A Guide TO Zakat Accounting

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A Guide TO Zakat Accounting

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Title: A Guide TO Zakat Accounting

1
A Guide TO Zakat Accounting

Prepared by
Dr. Hussain Hussain Shehatah
Professor of Accounting
Faculty of Commerce, Al-Azhar University
Consultant to Al-Zakat Funds

2
??? ???? ?????? ??????

In the Name of Allah,
The Most Merciful,The Most Compassionate

3
Zakat in The Holy Quran

??? ???? ????? ? ?????
? ?????? ?????? ? ???? ?????? ? ?????? ??
???????? ...
( ???? ??????
????? 43 )
Allah says and be steadfast in prayer
,practice regular Zakat and Bow down
Your heads with those who down ..
( Al-Baqara- 43 )

4
Zakat in THe Sunnah

??? ???? ???? ??? ???? ???? ????
??? ??????? ??? ??? , ????? ?? ?? ??? ??? ????
, ??? ????? ???? ?????? , ????? ?????? , ?
????? ?????? , ??? ????? , ? ??? ?????
( ???? ???????
????? )

5
Zakat in Sunnah-cont.

The Messenger of Allah( peace be upon Him ) said
Islam has been built on five pillars ,
Testifying that there is no God but Allah and
Mohammed is the messenger of Allah, performing
the prayers, paying the Zakat, making, the
pilgrimage to the house of Allah , and fasting
Ramadan
( Buhkary and Muslim )

6
Zakat Accounting Topics( Contents of the Book )

This Book deals with Fiqh and Accounting of
Zakat (Alms) according to Islamic
Jurisprudence . It consists of the following
Topics
- Zakat Rules.( Fiqh ) .
- Zakat Accounting Rules( Principles ).
- Zakat Accounting Statements.
- Zakat Duers.

7
Chapter One

Zakat Rules
(Zakat Fiqh)

8
Zakat Meaning

Zakat means , in Language , Blessing,
Purity, Growth and Uprightness .
It means in Shariah a defined allocating
amount from a defined money for an assigned
people .

9
Zakat and Sadaqa

Zakat may called Sadaqa , Allah says
of their properties ( money) take Sadaqa , that
may Purify and sanctify them and pray on there
behalf..
?? ?? ??????? ???? ?????? ? ?????? ??? ???
?????
-The Word Sadaqah in this verse
refers to Zakat . But it sometimes refers to
Charity .

-Accordingly , every Zakat is a Sadaqa
And a Sadaqa may be a Zakah or a
Charity .

11
Zakat Rules ????? ??????

Muslim Scholars have summarized Zakat
Rules as follow
- Zakat is a Farida from Allah (obligatory ).
- Zakat is a Financial Worship .
- Zakat is a Believe .
- Zakat is Compulsory to Muslims.
- Zakat is Due to an assigned Receivers.

- Zakat is Annuity , except Zakat on Plants
and Fruits , and on Rakaz .
- No Zakat until Wealth exceeds Nisab
- No Duality in Zakat.
- Zakat affairs are the Responsibility
of Government.

- Due Zakat does not obsolete .
- Zakat is Obligatory to Muslims any
where in the world.
-The Muslim who denies the Obligatory
of Zakat is a Non-believer ( Kafir) ,
and who refuses to pay it , is a
Disobeyer.
-

14
Zakat and Tax Differences

-Zakat is a financial Worship ,and a pillar
of Islamic Religion , but Tax is imposed by
the Government by Low ragardless
to Religion.
- Zakat is based on Religious and Ethical
Values ,but Tax mostly ignores such
Values and based on monetary factors .-

- Zakat is calculated according to Fiqh
Rules , but Tax is calculated according
to Governmental Rules.

- Zakatable wealth is gained from Good and Halal
Sources, but Tax Revenues and Incomes
may be earned from Non-Halal and Worse Sources
from the sight of Islam Rules .

- Zakat Rules are stable and permanent
for each Time and place because they
excreted from Quran and Sunnah ,while
Tax Rules are variable.
- Zakat purifies soul and money ,while
Tax does not .

Accordingly ,
Tax is not a Zakat
Zakat is not a Tax

19
Chapter Two Zakat AccountingRules
20

Zakat Accounting Meaning
It mans the calculation, reviewing and
announcing of Zakat on money .It is
governed by a group of Accounting
rules, extracted from the sources of
Islamic Shariah,

21
Zakat Accounting Objectives

They are as follow
- Determining the Zakat Base .
- Calculating the Due amount of Zakat .
- Preparing Zakat Statements and Reports .
- Distributing Due Zakat amongst
its Duers.

22
ZAKAT ACCOUNTING RULES( PRINCIPLES )

Zakat Accounting Rules are as Follow

23
Zakat is calculated according to the
lunar year. Counting starts when the amount of
money attains the Nisab (the minimum amount on
which Zakat should be paid). This includes all
kinds of Zakat except Zakat on agriculture,
fruits, mineral assets and Rikaz (metals found in
the earth).

1. The Lunar Year

24
2. Independence of each Year

Each Zakat year is an independent one, and
Zakat on a given amount of money should not be
more than once in the same year. Duality should
be avoided. The Prophet (Peace be upon him) said
No duality in Zakat giving.

25
3 Actual or Assumed Growth

Actual or assumed growth of an amount of
money is a condition for any Zakat is to be given
from this money. Therefore, Zakat is not due on
fixed assets or things for personal use. This is
because the condition of actual or assumed growth
would not be met.

26
4. Zakat Base should reach Nisab

Zakat is due on money which is abounding (more
than basic needs). No Zakat is due for little
amounts of money. The amount of money should
reach the Nisab. This guarantees that only those
who have the capacity of paying will be obliged
to pay.

27
5. Calculating Zakat on the Total or
Net Zakatable Money

For every kind of money or activity there is a
rule for calculation Zakat which is due on it.
Some are calculated in relation to the total
amount and others are calculated in relation to
the net amount ( Property).

28
6. Grouping Money of the Same kinds together as
Zakatable Base

It is permissible to group cash money of
wealth to cash money available from offers of
commerce and other gained cash money, so that for
all these monies there would be one Nisab and one
Zakat Year.

29
7. Evaluating Zakatable Money according to the
Current value .

Evaluating cash money of wealth and cash money
from offers of commerce to define the due Zakat
should be according to the current value at the
time of paying Zakat. They should not be
evaluated according to the historic value, cost
or market, whichever is less.

30
Equations of calculating Zakat They are as
follows
31

Receptacle of Zakat Zakat Base
Zakatable Money
( Assets),( Less ) - Zakatable Liabilities which
are due to be paid at the moment.

2. Zakatable Money( Assets )
Assets which meet the conditions of
obligatory Zakat.
3. Zakatable Liabilities which are due in
short time.
4. Due Zakat Zakat Base By Zakat Rate

Conditions of Zakatable Money
They are as follows
a. It should be a full ownership.
b. It should be Growing actually or
assumed

c. The completion of one Lunar Year
except for Zakat on agriculture,
fruits, mineral wealth or Rikaz in
earth.

d. Not other kind of Zakat has been paid on
the same Zakatable Money
within the same year.
e. Zakatable Money should exceeds
Basic Needs.

f. Zakatable Money should not include
a Debt which is due at the time.(short
term Debts)
g. Zakatabe Base should reach the (Nisab).

Conditions of Zakatable Liabilities
They are Short Term Liabilities which are due
payment according to the following conditions
a. Liabilities should be related to the activity.

b. Liabilities should be due payment
during the coming year.
c. Liabilities should be legally permissible.

Nisab the minimum amount of
Due Zakat
It is equal to 85 grams of pure gold. A gram
should be evaluated according to current prices
at the time of paying Zakat in the country in
which the original money is located.

The Amount of Due Zakat
When Zakat Base money once reaches the Nisab ,
the Due Zakat is calcuated as follow Zakat
Base x the price of Zakat.

The Price of Zakat
Zakat Rate
It varies according to the kind of money and
activity. It ranges between 2.5 and 20 of
Zakatable Base.

42
Executive Procedures for Calculating Zakat
43

Steps of Calculating Zakat
( Zakat Accounting Procedures )

44
Zakat should be calculated according to the
following steps

1. Defining the date completion the
Lunar year. This date varies
according to the circumstances of the
Zakat giver ( Payer).

With the exception of Zakat on agriculture,
fruits, minerals and minerals in the earth.
In these cases Zakat should given at time of
harvest or the acquisition of the minerals.

In the case of defending the Lunar year for the
first time, the date of beginning and the date of
completing should be defined according to the
date of reaching the Nisab amount.

2. Different Monies owned by the Zakat Payer
should be assessed at
the end of year according to
the rules of Zakat.
From this money it should be
defined on which Zakat must be given.
They are called Zakatable Money (
Assets).

3. Assessment of Taxable Liabilities
(deductions) which are due to be deducted from
Zakatable money according to the rules of
Zakat.

4. Defining the receptacle of Zakat ( Zakat
Base ) by the deduction of Due Liabilities
from Zakatable Money by the following equation.
The receptacle of Zakat ( Zakat Base )
Zakatable Money Due Liabilities.

5- Calculating the Nisab as mentioned
before. Each kind of Zakat has a
special Nisab .

6. A comparison should made between the Zakat
Base, defined in step 4 above, with Nisab
defined in step 5. So as to know whether
Zakat is due or not. If the Zakat Base has
reached the amount of Nisab, then Zakat would be
Due.

7. Define the amount which should be taken
from the receptacle of Zakat ( Zakat Base ),
it is as a Percentage
, it is culled the Price of Zakat ,
It varies from 2,5 to 20 of
Zakat Base

8. Calculating the amount of Zakat by
multiplying the amount of the
receptacle by the amount of the price (or
percentage) of Zakat. The result should be
the amount of due Zakat.

9. Define who pays the due Zakat a
follow
a. For individuals and personal establishments
The individuals or the owner should pay the due
Zakat.

b. For partnership
The amount of the due Zakat should be
divided between the partners, each
according to the percentage ofhis share in
the capital of partnership.

c. For investment companies
The amount of the due Zakat should be
divided on the number of shares to
know the amount of Zakat due on each
share. Each investor should then pay
Zakat according to his ownership of
shares.

d. For partnerships of labor and capital
(mudarabah Sahriyyah) The laborer (Mudarib)
pay Zakat according to his share of
profits. Whereas the financier (Mumawwil)
should pay Zakat on the capital and the
profit less the laborers share.

10. Zakat Amount should be distributed
according to its duers in the light
of the rules of Islamic Law (Shariah).

It is permissible to give Zakat to institutes
or committees of Zakat to redirect the funds in
their due activities and persons according to
Islamic Law (Shariah).

Zakat Duers
Zakat Funds should be spent as mentioned in the
Holy Quran

???? ???? ?????? ??????
???? ??????? ??????? ? ???????? ??????????
????? ? ????????? ?????? ???????? ??????? ?
???????? ??? ???? ???? ???? ?????? ????? ?? ????
????? ???? ???? ( ???? ?????? 60 )

Zakat are for the Poor, and the Needly,and
Those Employed to administer the funds, for those
whose hearts have been recently reconciled to
Truth , for those in Bondage and in Debt , In the
cause of Allah , and the Wayfarer , Ordained by
Allah , and Allah is full of knowledge and Wisdom
.
( Al Tawbah -60 )

The Duers of Zakat as mentioned in this
Verse are as f0llow
1. The poor.
2. The needy people.
3. Those employed to administer the
Funds.

4. Those whose hearts have been
recently reconciled to Truth
5. Those in Bondage.

6. Those in Debt.
7. In the cause of Allah.
8. The wayfarers.
We well discuss this in more
detail in chapter four

Zakat Accounting
Tools and Methods

In order to calculate Zakat on money, an
accountant needs the following tools and methods
1. General Balance Sheet (Financial Position)
made on the date of calculating Zakat.
2. Final Accounts for the ended year, on
which Zakat is to be calculated.

3. Clarifications concerning the Balance
Sheet and the final accounts, such as
- Current value of Zakatable assets.
- Bad and good debts to be baid.
- Bad and good debts to be collected.

- Revenue from fixed assets which are for
collecting or for investment.
- And other necessary clarifications
concerning calculating Zakat.

4. The price of Gold at the time when
paying Zakat is due, in order to
calculate the Nisab
5. Different Monies possessed by the Zakat
giver should be grouped if they are of the
same kind.

6.Different contemporary Fatwas
concerning Zakat.
7. The guide for calculating Zakat.
8. Other accounting tools and methods
which may be useful for calculating
Zakat.

The diagram in the following summarizes the
procedure for calculating Zakat on money.

73
Diagram for calculating Zakat

Starting Point
(1)
(2)

Prepare the general Balance Sheet and
clarifications on it
Define and assess the Zakat assets
74

Define and assess liabilities which must be met
Define the receptacle of Zakat by deducing (3)
from (2)(Zakat Base )
Define the Nisab according to the price of gold
75

Compare the receptacle of Zakat with the Nisab
Calculate the Due Zakat if the receptacle
reaches the Nisab
The Due Zakat Zakat Base By Zakat Rate
76
Third Chapter Zakat Accounting Statements
( Forms)
77

This chapter includes a number
of simplified accounting Statements to
calculate Zakat on money and other activities in
the light of information mentioned in the
previous chapters.

These statements are meant to be used as a
guide for accountants when assessing the
receptacle of Zakat, and when advising the Zakat
giver, whether he is an owner of a personal
establishment or a partner with others in a
private company or a share holder in an
investment company.

The Statements are as follows
1. A Statement to calculate Zakat on wealth
in cash.
2. A Statement to calculate Zakat on
Commerce and Industrial Wealth.

3. A Statement to calculate Zakat on Plants
and Fruits.
4. A Statement to calculate Zakat on Cattle.

5. A Statement to calculate Zakat on mineral
and marine wealth, and minerals in the earth.
6. A Statement to calculate Zakat on
Revenues from Investment in Fixed Assets.

7. A Statement to calculate Zakat on revenue
from Labor.
8. A Statement to calculate Zakat on
revenue from Freelance Work.

83
(1)Zakat Accounting Statements on Cash
wealth) ???? ?????? ??????? )
84

Zakat on cash wealth includes Banknotes, Coins,
Silver, Gold Money as well as Ingots of gold,
Current Accounts in Banks and Investment Accounts
in Banks and Investments in Shares and Bonds and
Like Investments.

The Nisab for cash wealth is 85 grams of pure
gold, or its equivalent in cash, or 595 grams of
pure silver. The Islamic Commission for Research
has recommended to use the Nisab in gold.

The Zakat Rate on Cash Wealth is 2.5
The Amount of Due Zakat
Zakat Base by Zakat Rate

The calculation steps are as follows
a. Define the time when the Zakat is due
(Al-Hawl), which starts from the time when
the amount of money reaches Nisab.

b. Define all items of Cash Wealth, on
which Zakat must be paid
(Zakatable Money).
c. Asset all items of cash wealth
according to market value at the time when
Zakat is due.

d. Deduct all Liabilities on the Zakat giver
from his cash wealth so that to know the
receptacle of Zakat.( Zakat Base ).

e. Compare between the receptacle of Zakat
and the Nisab, which is equivalent to
85 grams of gold according to the market
value. If the receptacle reaches the
Nisab, then Zakat is due to be paid.

f. Calculate the amount of Zakat by
multiplying the receptacle by the price of
Zakat, which is 2.5.
The following statement shows an example of
calculating Zakat on cash wealth

92
Zakat Statement on Cash Wealth for the year
ended / /
Total Sub-total Item
Elements of cash wealth - Saudi ryal - American Dollar (after assessing according to market price) - Gold and silver monies (after defining weight or number)
93
Zakat Statement on Cash Wealth for the year
ended / / (Continue)
Total Sub-total Item
- Pound Sterling (after assessing according to market price) - Ingots of gold and silver (after defining weight) - Investment bonds (after assessing according to market price) - Jewelry for investment (after assessing according to market price) - Jewelry which exceeds the amount normally used for beautification.
94
Zakat Statement 0n Cash Wealth for the year
ended / / (Continue)
Total Sub-total Item
Total Zakat cash money Deduced Debts which must be paid now by the Zakat giver (if any) Cash wealth Zakat Receptacle Compare with the Nisab (the equivalent to 85 grams of gold) if receptacle reaches the Nisab, then Zakat should be calculated as follows Amount of Zakat Zakat receptacle x 2.5
95
(2)Accounting Zakat Statements on Trading
and Industrial Wealth(???? ???? ??????? ????????
)
96

This Zakat is imposed on Wealth for Trading
which is to be bought or sold with
the intention of Trading to earn a profit.

Goods (properties ) for acquisition and
personal use and not for selling or trade are not
Zakatable. No Zakat, therefore, are due on them,
as they are not added to Zakat Base
such as
Fixed Assets and
Personal Assets for use .

The definition of receptacle of Zakat (Zakat
Base ) on Wealth for trading and calculating
their amount should be done according to the
following steps

a) Define the end of the Zakat year. Which
may be the same date as the end of the
financial year for an establishment or a
company.
b) Define and assess the elements of Zakat
such as goods, duties, documents of
payment, investments in stock for
trading and cash in banks and cash in safe ..etc.

100

c) Define and assess the elements of
immediate current liabilities which are due for
payment from the Zakatable Wealth.
d) Define the Receptacle of Zakat ( Zakat Base )
by deducing the current liabilities (item c)
from the Zakat assets (item b) and add any earned
money
(if applicable).

101

e) Define the amount of the Nisab, which
is the equivalent to 85 grams of gold , and
then compare with the receptacle of Zakat
f) Calculate the amount of Zakat. If the
receptacle reaches the Nisab, Zakat should be
calculated as 2.5 in the case of a lunar year,
and 2.577 in the case of a solar year.

102

The following statement shows a form for
calculating Zakat on Trading Wealth and the
question of other trading activities such as
industrial activity

103
Zakat Statement on Trading and Industry
Wealthfor the year ended / /
Total Sub-total Item
Zakatable Wealth for trading such as - Goods for Trading - Duties / documents of payment - Investments for trade. - Cash in banks. - Cash in safe.
104
Zakat Statement onTrading and Industry Wealth
for the year ended / /
Total Sub-total Item
Deduced Short Term Liabilities such as Debtors / documents of payment (to be paid). - Suppliers. - Loans due. - Other Short Term Liabilities.
105
Zakat Statement onTrading and Industry
Wealthfor the year ended / / (Continue)
Total Sub-total Item
Net Zakat Wealth for Trade Added Earned money (if any). The receptacle of Zakat on wealth for trade.( Zakat Base ) Compare with the Nisab (the equivalent to 85 grams of gold) if the Zakat Base reaches the Nisab, Zakat should be calculated as follows Amount of Due Zakat Zakat Base x 2.5
106
(3) Zakat Accounting Statement on Plants
and fruits) ???? ?????? ??????? )

107

What is meant by agriculture is anything
which comes out of the earth and is
planted by seeds, from which man, animal
and bird feed. And, by fruits
everything which trees carry which is to
be eaten.

108

Zakat on agriculture and fruits are due at
the time of harvest or collecting,
according to Allahs instruction
??? ???? ????? ? ????? ( ????? ??? ??? ????? )
but render the dues that are proper on
the day that harvest is gathered
(Al-Anam, or Cattle,
141)

109

Therefore, if an area of land produces more
then one crop within the year, its owner should
render zakat on each crop separately.

110

The following are steps of Calculating the
Zakat of Zakat on agriculture and fruits and
calculating their Due amounts

111

a) Measure the total production of the land
either by production quantity or cash.
b) Define the expenses on the production, if the
opinion adopted is that which says that expenses
should be deduced as far as they do not exceed
the third, which is the opinion of the Sixth Fiqh
Seminar of Barakah.

112

c) Define the Zakat Base by deducing (item b)
from the (item c).
d) Define the amount of the Nisab, which is
equivalent to 5 Awsaq, or the equvalent to 50
Egyptian Kaylah, or 653 kg of wheat
d) Define the Zakat Rate according to the
Method of Watering , 5 or 10 .

113

e) Calculate the amount of Zakat as follows
- In the case of watering by cost
Amount of Zakat
Zakat Base x 5
- In the case of watering without cost
Amount of Zakat
Zakat Base x 10

114

The following statement shows a form for
calculating Zakat on Plants and fruits

115
Zakat Statement on Plants and fruits for the
crop
Total Sub-total Item
The value of the crop - Deduced - The expenses of farming (with the condition that they do not exceed one third of the value of the crop). - The cost of farming. - Governmental taxes. - Other expenses related to the crop. Net value of the crop. Deduced Currently due debts (if any).
116
Zakat Statement on Plantsand Fruits for the
crop(Continue)
Total Sub-total Item
Zakat Base of Plants and fruits. Compare with the Nisab, the value of which is 5 Awsaq or their equivalent. if the Zakat Base reaches the Nisab, Zakat should be calculated as follows Amount of Due Zakat in the case of watering by cost Zakat Base x 5 in the case of watering without cost Zakat Base x 10 The amount of Zakat should be taken from the crop.
117
(4) An Accounting Statement for Zakat on
Cattle )???? ??????? )
118

What is meant by cattle is camels, cows, sheep.
Zakat is due on them only if they are bred for
multiplication on cattle differs according to
the kind of species. For camels it is five, for
sheep it is forty, whereas for cows it is thirty.
One should refer to Fikh books for more details.

119

The following steps should be followed to
assess the receptacle of Zakat on cattle and to
calculate its value at the end of the year

120

a) Define the number of cattle,
deducing the working animals and the ones
ready for trade (for which there is a
different way of calculating
Zakat.

121

b) Compare the number with Nisab. If it is less
than the Nisab, then no Zakat is due.
c) Define which category the number falls into,
in order to define the amount of due Zakat.

122

d) Define the Zakat due according to tables in
Fiqh books.
We include on next Slide a form for
calculating the Zakat on cattle.

123
Zakat Statement on Cattle for the year ended /
/
Sheep Cows Camels Item
The total amount of cattle Deduced - Working animals (exempted). - Animals prepared for trade (there is a different system of calculating their Zakat). The receptacle for Zakat on cattle.
124
Zakat Statement on Cattle for the year ended
/ /
Sheep Cows Camels Item
The receptacle for Zakat on cattle. Compare with the Nisab (5 camels, 30 cows, 40 sheep), if the receptacle reaches the Nisab Calculate the amount of Zakat according to the relevant schedules.
125
(5) An Accounting Statement for Zakat on
mineral and marine wealth and
minerals in the earth ( ???? ?????? ???????? )
126

Mineral and marine wealth include anything
of value which is brought out from the earth
or the bottom of rivers, seas or oceans.
Minerals in earth (Rikaz) are treasures which
are buried in the earth.

127

The Nisab for minerals and marine wealth is
the same as the Nisab for cash wealth, i.e., the
equivalent to 85 grams of gold. On the other
hand, Zakat is due on minerals in the earth
regardless of their quantity. For both categories
there is no need to wait until a year ends.

128

The following steps are for defining the
receptacle of Zakat on minerals and marine
wealth

129

a) Define the net production from the earth or
sea, on which Zakat must be paid.
b) Compare the net production with the Nisab
(the equivalent to 85 grams of gold) in the
case of mineral wealth. For Rikaz there is no
Nisab.

130

c) Calculate the amount of Zakat, if the
receptacle reaches the Nisab, the basis of
2.5 for minerals and 20 for Rikaz.
We include on next slide a form for
calculating the Zakat on mineral and marine
wealth.

131
Zakat Statement on mineral wealth for
operation number dated on
Total Sub-total Item
Net value of mineral and marine wealth - Net value of mineral wealth. - Net value of marine wealth. Net value of mineral and marine wealth.
132
Zakat Stateent on mineral wealth for operation
number dated on(Continue)
Total Sub-total Item
Net value of mineral and marine wealth. Compare the Nisab (85 grams of gold) with the receptacle of Zakat. If the receptacle reaches the Nisab, then Zakat should be calculated as follows Amount of Zakat Zakat Base x 2.5
133

Zakat on mineral and marine wealth after the
completion of production sorting, purification or
cleaning and preparation for sale.
Machinery, manpower and other expenses of
production are not be deduced.

134
6 An Accounting Statement for
Zakat on revenue of Fixed
Assets ( ???? ????????? )
135

It is a Zakat on revenue from investing
Fixed Assets reoccurring, such as real
estate, cars and others.

136

No Zakat is due on the actual assets because
they are of the same category as assets obtained
for establishments (fixed assets). Zakat, however
is due on their revenue once these revenues reach
the Nisab, after deducing actually paid expenses
and debts which are currently due.

137

Receptacle of Zakat on investment assets is
calculated by deducing actually paid expenses and
debts which are currently due from revenue
Due Zakat is calculated according
to the following steps

138

a) Define the total annual revenue at the
end of year.
b) Define all expenses of getting the
revenue.

139

c) Deduce expenses which are actually
paid from the total revenue to define
the net revenue, on which Zakat
must be paid.

140

d) Deduce currently due debts which the
Zakat giver must pay and also the cost of
original matters, if they were not deduced
from any other receptacle of Zakat.

141

e) The net of all the above should be added
to any cash and trade goods owned by the Zakat
giver and on which no Zakat is paid at
the end of the year to ascertain the
receptacle.(Zakat Base ) .

142

f) Compare receptacle (e) with the Nisab,
which is the equivalent to 85 grams of gold.
If the receptacle reaches the Nisab, then Zakat
should be calculated on the basis of 2.5,
which is the chosen opinion for the
present guide.

143

The Following is a Statement for Zakat on
Revenue from Investment Fixed Assets

144
Zakat Statement on Revenue from Fixed Assets in
the year which is ending / /
(Continue)
Total Sub-total Item
Total annual revenue Deduce - Costs of and expenses which are related to the revenue and which are actually paid.
145
Zakat Statement on Revenue from Investment Fixed
Assets in the year which is ending / /
(Continue)
Total Sub-total Item
Deduce - The expenses of the original matter which is actually paid. - Debts which are due currently. Receptacle of Zakat on revenue from investment assets( Zakat Base )
146
Zakat Statement on Revenue from Investment Fixed
Assets in the year which is ending / /
(Continue)
Total Sub-total Item
Add cash, earned money, net of receptacle of trade if no Zakat is paid on them. Receptacle of Zakat ( Zakat Base ) Compare with the Nisab (the equivalent to 85 grams of gold) when receptacle reaches the Nisab, Zakat is as follows The Amount of due Zakat Zakat Base x 2.5
147
7. An Accounting Statement for Zakat
on revenue from Work( ???? ??? ?????
)

148

This category includes wages,
salaries, income from freelance work and won
money. Zakat must paid on what remains of this
money at the end of the year by adding it to
other monies owned by the Zakat giver when
calculating the Nisab and the Zakat year.

149

The following are the steps to define the
receptacle of Zakat and to calculate what is
due at the end of year

150

a) Define what remains from the
revenue at the end of the year after
deducing what is actually paid from
costs of basic needs and after
paying outstanding debts, if there were
any which were not deduced from other
receptacles of Zakat.

151

b) Compare what remains in step (a) with
the Nisab (85 grams of gold) to know
whether Zakat is due or not.
c) Calculate the amount of Zakat if the
receptacle reaches the Nisab, on
the basis of 2.5.

152

The Following is a Statement for
calculating Zakat on revenue from work.

153
Zakat Statement on Revenue from Work in the year
which is ending / /
Total Sub-total Item
Total Salary during the year Total other revenues during the year Deduce - Costs of basic needs which are actually paid. - Costs of acquiring the revenue which is actually paid. - Paid Debts.
154
Zakat Statement on Revenue from Work in the
year which is ending / / (Continue)
Total Sub-total Item
Net salary and other revenues Add Other cash monies (if there are any) on which no Zakat is paid. Receptacle Of Zakat( Zakat Base )
155
Zakat Statement on Revenue from Work in the year
which is ending / / (Continue)
Total Sub-total Item
Compare with the Nisab (the equivalent to 85 grams of gold), If the receptacle reaches the Nisab, then Zakat is calculated as follows Amount of Zakat due Zakat Base x 2.5
156
(8) An Accounting Statement of Zakat on
revenue from Freelance Professions( ???? ?????
????? )

157

The following are the steps to define and
measure the receptacle of Zakat on revenue from
freelance professions

158

a) The professional should define a
date for ending the Zakat year, which
may be the end of the financial year
for example.
b) Calculate all direct revenues from
practicing the profession from the
beginning to the end of the Zakat year.

159

c) Define expenses and costs which were actually
spent in order to get the revenue from
practicing the profession.
d) Define the basic needs for the Zakat giver and
his dependants which were actually spent during
the year.

160

e) Define the debts which were paid by the
Zakat giver during the year (if there
were any).
f) Define the receptacle of Zakat by
deducing (b, c, d, e,) from (a).

161

g) Compare the receptacle from the previous
step with the Nisab (85 grams of gold).
h) Calculate the amount of Zakat if the
receptacle reaches the Nisab on the basis of
2.5.

162

A Statement for calculating Zakat on
revenue from freelance professions is on next
slide. A form for calculating Zakat on
revenue from freelance professions is on next
slide.

163
Zakat Statement on Revenue from Freelance
Professions in the year which is ending / /
Total Sub-total Item
Total revenues during the year Deduce - Costs of practicing the profession. - Costs of basic needs of the Zakat giver and his dependants, which are actually paid. Deduce - Paid debts
164
Zakat Statement on Revenue from Freelance
Professions in the year which is ending / /
(Continue)
Total Sub-total Item
Receptacle of Zakat ( Zakat Base) Compare with the Nisab (the equivalent to 85 grams of gold), If the receptacle reaches the Nisab, then the amount of Zakat is as follows The Amount of Zakat due Zakat Base x 2.5
165
CHAPTER FOUR

ZAKAT DUERESMASARIF AL-ZAKAT

166
Zakat Duers in Quran

?????? ????? ????? ?? ?????? ???? ?? ??? ? ???
??? ?? ???? ?????? ?????? ? ???????????????
???????????? ????????????? ???????????????
??????????????? ????????? ????????????????
??????????? ????? ?????????? ???????????????
????? ??????? ??????? ??????? ??????????
????????? ????? ??????? ????????? ??????? ???????
? ???? ?????? 60 .

167

Zakat are for the Poor, and the Needly,and
Those Employed to administer the funds, for those
whose hearts have been recently reconciled to
Truth , for those in Bondage and in Debt , In the
cause of Allah , and the Wayfarer , Ordained by
Allah , and Allah is full of knowledge and Wisdom
.
( Al Tawbah -60 )

168
Zakat Duers ( Masarif )

The Duers of Zakat as mentioned in the Holy
Quran are as f0llow
1. The Poor.Those are under the standard
of Living ,i.e. They suffer in finding the
essencials of basic live .
2. The Needy people Those are under the
normal standard of live .
3. Those employed to administer the
Funds.

169
Zakat Duers- cont.

4. Those whose hearts have Been
recently reconciled to Truth and
become Muslim.
5. Those in Bondage., such as to free
Muslim Prisoners .

170
6. Those in Debt such as those whom are
Debaters and unable to pay their Debts . 7.
In the cause of Allah for Gihad to make the
word of Allah is the Hiarer , and who Fight
for Islam
171

8- The Wayfarer Travellers Whom their
Money has been lost oir finished .

172
Zakat Duers in The Sunnah

???? ???? ???? ??? ???? ???? ???
.... ???? ?? ???????? ???? ??? ??????? ... (
???? )
The Prophet ( PBUH. ) said Take from the
Rich among them and paid it to the Poor among
them .( related by Moslim)

173
Zakat Duers Rules

Muslim Scholars have summarized the main Rules
of Zakat Dures as follow
1- The Poverty those under Living
Standard
2- The Needy those who need for
satisfy the essentials of Living

174

3- Zakat Funds should not be paid to rich
people or to any person able to work .
4- Zakat Funds should not be given to
Relatives whom the Zakat payer is
compulsory to spend, such as Parents
5- It is permitted to transfer Zakat Funds
from place to another for Poor Relatives.

175

6- It is permitted to give Zakat Funds to
the following
Poor Students
Poor Silly People
Poor Relatives
Poor Coming to Marriage
Poor Orphans

176

7- It is permitted for the Wife to give here
Zakat Fund to here poor Husband
and it is not permitted for the Husband
to give his Wife his Zakat Fund .
8- It is permitted to give Zakat Funds to
Social and Religious Societies

177

9- It is permitted to transfer Zakat Funds
to Mugahideen ( Holy Strugglers for
the cause of Allah ) abroad .
10-It is permitted to pay Zakat Funds to
Islamic Societies and Establishments
which struggle against the Enemies of
Islam.

178