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[Mutawakkil]

Zakat
Definition:
Zakat is the fourth pillar of Islam. It is a compulsion and obligation on everyone who is eligible for paying it. The literal meaning of Zakat is to purify. Prophet (pbuh) said, “God has made zakat obligatory simply to purify your remaining property.”. There is no equivalent practice in other religions or cultures. Zakat is neither a tax levied by a government nor is it a voluntary contribution for social or economic uplift of the society rather an obligation from Allah. Since it is an obligation from Allah, hence it is a form of worship. Significance of zakat can be seen in Quran as it is mentioned frequently with the establishment of Salah.
“Lo! Those who believe and do good deeds and establish Salah and pay Zakat, their reward is with the Sustainer; and no fear shall come upon them, nor shall they grieve.” (2:277)
Thus, while Salah is worship through words and bodily actions, Zakat is worship through wealth. Love of Allah is foundation for the acceptance of both the worships. To ensure the payment of Zakat by eligible people, it is the duty of Islamic state to collect Zakat and distribute it among the deserving people. The first caliph Hazrat Abu Bakkar declared jihad on the tribes who refused to pay zakat. He reasoned that divine law cannot be molded as per an individual preference. However, in a non-Islamic country, it is the duty of an individual to fulfil this obligation and worship and remind fellow Muslims too.

Nisab:
The amount of wealth which make one eligible for paying zakat is called Nisab. The Nisab of gold and silver has been set by Prophet Muhammad (pbuh) as follow:
i) If you have gold stored with you and one year has passed on it. The amount of gold must not be less than 7 tola.
ii) If you have silver stored with you and one year has passed on it. The amount of silver must not be less than 52.5 tola.
The percentage of zakat on belonging is 2.5% of the worth of the asset. Not only gold and silver, but zakat is to be paid on equal amount of cash, merchandise, property bought for resale, livestock, and income derived from properties. The Nisab of assets other than gold and silver will be equal to what is lesser in value between gold and silver.

Spirit of Zakat:
The manifestation of zakat is giving a fixed amount in alms annually but the spirit is the service of mankind. It is evident from Quran and Sunnah that spending wealth for the betterment of social wellbeing of marginalized fractions is among the greatest deeds. It is an obligation rather a burden, which is to be fulfilled at every cost. In Quran wealth is referred to as Allah’s bounty. Allah is owner of everything in the entire universe including everything and anything used and/or possessed by a man.
“Who has created the heavens and the earth, and sends down rain for you from the sky? With if We caused to grow orchards full of loveliness; it is not in your power to make trees grow in them.” (27:60)
Since everything belongs to Allah, we must produce, distribute, acquire, and spend wealth as per his guidance. Not just purification of wealth but Zakat helps in maintaining a balance between poor and rich. It is ordained by Allah with key objective of providing social safety net for those in need.

Benefits of Zakat:
i) Spiritual:
A believer loves Allah more than his own life and wealth. It is a test from Allah for Muslims. Love for life being tested by jihad and love for wealth by zakat. As said in the Quran “The believers have abundant love for Allah”. (2:165)
Paying zakat helps decrease mundane love of man for wealth and protection from sins like hoarding.
“…but My mercy encompasses all things. So, I will decree it for those who fear me and give Zakat…” (7:156)

ii) Moral:
Improvement in wellbeing of poor and need.
Saves society from evils of theft.
Balance between luxury and poverty.

iii) Social:
Backbone of Islamic economic system.
Principle of Social solidarity in Muslim community.
Circulation of wealth.
Security of poor and stability of social structure.

Recipients of Zakat:
The recipients of Zakat are mentioned in Quran in Surah Al-Tawbah, verse 60.
“The alms are only for poor, the needy and those who collect them, those whose hearts are to be reconciled, to free the captives and the debtors, for the cause of God, and for the travelers, a duty imposed by God. God is all knowing, all wise.”
i) The Poor
Those who do not possess any property or assets at all. Even people who possesses property but the worth of the assets is below the standard of Nisab.

ii) Zakat Collector
Aamileen are those who collect zakat and are appointed by Islamic state. All those working in the system of zakat collection can be paid from the zakat money, provided the payments does not exceed half of the total money collected. It is a reward for the collectors.

iii) Whose hearts are allured to Islam
Under this category those Muslims fall who are fresh converts or those who are already Muslims. Zakat given to them under this category means providing them economic security so they can practice their worships. Zakat paid to them is to strengthen their hearts in following Islam without any fear. According to Imam Shafi and Imam Ahmad, the rich can also be given zakat under this category.

iv) Freeing the Slaves
Zakat can also be used to set Muslim slaves free from their masters. The word riqab is derived from raqabah which in Arabic means neck. There are two types of riqab:
a) Slaves of normal kind
b) Bonded labors

v) Debtors
Prophet Muhammad said, “I have been ordered to take zakat from the rich and distribute it among poor”. To fall under this category a debtor is to be poor. A debtor can only be said to be poor if:
a) His debts exceed his assets
b) His net assets are below Nisab.
The necessities of life must not be considered in determining a debtor. Hence, for a purpose of zakat a debtor shall not be obliged to sell his/her home.

vi) For Allah
According to many jurists, this category talks about the mujahedeen and soldiers.

vii) Travelers
Beneficiaries under this category are travelers. A traveler needs not to be poor. If he/she is in need of money and he/she is not in his/her place of residence, that person can be given zakat. Zakat should not exceed the needs of that person. Though it is preferable for the person to take loan than to accept zakat.

These 8 categories are determined by Allah himself. A government or Islamic scholars do not have to work on figuring the deserving masses. The holy Quran specifies how Zakat is to be distributed precisely, but grants Muslims flexibility in its payment.

Persons who can’t be given zakat:
There are some compulsions and restrictions of paying zakat. Parents, siblings, and children can not be beneficiaries of a person zakat. The Banu Hashim can not be given zakat. Lastly, non-Muslims and rich Muslims can’t benefit from zakat.

Importance of Zakat (Economic perspective):
a) Equitable distribution of wealth
b) Cushion the blow of inflation
c) Economic stability
d) Increase in investment