ANSWER-

Zakat is one of the five pillars of Islam. Zakat is an obligatory charity by a Muslim that he has to give to certain people if he owns wealth in a prescribed measure (nisab). There are some issues regarding zakat that a Muslim must know like: Who all are eligible to pay or receive zakat? What is its importance in uplifting the Muslims? We will address these in this answer.

WHO ARE ELIGIBLE TO PAY ZAKAT?

The following hadith answers this query:

Narrated Abu Sa`id Al-Khudri:

“Allah’s Messenger (peace be upon him) said, “There is no Zakat on less than five camels and also there is no Zakat on less than five Awaq (of silver). (5 Awaq = 22 Fransa Riyals of Yemen or 200 Dirhams.) And there is no Zakat on less than five Awsuq. (A special measure of food-grains and one Wasq equals 60 Sa’s.) (For gold 20, Dinars i.e. equal to 12 Guinea English. No Zakat for less than 12 Guinea (English) of gold or silver less than 22 Fransa Riyals of Yemen.)

Narrated Abi Sa`id Al-Khudri: I heard the Prophet (peace be upon him) saying (as above). ( Sahih al-Bukhari 1447, Book 24, Hadith 50 )”

Gold or silver-which of these is a measure of deciding base of zakat?

When zakat was ordered, it was obligatory to pay zakat for a person who owns 7.5 tolas of gold, 52.5 tolas of silver, 5 camels or 40 goats. At that time, the cost of all these things was almost equal. Even today the price of all these things is almost equal except silver. The value of silver has fallen. At the time of the Prophet (PBUH), the price of 7.5 tolas of gold and 52.5 tolas of silver was equal. We are often told that it is obligatory to pay zakat by one who has 52.5 tolas of silver. Why do we forget about 7.5 tolas of gold? Gold is still the basis of currency, but silver is not. That’s why we can’t take silver as a measure to decide the eligibility of a person to pay zakat. The one who has 7.5 tolas of gold should be obliged to pay zakat because today there is a huge difference between the price of gold and silver. For example, today (i.e. on 24-09-2021) the price of 1 tola of silver is Rs 606, according to which the cost of 52.5 tolas of silver is Rs 31815, while the cost of 7.5 tolas of gold is Rs. 360000.

Now analyse, if someone has 7 tolas of gold i.e. 336000 rupees, then he will not give zakat but, a person with 52.5 tolas of silver will have to give zakat, however 52.5 tolas of silver costs only Rs 31815. That is why we should not make silver the base for zakat, but make gold the base.

IMPORTANCE OF ZAKAT

Muslims fail to realise that Zakat is an efficient economic tool that has the potential to transform the Muslim Community from its current social and economic backwardness to the forefront of national development.

Implementation of Zakat and Impact on Poverty

Zakat has been a successful tool for the reduction or even complete eradication of poverty as witnessed during the time (13-22H) of the second Caliph of Islam Hazrat Umar Bin Khattab (R.A) and during the time (99-101H) of Umer bin Abdul Aziz. The condition of people during that time was so prosperous that there was no eligible recipient of Zakat. It is a proven fact from history that if properly managed, Zakat can be a mode to alleviate poverty.

During Hazrat Umar bin Khattab (RA) reign (from 634-644 A.D.), the institution of Bait ul Mal or State Treasury for the management of Zakat funds was set up.

After the caliphate, the major period in terms of zakat management was the period of the Umayyah Government headed by Umar bin Abdul Aziz. He restored the original system of Amils with the Governor of each province working as an Amil. At that time, the system of zakat along with Islamic economics was so strong that the Governor of Egypt once asked Umar bin Abdul Aziz regarding the expenditure of Zakat funds as he was not able to find any eligible person to receive zakat. To this Umar bin Abdul Aziz replied, “Buy slaves and set them free, build a shelter for travellers to rest and help young men and women to get married.”

Prevalent system of Zakat management in India

Though there is no concrete data available regarding Zakat collection in India ( As many of the institutions don’t disclose that how much Zakat they collect) but still as per the findings of the National Zakat Survey “It is astonishing that only 84% of eligible respondents pay Zakat and only 33% of them have the most knowledge about Zakat.” Another disturbing finding is that more than 60% of the people donate to the same set of individuals every year, whereas when asked about whether they have seen changes in the lives of zakat takers, the majority of them (55%) mentioned they do not care about that and just wanted to complete their duty of paying zakat.

Further, according to the sources, most of the institutions that collect Zakat are deducting 40-50 per cent of the collected Zakat in administrative expenses, and these administrative expenses are completely unaccounted for. It is learnt from some sources that the person who goes to collect the Zakat on behalf of the institution gets approximately 40-50% of the collected amount as their commission. This means half of the Zakat amount goes to the individuals who collect the Zakat, and the remaining 50% goes to the institutions. If the person who is giving Zakat to such institutions knows that 50% of his Zakat will go to Zakat Collector as a commission then, probably he will not give his Zakat to such institutions.

This leads us to surmise that our Zakat money is not being used properly and productively for the benefit of the Indian Muslims, to ameliorate their lot. Instead, it is being managed in an unsystematic, unprofessional, and individualistic manner. Though not an authentic figure, as per some surveys Zakat collected in India every year is approximate to the tune of Rupees 25,000– 40,000 crores, which is a huge amount to uplift the socio-economic status of Indian Muslims. It is also estimated that roughly 70% of this Zakat goes only to the Madarsas, where just 3% of Muslims are studying. Rest 30% of Zakat goes to 97% of Muslims, that is the reason why even after paying so much of Zakat for so many years, the Socio-economic status of Muslims has not been uplifted so far.

If we start giving Zakat as mentioned in the Quran, then the situation of Muslims will improve and they will study in Madarsa respectfully by paying the Fee. This is a proven fact from Islamic history that Poverty vanishes when Zakat is given according to Quranic guidelines.

WHO ARE ELIGIBLE TO RECEIVE ZAKAT?

There are 8 categories (of people or causes) mentioned in the Quran where or to whom Zakat can be given.

Surah At-Tauba, Surah 9: 60 says that:

“As-Sadaqat (i.e., Zakat) are only for the Fuqara ( Needy ), and Al-Masakin ( whose means have become stagnant ), and ʿāmilīna ( those who are employed to collect the funds); and Muallafa-tul-quloob ( To attract the hearts of those who have been inclined towards Islam ); and to free the captives (Al-riqābi); and for those in debt (Wal-ghārimīna); and for Allah’s cause (Fi-sabil-illahi), and for Ibn As-Sabil (Hospitality of the wayfarer ); a duty imposed by Allah. And Allah is All-Knower, All-Wise.”

The First four heads are those where it is mandatory to make the recipient of Zakat the owner of the money, and this is his choice where he will spend this money. The Payer of the Zakat cannot decide how the recipient will spend this money. The recipient will be the whole sole owner of the money where he will spend it at his own wish.

The last four heads are those where it is NOT mandatory to make the recipient of Zakat the owner of the money, rather the Payer of the Zakat can spend directly under these heads.

Let’s discuss these 8 categories in detail.

Fuqara ( Poor / Needy )

All poor/needy people come under this head.

Al-Masakin (whose means have become stagnant).

Miskeen means– A person whose economic condition has been stagnant. He may not have daily food problems but, his all means of earning/ income have become standstill/stagnant i.e., he doesn’t have any income but, somehow he is managing his daily needs/food. People should support such person from Zakat money so that he starts earning. The same is mentioned in Surah 107 (Al-Ma’un).

Aamileen

These are the people who are employed to collect the Zakat on behalf of the Institution / Administration.

Generally, these people go in the field for the collection of Zakat within India as well as abroad, especially in the month of Ramadhan. (Though there is no such hard & fast rule that Zakat can be given in the month of Ramadhan only but, the general trend is that people prefer to pay their Zakat during this month).

This is the head where most of the corruption happens as discussed above.

Institutes should not decide the commission of their Aamileen at their own wish. There should be some capping (or upper limit) on the percentage of the amount a Zakat Collector may get as his wage/commission. All this should be decided and fixed by some appointed Islamic body.

Let us discuss it with a practical example. Some Aamileen go to Indian villages to collect the Zakat where hardly they can collect 15,000-20,000 rupees in a month despite putting all their efforts. In such a case, even if we give 40-50% commission to Aamileen then still it’s ok for their hard work of one month. But let us now see the example of those people who go abroad for the collection of Zakat. They collect around 1-2 Crores of rupees in a single month of Ramadhan. Is it justified for the institute to gives them 40-50%of zakat as commission? 50% amount, in this case, would be very huge. Hence, there should be some rationale behind the commission calculation with some capping/ upper limit based on the status of the person who is collecting Zakat. Generally, such people are economically good, they should offer themselves as a volunteer for the collection of Zakat without any commission but, since Quran allows Aamileen to get their wages in lieu of their hard work, hence, if they are taking their wages, that is also OK, but, there should be some upper limit to it.

Muallafa-tul-quloob

Under this head, Zakat can be given to Non-Muslims to attract the hearts of those who have been inclined towards Islam or to those in the camp of the unbelievers who might be brought to help the Muslims or to those newly transformed Muslims, who might come in difficulty if no monetary help was extended to them. It is permissible to award pensions to them or give them lump sums of money to make them helpers of Islam or submissive to it or at least to render them into harmless enemies. During Hazrat Umar bin Khattab’s ( RA ) reign, an ijtihad was conducted and this head was discouraged because he thought that Islam had then consolidated its position and newcomers to Islam were not facing the hostilities that they used to face during the early days of Islam. However, this was only a time being decision taken to be followed in particular circumstances.

Al-riqābi

A portion of Zakat Funds may be spent to free the slaves. Help may be given to a slave for the payment of the ransom money if he enters into an agreement with his master that he will set him free if he pays him a certain amount of money. Nowadays, if any innocent Muslim is arrested wrongly by Police and booked under serious charges of crime like terrorism etc. then, this head of Zakat can be used to get them freed provided that they are innocent.

Wal-ghārimīna

Help may be given out of Zakat Funds to such debtors who would be reduced to a state of poverty if they paid off all their debts out of their own possessions, irrespective of the fact whether they are earning any money or not. Here we need to keep in mind to make sure that there is no misuse of Zakat money. Hence, due diligence is a must.

Fī sabīlil-lahi

It means in “The Way of Allah”. It is a general term that implies all those good works which please Allah. But here, in this case, the majority of the Muslim scholars have opined, the ‘Way of Allah’ stands for Jihad in the Way of Allah. It can refer to almost any effort to make personal and social life conform with God’s guidance, such as the struggle against one’s evil inclinations, proselytizing, or efforts toward the moral betterment of the ummah. This term appears in the Quran in different contexts and can include various forms of non-violent struggles: for instance, the struggle to become a better person. This falls under the category of “Jihad of the self,” an important subject in Islamic devotional works.

Any contribution that was given for Masjid also comes under “The way of Allah”, however, it is agreed by all the scholars that we cannot give Zakat money to Masjid, neither for construction nor for operational expenses. This means that, here in the context of Zakat, the word Fī sabīli l-lahi has a different meaning.

Now, another question arises that If we cannot give Zakat money for Masjid, then, how come we can give Zakat money for Madarsa?

People should contribute to Madarsa but not from the Zakat money. Let the Zakat money go to only those heads/categories which Quran has mentioned. For madarsa, people can contribute separately as they do in the case of Masjid.

Ib’ni l-sabīli

Help from Zakat Fund may be given to a wayfarer on a journey even though he might be quite well off at home. Some arrangements may be done for travellers to facilitate their stay, food etc. from this head.

different ayahs in the Quran regarding Zakat, its importance and its virtues

Surah 9: 103

“O Prophet, accept propitiatory offerings from their possessions to cleanse and purify them thereby ( Take Sadaqah from their wealth to purify them and sanctify them with it ), and help them onward (in the way of virtue); and pray for blessings for them because your prayer will bring comfort to them, and Allah hears everything and knows everything.”

Surah 2: 262

“Those people who expend their wealth in the way of Allah, and then do not follow up their charity with reminders of their generosity nor injure the feelings of the recipient, shall get their reward from their Lord; they will have no fear and no sorrow of any kind.”

Surah 2: 271

“If you practise charity publicly, it is good; but if you give charity secretly to the needy, it is much better for you, for this will expiate many of your sins. Anyhow, Allah is well aware of whatever you do.”

It is better to practise the obligatory charity (Zakat) openly and every other kind of charity secretly. The same principle applies to all other religious practices. It is better to perform the obligatory duties openly and the voluntary ones secretly.

The reason for giving the Zakat openly is NOT to Show off at all but to encourage other people to give Zakat. The moment the intention of showing off come into our mind/heart, then there will be no use of such a Zakat.

HOW THE POVERTY OF MUSLIMS WILL VANISH IF ZAKAT IS GIVEN JUDICIOUSLY TO POOR MUSLIMS-A PRACTICAL CALCULATION

Let us take the minimum amount of Zakat Collection to Rs. 25,000 crores in India. Let us give this amount to 1 crore poor Muslims in the first year. This means we can give Rs. 25,000 each to 1 Crore Muslims who can do some small businesses at their level like setting up of a vegetable cart or tea stall or selling of Cut piece clothes and other kinds of stuff on a bicycle etc. This will help them in earning for their own daily needs.

Next year, some of them will be independent but, some of them still will remain dependent. We can help them next year also and so on. After 7-8 years one day will come when there will be no poor Muslim looking for Zakat to meet his daily needs. This has happened in Islamic history and can happen now also. The only thing is that people need to be wise enough and give their Zakat after due diligence only to the right people.