Zakat is one of the five pillars of Islam, an act of charity that is important in the Islamic community from a spiritual as well as social perspective. The word originates from Arabic zakaa which means ‘to purify’ or ‘to grow’. What is the third pillar of Islam stresses that wealth should be purified and distributed through those who need it, thereby strengthening society and equity.
Understanding Zakat
Zakat can be termed as both an emotional aspect and an economic concept for a Muslim. In Islam, money is not created by individual efforts it is owned by Allah, and thus every single person is obliged to help the weaker sections of the society by donating 2.5 percent of their wealth as Zakat. This act of giving money is not in the form of voluntary donation or charity but an obligation for every Muslim, thereby instilling the virtues of philanthropy and fairness in society.
Who Pays Zakat?
Owning property is a significant achievement from per Islamic perspective. With that weight of expectation, however, comes an inherited responsibility. Provided certain guidelines are met and one possesses wealth in surplus, the individual is obligated to pay a certain tax called Zakat. This tax is specific to the wealth that one possesses, in other words paying Zakat depends on the Nisab. It is essential to mention that the Lashab is a minimal requirement an individual must possess so that they are entitled to a balance of wealth after paying the Zakat. The metric of the Nisab shifts in favor of gold or silver due to factors such as market trends.
Eligible wealth includes savings, gold, silver, investments, and business assets. If a Muslim’s wealth exceeds the Nisab for a lunar year, they are required to pay Zakat at a rate of 2.5% of their wealth.
Who Receives Zakat?
To prevent Zakat from being abused, the Quran restricts it to eight specific groups of people.
- The Poor (Al-Fuqara): Those who have little or no possessions/resources, or close to nothing.
- The Needy (Al-Masakin): Sometimes individuals cannot even afford basic needs. Zakat comes to the rescue of such individuals.
- Zakat Administrators: The personnel responsible for collecting and distributing Zakat.
- New Converts (Mu’allafah Qulubuhum): For the Muslims supporting newcomers for them believing in the Muslim faith and integrating into the Muslim society.
- Those in Debt (Al-Gharimin): Such individuals who have real pratique debts but can’t pay them.
- Freeing Captives (Ar-Riqab): The working class supports the crusade against slavery.
- In the Cause of Allah (Fi Sabilillah): For any benevolent causes or even projects and works that benefit humanity.
- Travelers in Need (Ibn Sabil): For the needy and poor who are traveling such as people who may be stuck or include any such voyager.
Conclusion
The third pillar of Islam is the great act of worship that makes the rich clean of wealth while elevating the needy and bringing about social equilibrium. It emphasizes the oneness of humanity and the need for man to be charitable and hence is the basic teaching of Islam and its practice.