital and savings at fixed rates and on the produce of land and articles of trade and cattle is intended to distribute wealth in society. If a person wants to give his zakaat al-fitr to a specific needy person, and is afraid that he may not see him at the appropriate time, he should tell him to appoint someone to accept it on his behalf, or to appoint him the giver to take it from himself on his behalf. It is due to the fact that the payment of zakat can be used as the parameter of the obedience of the man to Allah Swt and also can be used to share the wealth from the rich to the poor ones. He would give to those who took it, and it would be given a day or two before Eid al-Fitr.
The paper seeks to explore the work of earn Muslim scholars on accounting in the context of zakat religious levy and the expansion in the revenues and expenditures of the Islamic state, the structure of business in the Islamic state and the religion that shaped the 1Acknowledgements: The author acknowledges the valuable assistance and constructive comments suggested by. There is also have discussion on zakat management i. Al-Mughni, part 2, Baab Sadaqat al-Fitr. Muslims view giving money as the best investment because the return will always be greater since God multiplies whatever you give. Muslims believe it contains the literal word of God.
The first five sources have been mentioned in the revealed book of Islam, while the sixth arose out of the extended application of the Fai properties of the Islamic State. If we make use of this Islamic institution in an intelligent way, do away with the old feudal system and wipe out corruption, the country can be changed into a true welfare state. A man has to pay on behalf of himself and his wife — even if she has money of her own — and his children and parents if they are poor, and his daughter if she is married but the marriage has not yet been consummated. Table of content Page 1. Zakat Obligatory Charity Zakat is a certain fixed portion of the wealth and property that a Muslim is obliged to pay yearly for the benefit of the poor in the Muslim community. The sacred text of Islam, the Qur'an, was written in Arabic within 30 years of Muhammad's death. Anyone who, among other things, is a Muslim, is an adult, has enough money or trade goods whose value increases with time, must pay zakat at the end of the year.
Growth model method This method consider the growth of the capital within the business entity. Islamic Alternative to Poverty Alleviation : Comparative Study between Indonesia and Malaysia Mohsin, Mohammad, 1995 , Economics of Small Business in islam, Visiting Scholar Research Series, No 2, Islamic Research and Training Institute, Islamic Development Bank Mustapha, Nik 1987 , Zakat in Malaysia-Present and Future Status, Journal of Islamic Economics, Vol. The income that received from cash form like salary, gratuity, etc. Kadar ini berdasarkan ketentuan oleh Pihak Berkuasa Agama Negeri-Negeri. Zakat on earning was levy on wealth and consists from several types. Words: 2738 - Pages: 11.
Only 5% use others ways to pay zakat. Meanwhile, example for zakat in kind is zakat paid on crops. The total of zakat collection has been increased drastically yearly right now. Generally, the articles focused on Islamic Macroeconomics issues, the poverty problems regarding on inequality income and the power of zakat in order to alleviate the poverty. The zakat institution should be under the responsibility of the Muslim Government or it also can be under the special Muslim supervisory body that has been appointed by that Government. Let us discuss these sources briefly as under.