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  • Zakat And Income Tax

    Posted by abubaker anis on July 4, 2020 at 9:52 am

    I live in UK. I pay 40% as an income tax.Uk is a welfare state,. Government provides, free healthcare, free education to all, unemployment benefits to all who are not working. My point is this is if I already pay a very high income tax, which is used for the welfare of the population, do I still need to pay zakat which is 2.5% . The purpose of the zakat is to take care of the needy. The government on behalf of tax payers, does this job.

    Thanks

    A B Anis

    Umer replied 4 years, 5 months ago 3 Members · 4 Replies
  • 4 Replies
  • Zakat And Income Tax

    Umer updated 4 years, 5 months ago 3 Members · 4 Replies
  • $ohail T@hir

    Moderator July 4, 2020 at 10:47 am

    Salam – According to Ghamidi sb. Zakat on income would be either 10% or 5% as explained in my next comment.

    2.5% applies to yearly savings.

    State’s income tax should be accounted for Zakat, if you are already paying more towards income tax, that covers your Zakat.

    Thanks

  • $ohail T@hir

    Moderator July 4, 2020 at 10:48 am

    مال میں ۲ /۱ ۲ فی صدی سالانہ ۔

    پیداوار میں اگر وہ اصلاً محنت یا اصلاً سرمایے سے وجود میں آئے تو ہر پیداوارکے موقع پراُس کا ۱۰فی صدی

    ، اور اگر محنت اورسرمایہ ، دونوں کے تعامل سے وجود میں آئے تو۵ فی صدی

    ، اور دونوں کے بغیر محض عطےۂ خداوندی کے طور پر حاصل ہو جائے تو ۲۰ فی صدی ۔

  • $ohail T@hir

    Moderator July 4, 2020 at 10:50 am

    Pls. see this thread for details: Discussion 1094 • Reply 1294

  • Umer

    Moderator July 4, 2020 at 10:52 am

    We believe that the Islamic Shariah does not allow the state to impose taxes other than the zakah unless and until they expressly give the state the right to do so.

    The Holy Quran has not of course touched the issue of income tax and issues of application of the directives regarding the zakah and other financial matters. What we have to do is explain our understanding of the Quranic directives and exercise ijtihaad. Since the state has no authority to impose any other taxes when it does it violates the basic rights of the individual. When the government receives some amount in income tax while violating our rights we have in fact paid something which we did not owe the state. This leaves us with a right to consider the paid amount as the payable zakah. Therefore if one owes Rs 1500 in taxes and Rs 1000 in zakah he can only pay the taxes. This would mean he has paid the zakah. This is because the zakah is primarily collected by the state.

    In a nutshell, you can adjust your zakah against the amount paid to the state in respect of income tax or any other taxes for that matter.

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