Zakat: The measure of Social Welfare

Salim Desai
Sunday, June 14, 2015

As Holy month of Ramadan begins, most of the Muslims are busy with complying one of the most important tenets of Islam for social responsibility called “Zakat.” As Ramadan is holy month, any good deed is more rewarding hence Muslims take this opportunity to calculate & pay Zakat during the Ramadan.

What is Zakat?: Zakat is compulsory charity by Muslim on his wealth on set proportion. It’s purification of his wealth from sins. It’s calculated @2.5% on Zakatable wealth after certain threshold (Nisab) amount. Usually it is calculated on annually based on lunar calendar.

Social Welfare: Social justice & welfare are most sought human values in modern world. It’s virtue of modern nations. Historically, all civil movements were mobilized for those two principles. Developed & undeveloped countries are finding out the ways to bring social justice through social welfare.

The world is progressing with limitless horizons but it’s very painful to see extreme inequality of income & resources among the individuals & nations. The gap between the rich & poorer is widening. This is leading towards widespread poverty, deprivation of human life & right to live with dignity. Modern Governments are trying to address these problems through social welfare measure based on taxation system whereby they can take from rich & will distribute among the needy by various schemes. (MNREGA is a classical example in Indian context.)

Zakat is powerful measure of social welfare introduced by Islam before 1400 years. In fact, more than a religious obligation, Zakat plays important role against concentration of wealth with minority creamy segment of society with spiritual dimension of purification of soul, avoidance of greed & avarice. It’s of paramount importance in helping poor & needy in their financial difficulties.

The wider scope for determining the zakatable wealth is bringing more Muslims in ambit of Zakat which is reducing hoarding in non productive assets & it’s hard to escape from eligibility.
Following are major Zakatable class of assets:
-The gold and silver, precious stones & metal or ornaments made of such things
- The money kept at home or in bank accounts;
- Equities and units acquired directly or through investment funds;
- Movements in market values and exchange;
- Agricultural products;
- Herds of animals like cows, oxen, goats, sheep and camels;
- Mining products;
- Pensions;
- Property acquired for investment.

Beneficiaries of Zakat: The wider scope of beneficiaries covers objectives of modern social welfare measures, which are as follows:
-The Poor – who don’t have sufficient means to survive.
- The needy people: who have short of income to meet needs
- Administrators & collectors
-Sympathizers & well wishers of Islam
- Release of captives
- Charities in the name of God for deprived; mostly for medical & educational purpose
-Relieve the debt ridden
-Distressed travelers

WHEREAS IT MUST BE NOTED THAT ZAKAT IS NOT ACCEPTABLE FOR THE DEPENDENTS LIKE PARENTS, GRNAD PARENTS, WIFE, CHILDREN & GRAND CHILDREN BECAUSE THEY ARE MUSLIM’S PRIME RESPONSIBILTY. So this ensures family bonding & commitment.

ALSO ZAKAT IS NOT PERMISSSABLE FOR CONSTRUCTION OF MOSQUES SO THAT MONEY WILL COME INTO THE REAL CHARITABLE PURPOSE.

So from above scope, beneficiaries & non allowances it’s very obvious that it’s Social Welfare measure with spiritual dimension.

If Zakat is properly collected & distributed among the rightful beneficiaries, it will reduce the inequality in society considerably.

Salim Desai is Chief Financial Officer (CFO) with Al Razzi Holding Co KSC. He holds MBA, CMA, CIPA and also passed CPA. He is an expertise in Finance analysis and Investments and passionate educationist.
View Profile

Express your comment on this article

 
JAHAN
Posted on Friday, March 31, 2017

Respected reader .I would like to ask.iam a signal I don't any support to do .no job I doen B.com and Bussiness management .but no use this jahan from india if got any donation from agolden heart bussiness man realy iam thankful to him till my life end

Submit your comments...
     
Disclaimer: The views expressed here are strictly personal and IndiansinKuwait.com does not hold any responsibility on them. We shall endeavour to upload/publish as many of the comments that are submitted as possible within a reasonable span of time, but we do not guarantee that all comments that are submitted will be uploaded/published. Messages that harass, abuse or threaten other members; have obscene, unlawful, defamatory, libellous, hateful, or otherwise objectionable content; or have spam, commercial or advertising content or links are liable to be removed by the editors. We also reserve the right to edit the comments that do get published. Please do not post any private information unless you want it to be available publicly.
Image

India - Global host of 2018 World Environment Day

India is the global host of 2018 World Environment Day which is taking place on June 5, 2018. The t

Image

Students should proactively indulge in co-curricular activities - Raghavi Vishwanath an alumni of FAIPS Kuwait

When youngsters reach a pinnacle it is always a pleasure to learn more about their lives and how th

Image

A thought for Ramadan

Sunday, the 13th of May, 2018 Festival greetings, Happy Sunday greetings Mother’s Day greetings

Image

Kuwait Cricket - A Sense of accomplishment: Herschelle Gibbs

In the recently concluded ICC World Twenty20 Asia Qualifiers ‘A’ , the Kuwait's national crick

Image

Raindrops - Usual and Unusual Stories of love by Dr. Navniit Gandhi

Dear Readers, Dr Navniit Gandhi has penned a collection of 19 true, usual and a little unusu

Image

Love is in air when he sings, Shahbaz Aman

What could be the appropriate adjective to describe this man; singer; composer; or an unusual embod

Image

Don’t Want a Day… Want a Deal!

I am a Woman and like me, there are countless other women out there who do not want Days to commemo

Image

My heart, my soul and all my sincerity is for this country – Ajiaz Ahmad Sarfaraz

“By serving this great country for more than three decades, I feel that the word ‘great’ fully appl

Image

Teamwork Makes The Dream Work! – Nomaan Sidiq Budroo, Captain of Kuwait U-19 Cricket Team

Kuwait Cricket’s National U 19 team returned home after their best ever performance in the ICC U 19

Image

A Walk in the Garden…

Our garden in Salmiya is an exciting learning-place… Every walk in it, teaches something every time

Image

True sense of Indian luxury at Asha’s Restaurant

Who doesn’t like a luxurious dine out once in a while with families and friends? What if it is coup

Image

Zafran Indian Bistro with innovative Indian Cuisines

Indian Cuisines are packed with interesting ingredients and enticing aromas that make it super deli

Image

New Menu at Zafran Puts Contemporary Spin on the Traditional

Fans of Zafran can rejoice as the popular Indian bistro launches a new menu this week. The front

Image

A nostalgic and delicious train journey in Kuwait at Kerala Express Restaurant

A train journey during our annual vacation in India is definitely a nostalgic experience for many o

Image

22 Yards Cricket Academy Summer Camp For Cricket Coaching

22 Yards Cricket Academy, a professionally run Cricket coaching center having its 16th year of succ

Image

KCWA organized ‘Play on Indoor Sports’

Kuwait Canara Welfare Association (KCWA), for the first time organized an Indoor “Play on Sports” e

Image

Don Bosco Oratory (DBO) Beat Kuwait Independents Hockey (KIH) 1/0 in The First 2018 DBO Hockey Tourunament

Kuwait, Ahmadi – 12 May 2018, in what would one say “breathless showpiece” DBO and KIH. It was anot

Image

Kuwait Cricket set to host ICC World Twenty20 Asia Qualifier ‘A’

Whilst this is not the first International tournament to be hosted in Kuwait, this particular editi

Image

Himanta Biswa Sarma elected BAI President

Assam Health and Education Minister Himanta Biswa Sarma was on Tuesday unanimously elected the Badm