1

Zakat (Almsgiving)
O/N 2013(21)
4 (a) Outline the practice of almsgiving (zakat) in Islam. [10]
Answer:
Zakat is the fourth pillar of Islam. It is an act of worship which benefits mankind. Its importance can be judged
from the fact that it is mentioned 32 times in the Qur’an.The word Zakat is derived from ‘Zaka’ which means
to increase or to bless. Another meaning of the word as used in the Quran carries the sense of purification.
The amount of payment and distribution of Zakat was defined at Madinah in the second year of the Hijrat.
The payment of Zakat is compulsory on every adult, free Muslim who owns property to the extent of the
prescribed rate called Nisab, provided such property has remained in his ownership and possession
uninterruptedly for full one year.

Zakat is payable on cash, gold and silver, jewellery, crops, animals, minerals, agricultural lands and all
kinds of commercial goods.
• On cash, gold and silver: Zakat is paid at a rate of 2 ½%. For example, on such possessions valued as
worth $100000, the zakat payable will be $2500, which is 2.5 percent or one-fortieth of their value. A
person who possesses 612.36 grams of silver or 87.48 grams gold is liable to pay Zakat.
• Produce from Mines: Owners of mines have to pay one-fifth of the produce of mines. This is called
Khums.
• On the produce of agricultural lands is called Ushr is to be found in the Quran. It is levied at the rate of
one-tenth of the agricultural produce of lands benefiting by rain or some natural spring; and one
twentieth of the produce of artificially irrigated lands.
• On all articles of trade exceeding 200 dirhams.
• For every forty sheep or goats- one goat; On thirty to forty cattle, one calf of one year, on every forty
cattle, a two year old calf. On every five camels, one goat or sheep.
• Sadaqah-ul-Fitr is an obligatory charity given on the completion of the month of Ramazan.

The Holy Quran tell us how the Zakat money is to be distributed. It says:
“ Alms are for the poor and the needy and those employed to administer the (funds); for those whose
hearts have been (recently) reconciled (to the Truth); for those in bondage and in debt; in the cause of
Allah; and for the wayfarer…” (9:60)
• The poor and the needy in this category are those people who may have some funds but not enough
to meet the threshold for nisab.
• The destitute: these are the people who have no funds and are living on the very basic necessities of
life.
• Zakat collectors: people appointed by the government to collect and distribute zakat.
• Muslims converts in this category are the new converts to Islam, who are genuinely poor and are
given zakat to help them get on their feet.
• Prisoners of war or slaves: so that they may be able to use zakat funds to buy their freedom.
• People in debt: those who may have incurred debts, to meet their needs but cannot pay them back
are eligible for zakat.
 2

• Travellers: Muslims, who in the middle of their journey are out of funds are eligible for zakat
donations.
• Others: zakat funds can also be spent on people and organization that are engaged in services to
Islam.
It must be remembered that zakat is applicable only on the rightful. i.e. halal, earnings. zakat cannot be used
to purify wealth that is wrongly and illegally earned, i.e. through haram means.
Zakat cannot be paid to
• Non-Muslim
• To one’s husband/wife, parents, children, grandparents, grandchildren, the descendants of the
Prophet (P.B.U.H), and to those who meet the threshold of nisabi.e the minimum amount that a
Muslim must have before being obliged to pay zakat.
• To workers, servants, etc. as wages of their services.
• zakat funds also cannot be used for burial expenses or to pay off the debt of the dead, as it is
imperative according to Sharia that the recipient of zakat should be made owner of it. Therefore,
zakat should not be spent on public project e.g building of road, bridges etc.

Benefits/ importance of Zakat:

Zakat is the 4th pillar of Islam and it was made obligatory on rich Muslims in the 2nd year of hijra. The word
zakat is mentioned 32 times in the Quran. It has the following benefits for the giver, the receiver and the
society as a whole.
Giver
• zakat purifies the heart of the giver of love of wealth and greed and strengthens the giver’s bonds
with God as they give from their wealth to earn God’s pleasure and mercy. The giver is also fulfilling
one of the Pillars of Islam. Zakat is a blessing to the giver as by this act their wealth is multiplied.
Quran says, ‘The parable of those who spend their substance in the way of Allah is that of a grain of
corn, it grows seven ears and each ear has a hundred grains.’ (Al Baqarah 2:261) Moreover, zakat
expiates the sins of a person.
• Payment of zakat provides open handedness, generosity, and sympathy in a Muslim towards the
needy person. Allah says: “ Take the charity (Zakat) from their wealth in order to purify and cleanse
them by way of it.” [ 9: 103]
• On one hand it indicates a person’s sincerity of faith, while on the other hand it shows his
commitment to sacrifice something which he covets ( material wealth) in the way of Allah (SWT). It is
abiding by one of the pillars of Islam, upon which rests an individual’s prosperity in this worldly life
and the Hereafter
Receiver
• it is not only a blessing for the receiver but helps them to meet their needs, it fosters good will and
brotherhood in the hearts of the poor and promotes equality.
 3

• Zakat is a source of power for the needy. In addition to providing the financially stricken poor with
desperately needed capital, zakat also injects in them a dynamic energy, instilling in them the
confidence to provide for their own.
Social
• People come closer together like a single family in which those who have the means show compassion
to those who cannot fulfill their needs. It removes the grudges and ill feelings found in the hearts of the
poor and destitute.
• It prevents extreme financial disparity and associated social evils and crimes.
• It leads to anequal distribution of wealth in the society and prevents its accumulation in the hands of
afew.
• Paying Zakat allows wealth to be distributed equally in a society. It eradicates begging because everyone
is getting their rights.(Social)
• Zakat also stimulates investment and discourages hoarding in the community, if people do not invest
their wealth it will gradually be consumed by zakat, therefore it is an effective way of keeping wealth
in circulation. Prophet said, 'If anyone of you is a guardian of an orphan who owns property, he must
tradewith (invest) it and not leave it till sadaqa (zakat) consumes it' (tirmidhi).