If you look at zakat, it’s on an even %age of savings that does not include any brackets. In other words, you either pay zakat or you receive it, unless off course you don’t have any ‘zakatable’ savings.
In the western world today, the whole tax system is based on different brackets where the rich pay more %age and the poor pay less %age. Both supposedly enjoy the same state services.
I am certain there are a people who would consider the whole tax system as ‘UnIslamic’ … if you do, please don’t share any cut/paste fatwas. Jazak’Allah.
For others, if you have any personal comments please feel free to post, or otherwise if there is any professional insight on this issue … please go ahead to post it with a link. What I want to discuss is the validity of the concept, from an Islamic point of view, to ‘tax the rich more’.
Zakaat is or was a Tax systems back in the old days, now you have the Government taking care of the elderly and poors and of course you pay Tax. so there is no need to pay Zakaat, at all. well,, if you have a money to spare you still can help people if you want to. Zakaat is no longer an obligation.
Islamic concept is to spread the wealth and to circulate it among the society and to make sure that it doesn't confine itself to a privileged few.
In Surah Al-Hashar, verse 8:
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Whatever Allah has given to His Messenger as spoils from the people of the towns, it is for Allah and for the Messenger and for the near of kin and the orphans and the needy and the wayfarer, in order that it may not circulate only among those of you who are rich. And whatsoever the Messenger gives you, take it, and whatsoever he forbids you, abstain from it. And fear Allah, surely, Allah is Severe in retribution.
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I don't consider it wrong to tax the richer more than poorer. Rich have their wealth and thus have more responsibility to contribute towards the society then the poor.
Zakat is not mandatory. It is only for those who possess some wealth. A poor guy who doesn't meet the standards set for Zakat is not obligated to pay it but a rich has to pay it.
Fetah Bhai, higher taxes do not always constitute into distribution of wealth in the society. And whenever Islam references this phenomenon (of distribution of wealth), it does so in respect to savings.
For example a very big business man that has net savings of 0 is responsible for no Zakat what so ever. But a relatively poor person who tends to keep his money in a safe will have to pay. This encourages people to spend what they earn & not put ‘em in safe, so the money circulates in the economy and has the potential to grow.
This is not very different from the consumer markets of the West these days. The only big difference is that while Islam teaches to spend what you earn, the western way is to spend more than what you earn by credit & then pay interest on it too.
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*Originally posted by ahmadjee: *
The only big difference is that while Islam teaches to spend what you earn,
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Where did you get that? Islam doesn't encourage spending, per se, but actually encourages enterpreneural spirit and wants you to make investments and do business with the excess money you have. That is why zakat is levied on the money that remains unused throughout the year.