Al-Zakat as an Instrument in Islamic Monetary System
Date of Submission
Master of Science in Accounting
Call No. at the Univ. of New Haven Library
AS 36 .N29 Acc. 1982 no.1
The research beforehand which lies within the limits of Social Accounting discusses and deals with Al-Zakat of money owned by individuals during their life. That is, the Islamic tax which is obligatory for each Moslem who is able and owns money and to whom the rules of Al-Zakat apply. Al-Zakat also applies to trading, industrial and real estate companies and establishments.
I have divided this research into five parts. The first part deals with money resources in the First Islamic State 1400 years ago and their distribution outlets since the reign of the Prophet and up until the reign of the right-guided caliphs, namely Ali Abn Abi Talib. In the second part, I discuss the definition of Al-Zakat, its types, the methods of its calculation, the people subject to Al-Zakat and Al-Zakat deservers. Then, I go through that in detail when discussing the method of calculating Al-Zakat which is to be imposed on animal and agricultural wealth, commercial products and goods, real estates, stocks, securities and factories, indicating the amount of money to which Al-Zakat applies and the due dates of Al-Zakat. Then, I define the eight types of people who deserve Al-Zakat money, starting with the poor and the financial and administrative staff who collect Al-Zakat, and stating the conditions which make them subject to Al-Zakat.
In the third part, I move to the methods of distributing Al-Zakat money, the conditions that qualify donors and the due dates of Zakat Al-Fitr, which is the second type of Al-Zakat.
In the fourth part, I compare Al-Zakat to ordinary taxes in order to show the aspects of similarity and difference between them.
In the fifth part, which is the conclusion of this research, I discuss the possibility of investing a part of Al-Zakat money for the benefit of the poor and those in need in the State of Kuwait, the effects of such investment on Kuwaiti economy and the possibility of investing a part of this money outside Kuwait in one of the other Islamic countries—ideas which are quite original in this respect.
At the end of this research I will introduce some relevant recommendations.
Al-Hubeil, Ibrahim Abdullah, "Al-Zakat as an Instrument in Islamic Monetary System" (1981). Master's Theses. 37.