International Journal of Social Economics

Development of Zakah and Zakah coverage in monotheistic faiths

Abdus Samad, Lowell M. Glenn,
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IJSE
37,4
302
Received September 2009
Accepted October 2009
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International Journal of Social
Economics
Vol. 37 No. 4, 2010
pp. 302-315
q Emerald Group Publishing Limited
0306-8293
DOI 10.1108/03068291011025264
The current issue and full text archive of this journal is available at
www.emeraldinsight.com/0306-8293.htm
Development of Zakah and Zakah
coverage in monotheistic faiths
Abdus Samad and Lowell M. Glenn
Department of Finance and Economics, Utah Valley University,
Orem, Utah, USA
Abstract
Purpose – The unity of Divine Law is reflected in monotheistic faiths having their origin with
Prophet Abraham (pbuh), but later divided into three major religions: Judaism, Christianity, and Islam.
There is a unity of Divine practice in a variety of areas among these monotheistic faiths. One such area
is Zakah, in Islamic tradition, and often characterized as “the poor due” in Christianity and Judaism. By
whatever name, Zakah or “the poor due,” is an important Divine institution in all three monotheistic
faiths. The purpose of this paper is to trace and examine the development of the Zakah institution and
Zakah type coverage in those faiths.
Design/methodology/approach – First, the paper provides a brief description of the meaning and
objectives of Zakah (the poor due) and the group of people who have been described as worthy to
receive Zakah. Additional sections trace the development of Zakat (the poor due) in Islam, Judaism, and
Christianity. Finally, some conclusions are presented for the consideration of the reader.
Findings – The administration and process for distribution of Zakah in contemporary Muslim states
varies depending on the school of Islamic thought most prevalent in that society and the level of
theocratic involvement of the government in those societies.
Originality/value – This paper usefully examines the development of the Zakah institution and
Zakah type coverage in the three monotheistic faiths.
Keywords Islam, Christianity, Judaism, National cultures, History
Paper type General review
Introduction
There have been a considerable number of research efforts on Zakah. The focus of most
of those studies has been on the socio-economic aspects of Zakah. However, the authors
of this analysis have not seen much review of the historical development of Zakah and
Zakah coverage. Papers such as Mannan (1983, 1989), Ahmad (1989), Sadeq (1980,
1989), Rahman (1980) and Mohammad (1991) have analyzed the distributive impact of
Zakah on the poor and the economy in general. Zakah has been characterized as an
important fiscal tool for achieving socio-economic justice and has the potential of
eliminating poverty.
Chowdhury (1980) and El-Din (1986) have described the allocative efficiency of
Zakah. The concept has been studied in the context of the Keynesian IS-LM model by a
number of authors. Khan (1985), Chowdhury (1983) and Metwally (1986) have discussed
Zakah from the point of Keynesian aggregate demand. Their analysis shows that Zakah
increases aggregate demand functioning as a built-in stabilization fiscal tool, which
increases employment in Islamic economies. Finally, there have been a number of
recent researchers who have sought to determine the level of Zakah as a proportion of
total economic activity in Muslim nations. Kahf (1986), Sadeq (1994) and Shirazi (2003)
have completed analyses of these issues over the last couple of decades.
 But again, none of the above-referenced studies has dealt with the historical Development
development of Zakah as an institution nor appropriately described the coverage of of Zakah
Zakah in current times. The paper seeks to meet the demand for historical and Islamic
knowledge perspective on this important issue and to compare Zakah type activities in
each of the monotheistic faiths.
The organization of the remainder of the paper includes: first, a brief description of
the meaning and objectives of Zakah (the poor due) and the group of people who have 303
been described as worthy to receive Zakah. Additional sections trace the development
of Zakat (the poor due) in Islam, Judaism, and Christianity. Finally, we present some
conclusions for the consideration of the reader.

Meaning and objective of Zakah and the Zakah entitled group of people
The literary meaning of Zakah has a twofold meaning:
(1) It means “purity” and “cleanness.” The payment of Zakah purifies and cleans the
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wealth and the heart of the person who pays Zakah. It cleans the dirt of wealth as
well as the heart of the Zakah payer. By removing the stringiness, Zakah purifies
the heart of the Zakah payer and prepares him to sacrifice for the cause of Allah
(Shad, 1986).
(2) The second meaning of Zakah is fertility or growth. The payment of Zakah is
designed to enable the poor to grow in wealth and spirit (Al-Qaradawi, 1973).

Believing Muslims accept the premise that Allah is the repository of all bounty and
wealth and He gives it to who He wishes (Quran 17:29). Thus, the real owner of the
richness of the earth is Allah. By paying a part of his wealth (Zakah), the Zakah payer
seeks the pleasure of Allah and thereby expresses his thanks to Him. The poor have
a right to the wealth of the earth as well as the rich, the payment of Zakah provides that
a part of the wealth of the rich is made available to the poor.
The establishment of Zakah payment has several objectives including the following,
to:
.
eradicate poverty and maintain socioeconomic justice;
.
safeguard wealth from the jealousy of the others, the poor in particular;
.
purify one’s wealth and remove one’s stringiness; and
.
remain thankful to God for His bounty to him.

The Divine Book (Al Quran) is also quite specific with regard to who is worthy to be the
recipient of Zakah, and leaves little ambiguity about these issues. According to Quran
(9:60), there are eight categories of people entitled to receive Zakah proceeds. Zakah
proceeds should be distributed to none but the following:
(1) beggar (Fuqara);
(2) poor (Miskin)[1];
(3) Zakah collectors/officers (Ameleen);
(4) a Muslim who recently converted into Islam (Muallafah);
(5) emancipated slave (Fil-Riqab);
(6) debtors (Gharemeen);
 IJSE (7) Allah’s cause (Fi-Sabi Lillah)[2]; and
37,4 (8) wayfarers (Ibn al Sabil ).

Historical developments of Zakah and coverage in religion

Zakah, a contribution from the wealth of the rich to the poor is neither a new nor an
unknown concept to mankind. It is a continuation of Celestial order which has been in
304 existence since time immemorial. The virtue of the obligatory contribution from wealth
was proclaimed and instructed by God thousands of years before the birth of Islam
through his messengers – Ibrahim, Moses, Jesus, and other prophets (pbuh). The
Quran is full of testimony of this proof. For example, in 2:73, 2:83, 19:31, and 19:55, the
Quran clearly testifies that earlier prophets, long before the birth of the Prophet
Mohammad (pbuh) were enjoined to pray and pay Zakah. Charity and benevolence have
played an important role in all religions.
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Zakah in Judiasm (before Christ)

The act of paying charity was found thousands of years before the birth of the
Prophet Jesus (pbuh). During the Homeric age (700 BC), the contribution of charity was
an important element within Greece culture. The porter Eumaeus welcomed the
wonderer Odysseus with these words:
Stranger, I am not allowed to despise any guest, were he more wretched than you. Strangers
and beggars come – all come from Zeus. I have little to offer, but I give it with a willing heart
(Riquet, 1961).
In the inscription of the official statement of the fifth dynasty (2563-2422 BC), Henku
declared:
I have given bread to all the hungry of the Mount Cerastus, I have clothed him who was
naked there (Riquet, 1961, p. 14).
The enjoinment of the contribution of charity was clearly mentioned in Exodus,
Leviticus, and Deuteronomy in the Old Testament, the religious book for the Jews.
According to Old Testament, Israelites are required to contribute a tenth part of the
crops of the land and herds of cattle to charity (Leviticus 27:30-32). During the time of
harvest, it was enjoined upon them (Israelites) that:
[. . .] a man must not harvest his field up to the edge of the field, or must not gather the
gleanings of his harvest but leave something for the poor men and wanderers to glean
(Leviticus 19:9-10, 22, 23; Deuteronomy 24:19-21).
It is also mentioned that those who are 20 years and above were enjoined to pay an
offering of half-a-shekal (i.e. Mithqal) to the Lord (Exodus 30:13-15). In addition to the
contribution of the tenth part of agricultural and livestock, it was expected that
Israelites should participate in regular alms giving.
The annual tithe. In Deuteronomy (14:1), Israelites are instructed that:
[. . .] every year you must take a tithe of what your fields produce from what you have
sown and in the presence of Yahweh, your God, in the place where he chooses to give
his name a home. You must eat the tithe of your wheat, of your new wine and of your oil and
the first born of your herd and flock: and by doing you will lean always to fear Yahweh
you God.
 If the road is too long for you, if you cannot bring your tithe because the place in which Development
Yahweh chooses to make a home for his name is too far away when Yahweh your God has
blessed you, you must convert into money and, with the money clasped in you hand you must of Zakah
go to the place chosen by Yahweh your God: there you may spend the money on whatever
you like, oxen, sheep, wine, fermented liquor, anything you please.
The third year tithe
At the end of every three years you must take all the tithe of your harvest for that year and
305
collect them in your community. Then the Levite – since he has no share or heritage of his
own community will come and eat all they want. And so Yahweh your God will bless in all
the labors that you undertake (Deuteronomy, 26:12).
“Since there will never cease to be some in need on the earth”, I therefore command you,
“open your hand to the poor and needy neighbor in your land” (Deuteronomy, 15:11).

Zakah in Christianity
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The source of love and charity within Christianity is the Prophet Jesus. He was a role
model of love, charity, and benevolence. However, Jesus did not incorporate charity into
a definite law nor did he elaborate it among his followers. This was because his mission
was primarily focused on reviving the spirit of the love of God and to love thy neighbor.
His mission was the fulfillment of the law within the framework of Mosaic Teachings –
not the innovation of new law. Some excerpts from the New Testament are useful in this
connection.
“I have not come to set them aside, but to bring them to perfection” (Matthew 5:17).
When a scribe, a teacher of the law, came and asked Jesus: “which commandment in the
law is the greatest?” Jesus without hesitation replied by quoting the Law of Moses:
The first commandment of all is, Listen, Israel: there is no God but the Lord thy God, and thou
shalt love thy God with love of thy whole heart, and thy whole soul and thy whole strength.
This was the first commandment, and the second, like unto it, it is this: Thou shalt love thy
neighbor as thyself. There is no greater commandment than this (Matthew 22:34-40; Mark
12:28-31; Luke 10:25-80).
Give, and it shall be given unto you, give to everyone that asketh of thee [. . .], and lend [. . .],
and your reward shall be great [. . .] (Luke 6:30-38).
In his sermon on the mount and elsewhere in his teaching, Jesus tried to enforce the duty
of (charity) alms giving. However, “there was no clear statement of the primacy of
charity, or of love in the religious and moral teachings of Christ” (Riquet, 1961, p. 22).
What is contained in the teaching of charity giving was no more than a moral
instruction and advice.
In the early Christian Church as described in Acts (2:44) of the New Testament, there
were groups of individuals who had “all things in common.” Additional detail of this
concept is outlined in Acts 4:32-37 in which individuals holding property or other
material things were reported as having sold everything which they possessed and
brought that wealth to the leaders of the church so that all the members of the
community held that wealth in common and there was no poor among them.
That same type of concept was practiced by some groups of modern Christianity.
For example, during the mid- and late-nineteenth century there were groups of
members of The Church of Jesus Christ of Latter Day Saints (LDS) (Mormon) who
 IJSE practiced holding all things in common in several settlements in the western USA
37,4 (Arrington, 1959, pp. 145-8 and 323ff). After several decades of greater and lesser
success, these communal groups were disbanded and instead both those groups and all
other members of the church were expected to pay the more typical tithe that was
characteristic of most Christian groups.
Down to the present time, members of the Church of Jesus Christ of LDS are still
306 expected to pay tithing as a prerequisite to maintaining good standing within the
community and to be worthy to attend their temples to meet religious commitments,
which play an important part in their lives. In addition, many LDS members participate
in other “Zakah” type activities by contributing additional monetary and personal
contributions to the “Welfare and Humanitarian Programs” of the Church designed to
support the less advantaged both within their immediate community as well as other
groups throughout the world.
The LDS Church is characterized by its lay ministry in which all members
participate in the ongoing activities of the Church including support for the welfare
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system. The LDS welfare program includes a wide range of farms, food processing,
distribution, and other types of activities appropriate to the development of resources
for support of the poor and victims of natural disasters. Church members donate
monthly, above and beyond their expected tithe, in monetary contributions with a
so-called “fast offering” and also provide a number of individual hours working on the
farms, in food processing plants, and otherwise directly supporting this welfare system
with their time and other resources.
It is not a mandatory requirement for Christians to pay a tithing, to support works
for the poor among them, and to otherwise serve their fellow man, however, most who
follow the teachings of Jesus Christ recognize His dictum that, “Inasmuch as ye did it
not to one of the least of these, ye did it not to me [. . .]” (Matthew 25:45). That was
Christ’s summary of the Christian’s responsibility for attending to the poor among them
as he finished his mission among the people of the New Testament (Matthew 25: 31-44).

Zakah in Islam
The growth of Zakah development in Islam may be classified into five phases: Zakah in
pre-Hijra period of the Prophet’s life, Zakah in post-Hijra period of the Prophet’s life,
Zakah in the Republic of Islam (four Khalifas), Zakah in the Ummyad and Abbaside
dynasty, and Zakah in the present world.

Zakah in pre-Hijra period

The pre-Hijra period consists of the 13 years of Prophet Mohammad’s (pbuh) preaching
of Islam in Mecca. These were the early days of Islam. During the period, Muslims were
mostly poor and did not have their own state to implement any Divine Law into
practice. During this period, there were descriptions in ten places in the Quran – 6:141,
7:156, 19:31, 55, 21: 73, 23:4, 27:3, 30:39, 31:4, 41:7 and 73:20 – that defined procedures
concerning the payment of Zakah.
Prophet Mohammad (pbuh) advised and urged his fellow Muslims to pay Zakah
(charity) as much as they could to their needy brothers in Islam. His main mission
during this period was focused on establishing monotheism (as contrasted to the
polytheism then current in the culture). Prayer (salah) and Zakah (charity) were also
emphasized. Prophet Mohammad (pbuh) himself set the example. He exhausted the
 vast wealth he inherited from his wife, Khadiza by giving all of that wealth to charity. Development
He did not have food to feed his wife, Khadiza, at the time of her death. of Zakah
There were a few Muslims who were wealthy at that time. Inspired by the spirit of
Islam and the example of the Prophet, other Muslims were not far behind in the practice
of charity (Sadaqa). Abu Bakkar set many slaves free. Othman bin Affan made a
personal and non-required choice to contribute (sadaqa) to the poor of his region.
However, Prophet Mohammad (pbuh) did not lay down the rules and regulations for the 307
conduct of Zakah until later when he consolidated the state in Medina. The payment of
Zakah was left at the discretion of an individual.

Zakah in post-Hijra period

Hijra was a turning point in the development of modern Islam. A mini state was
immediately established after his migration in Medina. He made a pact with other tribes
(mainly Jews) and became the head of the state and a commander-in-chief. The Prophet
Mohammad was the central point of the administration. The Mosque of Medina was
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built during this period and became not only a place of worship but also the center of
administration and political/social decision making. It was during this period Zakah
was introduced at a state level.
During this period, there was a minimum amount of wealth exempted from the
payment of Zakah called Nisab. It was fixed by Prophet Muhammad (pbuh) based on
the amount considered adequate for a subsistence of a family and established as
85 grams of gold. All wealthy Muslims who exceeded the Nisab, i.e. had a surplus over
and above the equivalent of 85 gram of gold, were required to pay Zakah.
As the head of the state Prophet Mohammad (pbuh) fixed the Zakah rate. The
payment of Zakah was different for varied types of wealth and followed some very
specific guidelines. One of these was the Azkah rate on saving.
During the period of the Prophet Mohammad (pbuh), the main currency was gold
and silver. So, liquid saving was mainly in the form of gold and silver. Zakah was levied
on gold and silver at the rate of 2.5 percent. That is, saving was subject to the payment
of Zakah at the rate of 2.5 percent, under the following conditions[3]. Any Muslim who
had a surplus of wealth over and above 85 gram of gold or its equivalent value was
subject to a Zakah payment of 2.5 percent of that surplus.
During this era, the economy was mostly based on agriculture and a major factor of
an individual’s wealth was the size of his livestock herds. As a result, there were specific
rules for the application of Zakah on those varied types of livestock. The most profitable
livestock were:
.
cows (Baqar);
.
sheep/goats (Ghanam); and
.
camels.
The rate of applicable Zakah was therefore given in an in-kind format dependent upon
the number and category of livestock.
Zakah rate for cattle is presented in Table I.
Zakah rate on goat/sheep is presented in Table II.
Zakah rate for camels is presented in Table III.
There was a further extension of rates of Zakah on agricultural products both in
terms of food crops as well as any cash crops that were grown by individuals.
 IJSE
Number of animals Zakah rate 1 Zakah rate in terms of M
37,4
29 0
30 1T 0.75
40 1M 1
60 2T 1.5
308 70 1Tþ1M 1.75
80 2M 2
90 3T 2.25
100 2Tþ1M 2.5
110 1Tþ2M 2.75
120 4 T or 3 M 3
Notes: T, (Tab’yah) a female cattle calf in her second year; M, (Massinah) a female cattle in her
Table I. third year
Zakah rate for cattle Sources: Al-Marwardi (1966); Abu ’Ubaid (1969/1353H)
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Number of animals Zakah rates

Up to 39 0
40-120 1 goat
121-200 2 goats
201-300 3 goats
Table II. 400 4 goats
Zakah rate for 500 5 goats
sheep or goats 600 6 goats

Number of camel Zakah rate 1 Zakah rate 2

5-9 1G 1G
10-14 2G 2G
15-19 3G 3G
20-24 4G 4G
25-34 1 BM or 1 BL (male) 1 BM
35-44 1 BL 1.0 BL
45-60 1H 1.25 BL
61-75 1J 1.75 BL
Notes: G, goat; BM, (Bint Laboon) a female camel colt in her second year; BL, (Bint Laboon) a female
camel colt in her third year; H, (Hakkah) a female camel colt in her fourth year; J, (Jithyah) a female
Table III. camel colt in her fifth
Zakah rate for camel Sources: Al-Marwardi (1966); Abu ’Ubaid (1969/1353H)

A distinction was made for agricultural crops grown on irrigated land as contrasted to
on non-irrigated land (i.e. on land dependent upon natural rainfall). The former were
characterized by Zakah rates of 5 percent whereas the latter required a 10 percent
Zakah[4]. It is important to recognize that it was not the land that was to be considered,
but rather the products that were harvested from the land. Land was considered a fixed
asset, which is not subject to Zakah.
 Administration of Zakah Development
The administration of Zakah was conducted centrally by the Prophet Mohammad of Zakah
(pbuh) and incorporated the following processes during this period:
(1) Zakah was established at the state level. The payment of Zakah on wealth was
no longer considered an appropriate individual decision. Zakah payment became
an expected responsibility of everyone in the Muslim society.
(2) In order to collect Zakah proceeds, collectors were appointed and employed by
309
the head of the state (Prophet Mohammad pbuh). Al-Qaradawi (1973, pp. 749-52)
gives the name of more than 25 Zakah officers who were his companions. These
Zakah collectors were paid from the Zakah funds by Prophet Mohammad (pbuh).
(3) There was a real effort to maintain the integrity and transparency of Zakah
collection. Accountants and record-keepers were appointed by the prophet
(Al Kattani, n.d., pp. 398-9; Kahf, 1993/1413H, p. 15).
(4) Department of Zakah funds were maintained separately from general revenue
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and other funds. That is, Zakah funds were separated from the department of
treasury in order to avoid mixing Zakah funds with other revenues of collected
by the state.
(5) Zakah officers were given special instructions about how to deal with the
collection process and were requested to be considerate and kind with the people
paying Zakah. They were asked to be lenient in performing their jobs, thoughtful
in assessing Zakah amount from agricultural producers and to allow
contributors to deduct guest allowances and to consider the amounts eaten by
birds and animals (Abu ’Ubaid, 1969/1353H, p. 485).
(6) Zakah officers were instructed to distribute Zakah proceeds in the local area
where Zakah was collected. Some examples of how this was conducted include a
situation where the Prophet instructed Muad, the Zakah collector of Yamen not
to send Zakah proceeds to Medina, the capital of the state. Rather he instructed
him to collect Zakah from the wealthy in the locale and to distribute the proceeds
to the poor of the same area. He was instructed to send the surpluses, if any, to
Medina. However, there was no report of surpluses in any location during
Prophet’s time (Kahf, 1993/1413H, p. 17). There are several plausible reasons for
local distribution of Zakah proceeds such as:
.
storage problems;
.
transportation problems; and
.
the effort to create more brotherly relationships between the rich and the
poor in the local area.
(7) Zakah collectors were given specific instructions about how to interpret Nisab,
Zakah rates, and the items of Zakah coverage (Al –Qaradawi, 1973, pp. 177-82
and Al Kattani, n.d., pp. 396-7) before they were sent to do their collections:
.
It is reported from al Tirmidhi (Vol.1, p. 242) that workers were assigned to
take care of the livestock – keeping and grazing – received as Zakah.
.
Before Zakah collectors were sent to any locality, the Prophet would make an
effort to inform the public as to how to receive and cooperate with the Zakah
officers.
 IJSE Summary of Zakah development during post-Hijra period
37,4 (1) Zakah collection and distribution was a responsibility of the state. It was not left at
the discretion of the individual. Wealthy people were required to pay Zakah with.
Zakah collectors given the responsibility to assess, collect, and distribute Zakah.
(2) Zakah collectors were appointed by the head of the state and paid from the
“ganimah” (Zakah funds) by Prophet Mohammad (pbuh) himself. Zakah
310 collectors did not have the authority to be paid directly out of receive Zakah,
which they collected.
(3) Zakah proceeds were first distributed locally. That is, Zakah proceeds (Maal)
should be distributed among the poor people of the local areas where Zakah was
collected. If there were excess funds locally, then there was a process for sending
Zakah proceeds to Medina, the capital of Islam, for a broader distribution[5].
(4) Minimum exemption wealth (maal) of Zakah, called “Nisa” was fixed by the head
of the state. That is, Prophet Mohammad (pbuh) fixed “Nisa” at 85 gram of gold.
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The value of 85 gram of gold was considered sufficient for the ongoing support
of a family.
(5) The payment of Zakah rate was fixed by Prophet Mohammad (pbuh), the head
of the state. The rates were:
.
2.5 percent on saving consisting of gold and silver;
.
5 percent on products from irrigated land;
.
10 percent on products from non-irrigated land;
.
25 percent on fortune treasure found; and
.
varied Zakah rates on livestock and agricultural products.
(6) The Zakah coverage was imposed only on the following items during His time:
.
Saving of gold and silver.
.
Livestock:
– camel;
– goats; and
– cattle.
.
Agricultural produce:
– wheat; and
– barley.
(7) Household effects and the assets for personal uses were not subject to Zakah.
(8) There was no report that Zakah officers collected from any sources of invisible
wealth (Maal Bateen) such as gold, silver and jewelry although they were
accepted by the Zakah officers if voluntary payments were offered
(Al-Qaradawi, 1973, p. 771).

Zakah during the Republic of Islam (the four Khulafas)

During the 30 years of Islamic Republic under the rule of four Kaliphs – Abu Bakr,
Omar, Othman, and Ali – there was no major changes of basic Zakah rules, with
respect to:
 .
“Nisab”; Development
.
groups of people entitled to Zakah; or of Zakah
.
distribution of Zakah.

The minimum wealth for the payment of Zakah for a household, that is Nisab,
remained 85 gram of gold.
Zakah recipients remained the same eight categories of people (Beggar, (Fuquara)
311
poor, (Miskin) Zakah collectors/officers (Ameleen), Muslim who is recently converted
into Islam (Muallafah), emancipating slave (Fil-Riqab), debtors (Gharemeen) Allah’s
cause (Fi-Sabi Lillah), and Wayfarers (Ibn al Sabil )). The Zakah distribution policy
remained the same, that is, Zakah proceeds collected from the individuals were for the
most part distributed among the local people.
Even though most of the Zakah policies remained constant, there were some new
developments that took place during the administration of Omar bin Kattab, the second
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Khalifa of Islam. One of the first of these was to include trade merchandise under Zakah
payment requirements. Prior to this period, items traded between individuals were
exempt from the payment of Zakah but now public officers were appointed and
stationed at roadsides and bridges to collect Zakah on merchandize exchanged with the
Muslim traders passing through the territory. Provisions was also made to collect taxes
from non-Muslim traders bringing articles of trade to sell in the Muslim state
(Abu ’Ubaid, 1969/1353H, p. 533).
At this time, Omar introduced a formal system of record keeping (al dawawin) that
included and reported on the army, state revenues, and the collection and distribution
of Kharaj and fay (Abu ’Ubaid, 1969/1353H, pp. 223-4) as well as Zakah resources.
Another significant change in Zakah administration took place during the Khalifate
of Othman bin Affan. The wealth considered appropriate for the payment of Zakah was
classified into two categories:
(1) visible wealth (Maa’l Zahira); and
(2) invisible wealth (Maa’l Bateen).

The invisible wealth (Maa’l bateen) was characterized as confidential property of the
individual and as such was more difficult to track and assess. Most of this invisible
wealth consisted of personal saving, gold, silver, etc.
The assessment and distribution of Zakah on invisible wealth (Maa’l bateen) was
transferred from the jurisdiction of Zakah officers to the individual Zakah payer. The
individual would assess his/her confidential wealth and pay to the poor at his/her
discretion. The decision to provide for this alternative approach to Zakah assessment
during Khaliph Othman’s time was a significant change, but little is written about why
it occurred. Later some reported that Othman made this decision after he received
complaints that some Zakah officials exceeded their authority in evaluating individual
invisible wealth holdings.
A final change the emerged from this period was the expansion of Zakah coverage
to include additional livestock and agricultural products such as horses, sea products
(fish) and honey cultivation.
 IJSE Summary of Zakah development during caliphate periods
There was no basic change in basic Zakah procedures. The Nisab of the Zakah
37,4 remained the same as that fixed by the Prophet. Zakah assessment, collection and
distribution remained in the jurisdiction of the state. Zakah officers continued to be
appointed by the state and were in charge of both collection and distribution. The major
change was that occurred was the requirement for payment of Zakah on invisible
312 wealth. The assessment and distribution of Zakah was left at the discretion of the
individual Zakah payer. New items such as horses, sea product and honey cultivation
were brought under Zakah payment.
Zakah during Ummyad and Abbaside period
During the Ummyad rule a vast track of new land was conquered in Central Asia. This
region proved to be a profitable ground for buffalo breeding, and there was a
significant growth in that type of livestock, as a result Zakah was imposed on buffalo
by Omar bin Abdul Azis.
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The most significant change during this period was the transfer of Zakah collection
and distribution from the state level to the individual. There are several plausible
reasons for this significant move.
During the Ummyad period there was not only the conquest of Central Asia
(including India) and North Africa but also the Zakah institution itself underwent many
changes as a result of a variety of factors. Zakah collectors in North Africa had difficult
finding people worthy of receiving Zakah locally. They had no other alternative but to
send Zakah collections to Damascus, the capital of the Ummyad. As a result the Zakah
treasury (Ghani maa’l ) was over-flooded with Zakah proceeds. Therefore, it was
determined that Zakah collection and distribution did not necessarily require state
administration and a decision was made that the assessment and distribution of Zakah
could be determined by the individual Zakah paying person.
Another important reason, which might have prompted the transfer of Zakah
administration from the state level to individual discretion, was loss of confidence in
government that many Zakah paying Muslims felt during this period. Much of this
occurred because of the internal conflicts that arose between the third Khalifa, Othman,
and the fourth Khalifa, Ali. In fact, these issues ultimately created a series of events
that eventually ended the Republic of Islam.

Current Zakah policy in the Muslim worlds

In modern Islam, there are four major schools of thought, each of which has its own
view on Zakah policy. The Hambalite School has argued that all the procedures related
to Zakah distribution and assessment should be left to individual choice. On the other
hand, the Hanafi and Shafi Schools believed that the only Zakah that should be
determined at the individual level are those associated with invisible items (maal
bateen). However, they also believe that it is a government responsibility to make sure
that the individual makes payment of Zakah (Kahf, 1993, p. 21).
The governments of the Muslim countries have a number of different approaches to
implementing Zakah policy based in part on the advocacy of the varied schools of
thought outlined above. In Pakistan, the majority of the Muslims are Hanafi, so that
government uses Hanifi principles with respect of Zakah policy. The majorities of the
Muslims in Malaysia are Shafi and likewise use Shafi principles in implementing
Zakah within their boundaries.
 Conclusions Development
Zakah, the religious and social/political institution for the support of the poor and of Zakah
needy is not new in Islam. It is a continuation of Divine order of God from the time of
Prophet Abraham. The payment contribution, Zakah during Moses (pbuh) and Jesus
(pbuh) was purely voluntary. It was strongly encouraged as a measure of their
devotion and support of society. The rate of payment was generally considered as a
tithe or 10 percent of their annual increase. 313
The recipients of Zakah in Judaic and Christian societies were mostly resident aliens
who could not own land or orphans and widows.
The implementation of the formal practice of Zakah that required a contribution
from the wealth of the rich to the poor and needy originated during the lifetime of
Prophet Mohammad (pbuh). After the establishment of a Muslim state in Medina, the
payment of Zakah was made compulsory administered formally through the Islamic
state. It was implemented not only as a religious duty but also a legal requirement
binding upon the rich. The Prophet, as a head of the state, declared war (legal action)
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against the tribes who refused to pay Zakah.

The procedures for the payment of Zakah rate were directly proscribed by the
Prophet Mohammad (pbuh). Those procedures included exclusion levels under which a
person was not responsible to pay, specific rates on varied types of wealth,
commodities, and other personal holdings. The Prophet also identified specific types of
people who should receive Zakah and outlined those groups in the Quran (9:60).
Initially, the collection and distribution of Zakah remained a state responsibility until
the end of the Islamic Republic of four Khulafa.
Most of these practices continued largely as originally outlined until after the end of
the Republic of Islam, when the collection and distribution of Zakah was eliminated as
a state function and instead transferred to the discretion of the individual to pay the
Zakah directly to those in need. The administration and process for distribution of
Zakah in contemporary Muslim states varies depending on the school of Islamic
thought most prevalent in that society and the level of theocratic involvement of the
government in those societies.

Notes
1. They have some income but the income is not adequate for subsistence. They do not beg as
opposed to beggar.
2. The scope of this word is wide to include many items. However, during the early days of
Islam, Fi-Sabil Lillah included three categories of persons: (1) persons who intend to join
Jihad; (2) persons who intend to make Hajj; and (3) persons who intend to learn and
memorize the Quran.
3. Zakah conditions are: (1) Nisab must be met; and (2) saving must roll over complete a Lunar
year.
4. When Zakah was paid in kind, the Zakah collectors were forbidden to take the best from the
produce.
5. There are several reports supporting local distribution. Among these reports are instructions
given to Muadh, the appointed collector of Zakah for Yamen. He was given instruction to
collect Zakah from the rich and distribute to the poor in Yamen.
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Corresponding author 315

Abdus Samad can be contacted at: samadab@uvsc.edu
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