The Meaning and Purpose of Zakat
Zakat is a divine injunction and an ordinance from Allah Himself. It is not a personal matter or a voluntary contribution; rather, it is an obligation for which one will be called to account before Almighty Allah.
Zakat is indispensable as it helps achieve reform, both financially and spiritually. It eliminates misery and greed from hearts and consolidates the Islamic economy, leading to its stability and prosperity.
Types of Zakat
There are different types of zakat such as:
- Income Zakat
- Business Zakat
- Savings Zakat
- Gold and Silver Zakat
- Shares Zakat
- EPF Zakat
- Qadha' Zakat
Criteria to Pay Zakat
When a person meets a certain set of criterias, he/she is made compulsory to perform zakat. The criterias are:
- Muslim / Islam
- Independent / Merdeka – Not a slave. Free to seek wealth.
- Full ownership - The property must be wholly owned and usable at the time required without being bound by the permission of others. Perfect in terms of ownership (Hak Hiyazah) and managing ability (Hak Tasarruf).
- Nisab - Nisab is the minimum rate set by Syarak to obligate zakat. Some of the assets to be given as zakat must be equal to or greater than the value of 85 grams of gold at current price.
- Haul - Haul is the amount of time a property is held / owned and it has to be over a year (12 months). The haul estimate in Islamic law is based on the date of hijriyah (354/355 days). Whenever a year of property is owned, then it is obligatory to pay zakat.
Source of Zakat Collection / Zakat Revenue
Zakat and Waqaf Management Unit (ZWMU) has identified four (4) sources of Zakat collection or revenue from Universiti Teknologi PETRONAS (UTP) which are:
- UTP Staff
- PETRONAS Staff
There are different ways of calculating zakat. Below are calculators that will help to guide on the amount of zakat needed to be given based on the type of zakat:
Last updated: 07 May 2021