Zakat

Zakat (Arabic: زكاة, also known as Zakada, Zaka, or Zako) is a mandatory wealth payment that a Muslim must give from their property once that property reaches a threshold called nisaab (minimum) and has remained in their possession for a set period. It is one of the five pillars of Islam and is frequently mentioned alongside prayer in the Quran.

Zakat is not voluntary charity. It is a right over wealth, distributed among specified categories of people. Islamic jurisprudence therefore established clear rules: the type of property, the minimum threshold (nisaab), the percentage to be paid, and the recipients.

Nisaab and percentage

Nisaab is the minimum threshold of wealth; zakat is not obligatory if wealth falls below it. Gold, silver, currency, and merchandise are generally valued by the price of gold or silver, with a quarter-percent (2.5%) due annually, once a lunar year has passed since one acquired the wealth. Livestock (camels, cattle, sheep) and agricultural produce have separate rules based on quantity and measure, which vary by type.

Recipients of zakat

The Quran (Surah al-Tawba) specifies eight categories: the poor, the needy, those who collect zakat, those whose hearts are to be reconciled, the freeing of slaves, those in debt, those in the path of God, and travelers. Scholars disagree on how these categories should be understood today, particularly 'those in the path of God' and the freeing of slaves.

Management and implementation

Historically, Islamic states collected and distributed zakat. In later periods, many countries made it a personal matter for individuals to pay, while others (such as some Gulf and Asian countries) established official bodies or legal frameworks. There are also independent charitable organizations and mosques that collect and distribute zakat.

Zakat al-Fitr

Zakat al-Fitr is a special payment made at the end of Ramadan, before Eid. It consists of a fixed amount of food (or its equivalent value) given per person, independent of the annual nisaab threshold. According to jurisprudential sources, its purpose is to enable the poor to participate in the Eid celebration.