State controlled zakat collection is the most effective way of collecting zakat. However, this system is not without challenges that inhibit the size of zakat revenue to be realized. These challenges are administrative and jurisprudential. A number of publicists have written several books and articles on the collection of zakat by a state. However none of them have considered the fact that this system faces challenges when it comes to the collection of zakat. This research, therefore, has attempted to add to the existing literature by identifying what these administrative and jurisprudential challenges are that affect the collection of zakat by a state. Muslim scholars have also been identified who have consistently since the time of the Prophet (peace be on him) argued for the collection of zakat by a state, but have failed to discuss that this system may be facing administrative and jurisprudential challenges that limit the revenue collected through zakat. These scholars were more concerned with the philosophies behind arguing a case for the collection of zakat by a state. Consequently, this research took upon the task of investigating through the case study approach what challenges certain selected countries faced in the collection of zakat, and whether these challenges are administrative and jurisprudential in nature and accordingly pointed out some recommendations that would aid in overcoming the identified challenges.
Table of Contents
1. INTRODUCTION
1.1 Background
1.2. Statement of the Problem
1.3 Justification of the Study
1.4 Research Questions
1.5 Research Methodology
1.6 Hypothesis
1.7 Statement of the Objective
1.8 Theoretical Framework
1.9 Conceptual Framework
1.10 Limitations
1.11 Literature Review
2. THEORETICAL FRAMEWORK. ANALYSING THE JURISPRUDENCE CONCERNING THE COLLECTION OF ZAKAT BY A STATE
2.1 Introduction
2.2 The Theory behind the Collection of Zakat during the time of Prophet Muhammad
2.3 The Theory behind the Collection of Zakat during the Caliphate Times
2.4 The Theory behind the Collection of Zakat during the Post Caliphate Era
2.5 Conclusion
3. THE ADMINISTRATIVE AND JURISPRUDENTIAL CHALLENGES THAT AFFECT THE COLLECTION OF ZAKAT BY A STATE
3.1 Introduction
3.2 Compulsory Zakat Collection
3.2.1 The Case of Sudan
3.2.2 The Case of Pakistan
3.3 The Administrative and Jurisprudential Challenges That Affect the Collection of Zakat by a State
3.4 Conclusion
4. RECOMMENDATIONS
4.1 Introduction
4.2 Recommendations
5. CONCLUSION
Objectives and Topics
This work explores the administrative and jurisprudential challenges associated with state-controlled Zakat collection. It aims to determine if these systemic challenges impact the effectiveness and revenue potential of Zakat, ultimately assessing its role in poverty alleviation and equitable wealth distribution through a case study of selected Muslim states.
- Historical development of state-administered Zakat.
- Comparative analysis of voluntary versus compulsory Zakat collection.
- Jurisprudential impact of different schools of Islamic thought on Zakat assessment.
- Administrative barriers such as lack of infrastructure and enforcement issues.
- Strategic recommendations for improving Zakat revenue and distribution efficiency.
Excerpt from the book
3.2 Compulsory Zakat Collection
Zakat collection in the Sudan used to be voluntary in nature during the period 1979 to 1983. It then became compulsory in 1984. During the time of voluntary collection of zakat in Sudan the government had established a voluntary fund into which the government used to encourage people to pay zakat. In its encouragement to have its citizen pay zakat into this fund, the government exempted the payers from certain taxes. However, this approach was ineffective in getting zakat payers to pay their zakat into the fund. This is evident from the fact that the zakat revenue collected during that time was only US Dollars 14770 (Sudanese Pound 35 million, 1 SDP = 0.000422 USD calculated at the 17th October 2012 exchange rate) in 1984 and when the compulsory zakat collection system was implemented the collection of zakat revenue increased to US Dollars 212688 (Sudanese Pound 504 million, 1 SDP = 0.000422 USD calculated at the 17th October 2012 exchange rate) in 1989 an increase of about 1500%. Such was the effect of compulsory zakat collection by the state.
From the above, this research concludes that voluntary payment of zakat into a fund established for its collection by the government limits the amount of zakat that can be collected. The disadvantage of such a system is that is allows for zakat evasion, since it is not compulsory. Zakat evasion during the caliphate of Abu Bakr was considered a punishable offence. It was seen, as a right held by the government over the property of the owner of the zakat and therefore, its collection was incumbent upon the state. Thus where the state does not compulsorily collect zakat, its evasion may occur. Evasion of zakat limits the amount of money that would then flow into society thereby hindering the alleviation of poverty and affecting the equitable distribution of wealth in society.
Summary of Chapters
1. INTRODUCTION: Outlines the significance of Zakat as an Islamic pillar and sets the research focus on state-level collection challenges and methodologies.
2. THEORETICAL FRAMEWORK. ANALYSING THE JURISPRUDENCE CONCERNING THE COLLECTION OF ZAKAT BY A STATE: Examines the historical and jurisprudential theories supporting state-managed Zakat, from the time of the Prophet to the post-Caliphate era.
3. THE ADMINISTRATIVE AND JURISPRUDENTIAL CHALLENGES THAT AFFECT THE COLLECTION OF ZAKAT BY A STATE: Investigates practical obstacles through case studies in Sudan and Pakistan, highlighting how legal and administrative gaps affect revenue.
4. RECOMMENDATIONS: Proposes specific improvements, including the harmonization of legal interpretations and the enhancement of administrative transparency and public education.
5. CONCLUSION: Synthesizes the findings, confirming that while state-level collection is ideal, it requires addressing identified administrative and jurisprudential deficiencies to reach its potential.
Keywords
Zakat, Islamic Jurisprudence, State Collection, Poverty Alleviation, Wealth Distribution, Compulsory Collection, Voluntary Collection, Administrative Challenges, Sudan, Pakistan, Fiqh, Shariah, Tax Incentives, Accountability, Zakat Administration
Frequently Asked Questions
What is the core subject of this research?
The research examines the administrative and jurisprudential challenges that hinder the effective collection of Zakat by a state.
What are the central themes of the work?
The core themes include the evolution of Zakat management, the comparison between voluntary and state-mandated collection systems, and the impact of different Islamic legal schools on contemporary Zakat policy.
What is the primary objective of this study?
The main goal is to identify why Zakat revenue collection under state control faces challenges and to provide evidence-based recommendations to maximize its efficiency in alleviating poverty.
What scientific methodology is utilized?
The work employs a qualitative, explanatory, and descriptive research methodology, utilizing library research and case studies of countries like Sudan and Pakistan.
What aspects are covered in the main section?
The main section analyzes theoretical foundations of Zakat in Islamic history, followed by empirical case studies to demonstrate the practical implications of different collection strategies.
Which keywords best characterize this publication?
The publication is characterized by terms such as Zakat, Jurisprudence, State Collection, Poverty Alleviation, and Wealth Distribution.
How did the implementation of a compulsory system affect Sudan's Zakat revenue?
The study notes that switching to a compulsory system led to a dramatic increase in revenue, specifically a 1500% growth, compared to the voluntary fund period.
Why does the author advocate for the Pakistani collection model?
The author favors the Pakistani method of deducting Zakat from financial assets at the source because it reduces collection costs and effectively prevents tax evasion.
- Arbeit zitieren
- Laila Abdul Latif (Autor:in), 2012, The Administrative and Jurisprudential Challenges Affecting the Collection of Zakat by a State, München, GRIN Verlag, https://www.grin.com/document/305929
