Zakat: obligatory tax for Muslims

Zakat is the 3rd of the five pillars of Islam. Zakat is obligatory on every Muslim who has a specific level of annual saving. It is to be paid once a year to specific beneficiaries and serves a dual purpose: (1) The growth and general welfare of Islamic society along with distribution of wealth; (2) As a purification of the contributor’s soul by cleansing it from selfishness and greed. The recipient on the other hand is also cleansed of human weaknesses such as envy and jealousy. Is it any surprise then that Zakat means both “growth” and “purification” as highlighted by its objectives above?

Zakat is a 2.5% (minimum) levy on most valuables and savings held for a full year if their total value is more than a basic minimum known as nisab. At present nisab is $1,050 or an equivalent amount of any other currency. It is to be given to the following category of persons:

1. Fakir - One who has neither material possessions nor means of livelihood.
2. Miskin - One with insufficient means of livelihood to meet basic needs.
3. Amil - One who is appointed to collect zakat.
4. Muallaf - One who converts to Islam.
5. Riqab - One who wants to free himself from bondage or the shackles of slavery. (In Singapore, zakat due to this category of recipients is spent on those who need help to pursue education or to improve their standard of living).
6. Gharmin - One who is in debt (money borrowed to meet basic, halal expenditure).
7. Fisabillillah - One who fights for the cause of Allah.
8. Ibnus Sabil - One who is stranded in journey.

Even though Zakat is the easiest act of obedience to Allah, a lot of Muslims these days are founding begging (no pun intended!) when it comes to fulfilling this obligation. Many Muslims are not giving Zakat due to their ignorance of this article or that they are too engaged in their everyday lives. I personally try to remember this important act of obedience to Allah by keeping a count of my savings every Islamic year during the month of Ramadhan. Unlike prayers – God guide us, many of us these days find hard to establish 5 times daily – Zakat needs to be done just once a year! So we really have no excuses for not doing so.

Islam is a religion that stresses deeply on equality and justice. Zakat sets out to establish these important principles on which our civilization is based. One of the reasons why we find ourselves in the rut that we are is because we have distanced ourselves from these basic pillars of our faith. The Qur’an reminds us repeatedly on the importance of prayers (Salah) and Zakat. There is a famous saying of the Prophet (SAW) that states that one’s prayers are useless if he/she does not pay Zakat!

Finally, there are a few places in the Islamic World that are in major turmoil and require our Zakat today. Places such as Palestine where the Israelis and the West have choked our brothers’ livelihood for being defiant against their diktats; Iraq where the greed of the capitalistic West and their expansionist ways has claimed the lives of 655,000 innocent Iraqis since 2003; to Azad Kashmir and Indonesia where millions are still trying to recover from the earthquakes that struck last year. It is our duty to help out our brothers and sisters in need and as believers in the Day of Judgment, our actions today will decide our fate in the Hereafter!