ASSESSMENT THE ALLOCATION METHOD FOR ZAKAT FUNDS TO ASNAF CATEGORIES IN SIRCS FINANCIAL REPORT FACULTY OF BUSINESS AND MANAGEMENT BACHELOR OF ACCOUNTANCY (HONS) DEGREE PROGRAMME COURSE DETAILS: COURSE NAME : ACCOUNTING FOR BAITULMAL (ACB42103) SEMESTER : SEMESTER 7 SEM I 2024/2025 CLASS : BAC 7A SUBMISSION DATE : WEEK 13 LECTURER NAME : SIR AHMAD BIN OTHMAN GROUP DETAIL: GROUP NUMBER : GROUP 01 QUESTION NUMBER : 17 NO. NAME MATRIC NO. 1 AHMAD KHATIB SYARBINI BIN AB RAZAK 065911 2 MUHAMMAD AIMAN BIN MOHD AZRIZUAN 065594 3 NISA NASUHA BINTI NORUMZI 065947 4 MUHAMMAD LUTHFIL HADI BIN NI'MANNASIR 068290
TABLE OF CONTENTS INTRODUCTION .......................................................................................................................1 1.0 OVERVIEW OF ZAKAT CONCEPT ..............................................................................2 1.1 DEFINITION OF ZAKAT..............................................................................................2 1.2 DALIL (EVIDENCE) OF ZAKAT ..................................................................................2 1.3 TYPES OF ZAKAT ......................................................................................................3 1.3.1 Zakat Fitrah..........................................................................................................3 1.3.2 Zakat on Wealth (Harta) ......................................................................................3 2.0 COMPARISON IN ASSESSING THE ALLOCATION METHOD OF ZAKAT FUNDS TO ASNAF BETWEEN 2 STATES OF SIRCS.........................................................................4 2.1 DESTITUTE (FAKIR) AND POOR (MISKIN) ..............................................................4 2.2 EMPLOYEE OF ZAKAT (‘AMIL) .................................................................................5 2.3 MUALAF......................................................................................................................5 2.4 AL-RIQAB (SLAVES) ..................................................................................................6 2.5 AL-GHARIM (DEBTORS)............................................................................................7 2.6 FI SABILILLAH (THOSE STRIVING IN PATH OF ALLAH).........................................7 2.7 IBNU SABIL.................................................................................................................8 3.0 SUMMARIZATION FOR ALLOCATION METHOD OF MAIK AND MAIS...................9 3.1 COMPARISON AMOUNT AND PERCENTAGE OF DISTRIBUTION........................9 3.2 COMPARISON OF DISCLOSURE METHODS FOR ZAKAT DISTRIBUTION ........11 4.0 CONCLUSION..............................................................................................................12 5.0 REFERENCES .............................................................................................................13 6.0 APPENDICES...............................................................................................................15 6.1 APPENDIX A: MAIK DISTRIBUTION TO DESTITUTE (FAKIR) AND POOR (MISKIN)...............................................................................................................................15 6.2 APPENDIX B: MAIS DISTRIBUTION TO DESTITUTE (FAKIR) AND POOR (MISKIN)...............................................................................................................................15 6.3 APPENDIX C: MAIK DISTRIBUTION TO ‘AMIL .......................................................16 6.4 APPENDIX D: MAIS DISTRIBUTION TO ‘AMIL .......................................................16 6.5 APPENDIX E: MAIK DISTRIBUTION TO MUALAF..................................................17 6.6 APPENDIX F: MAIS DISTRIBUTION TO MUALAF ..................................................17 6.7 APPENDIX G: MAIK DISTRIBUTION TO AL-RIQAB (SLAVES)..............................18
6.8 APPENDIX H: MAIS DISTRIBUTION TO AL-RIQAB (SLAVES)..............................18 6.9 APPENDIX I: MAIK DISTRIBUTION TO AL-GHARIM (DEBTORS).........................19 6.10 APPENDIX J: MAIS DISTRIBUTION TO AL-GHARIM (DEBTORS)........................19 6.11 APPENDIX K: MAIK DISTRIBUTION TO FI SABILILLAH ........................................20 6.12 APPENDIX L: MAIS DISTRIBUTION TO FI SABILILLAH.........................................20 6.13 APPENDIX M: MAIK DISTRIBUTION TO IBNU SABIL ............................................21 6.14 APPENDIX N: MAIS DISTRIBUTION TO IBNU SABIL.............................................21 LIST OF FIGURES Table 1: Comparison Amount and Percentage of Distribution .................................................9 Table 2: Comparison of Disclosure Methods for Zakat Distribution .......................................11
1 INTRODUCTION Zakat is one of the fundamental pillars of Islam. It serves as a means of wealth redistribution to foster social and economic justice. It is a mandatory charitable contribution prescribed to eligible Muslims. The funds collected through zakat are allocated to specific categories which known as asnaf as stated in the Quran, including the destitute (fakir), the poor (miskin), ‘amil, mualaf and others. In Malaysia, the responsibility of collecting, managing, and distributing zakat funds falls under the State Islamic Religious Councils (SIRCs). They ensure compliance with Islamic principles while addressing local socio-economic needs. This assignment aims to analyze the allocation method and compare the zakat distribution allocation methods employed by Majlis Agama Islam Kelantan (MAIK) and Majlis Agama Islam Selangor (MAIS) for the year 2023. The focus will be on understanding how these two councils allocate zakat funds across the eight asnaf categories. By comparing the approaches of MAIK and MAIS, this study seeks to highlight the similarities and differences in their distribution mechanisms. Through this analysis, we aim to explore how the allocation methods and disclosure practices impact the effectiveness and accountability of zakat distribution. This comparison will provide valuable insights into best practices for managing zakat funds, ensuring they reach the intended recipients efficiently while maintaining transparency and trust among stakeholders.
2 1.0 OVERVIEW OF ZAKAT CONCEPT Zakat is one of the five fundamental pillars of Islam (Rukun Islam). Allah (S.W.T.) has prescribed on the believers the payment of zakat as an obligatory form of worship (Ibadah) (Ab Rahman et al., 2012). Sadaqah is a donation to someone which is categorized as a voluntary (Sunat), meanwhile zakat is categorized as obligatory charity. This section comprehensively examines the fundamental aspects of zakat, including its definition, evidentiary basis, types, and regulatory roles. 1.1 DEFINITION OF ZAKAT The word zakat generally means an increase in the context of Arabic, which derived from the Arabic word "زكاة ."Without adding any preposition, it means; to thrive; to grow, to increase; to be pure in heart, be just, righteous, good; to be fit, suitable (Ali Khan, 2016). According to the terminology perspective, zakat is a component of property with specific requirements which Allah SWT obliges the owner to distribute to those entitled to receive it, i.e., mustahik (Handoko et al., 2022). In terms of fiqh terms, zakat means a certain amount of property required by Allah SWT to be handed over to people entitled to receive it (Yusrizal & Sasmita, 2022). In the social and philosophical context, zakat is associated with the principle of social justice and is considered practical for economic development through various means, e.g., community development, among others (Apriliyah & Arifianto, 2022). Another definition of zakat is zakat is worship and a social obligation for the aghniya‟ (wealthy) after their wealth meets the minimum limit (nishab) and a certain time span (haul) (Safrudin & Wahyunita, 2023). 1.2 DALIL (EVIDENCE) OF ZAKAT According to Yusuf Al Qardawi and Kahf Monzer (2000), the word al zakah occurs in the Qur’an thirty times. Twenty-seven of them are associated with prayers in the same verse (Mohammad Zahid Mateen, 2021). One of the Quranic pieces of evidence related to the obligation of zakat is in Surah At-Tawbah [1] , Allah S.W.T. says: ﴾١٠٣ ﴿ ٌ یم ِ ل َ ع ٌ یع ََسِ ُ ٱ هَّلل َ و ۡۗ م ُ هَّل ٌ َكن َ َ َك س لَٰوت َ هن ص ِ إ ۡۖ ِهم لَی َ ع ِّ ِل َ َص ا و َ ِّیِهم ِبِ َُزكِ ت َ و م ُ ه ُ ر ِّ ِه ُطَ ت َة ق َ د َ ص م ِِ َّٰل َ و أَم ن ِ م ُذ خ [1] Al-Quran al-Kareem, Surah at-Taubah (9:103) page 125 [Translation by Abdul Haleem]: https://ia800501.us.archive.org/16/items/OxfordQuranTranslation/Oxford-Quran-Translation.pdf
3 Translation by Abdul Haleem: “In order to cleanse and purify them [Prophet], accept a gift out of their property [to make amends] and pray for them- your prayer will be a comfort to them. God is all hearing, all knowing.” In addition, the obligation of zakat can also be seen through the hadith when Rasulullah SAW intended to send Sayidina Mu'az Ibn Jabal RA to Yemen for da'wah (preaching), and Rasulullah SAW [2] said: ْ ِهم ِ َرائ ُق د على ف ُّ َُ َُت ف ْ ِهم ِ یائ ِ ْغن ن أ ِ ُذ م َ ْخ ُؤ ت َة ق َ د َ َ َض علیهم ص َر ْد ف ق َ أ هن ا هَّلل ْ م ُ ه ْ ِِب ْ فأخ Translation: “And if they obey you in that tell them that Allah has made it obligatory on them to pay the Zakat which will be taken from the rich among them and given to the poor among them.” 1.3 TYPES OF ZAKAT In general, zakat is categorized into zakat fitrah and zakat on wealth. Zakat fitrah is compulsory to be paid by an individual in the month of Ramadhan, while zakat on wealth is only paid by the individual when the wealth had fulfilled the Shariah requirement (Abdul Shukor, 2022). 1.3.1 Zakat Fitrah According to Omar et al. (2016), zakat Fitrah is obligatory upon every capable Muslim male and female, subject to the conditions set. Zakat Fitrah is issued approaching Eid al-Fitr with the aim of making beggars or people in need not wander around begging on Eid al-Fitr day (Perdana & Tunali, 2020). It is called zakat Fitrah because its purpose is to purify the soul and the body. The prescribed amount of Fitrah is one (gantang of Baghdad), which is the staple food of the region, or equivalent to 2.5 kg or its monetary value during the month of Ramadan. 1.3.2 Zakat on Wealth (Harta) According to the research (Ab Kadir et al., 2023), wealth zakat is any type of wealth that can be subject to zakat once it meets certain conditions, such as exceeding the minimum threshold (nisab) and being held for a period of one year (haul). There are several types of zakat under the category of wealth zakat, namely zakat on income, zakat on business, zakat on savings, zakat on gold and silver, zakat on investments, zakat on rice crops, zakat on livestock, and zakat on minerals. [2] Sahih al-Bukhari 1496 - https://sunnah.com/bukhari:1496
4 2.0 COMPARISON IN ASSESSING THE ALLOCATION METHOD OF ZAKAT FUNDS TO ASNAF BETWEEN 2 STATES OF SIRCs This section examines the allocation methods of zakat funds between two State Islamic Religious Councils (SIRCs) in Malaysia, namely Majlis Agama Islam Kelantan [3] (MAIK) and Majlis Agama Islam Selangor [4] (MAIS). In 2023, MAIK distributed total amounted RM233,626,537, while MAIS is RM1,151,140,207. In general, this indicates that MAIS distributed nearly 5 times more zakat funds compared to MAIK. 2.1 DESTITUTE (FAKIR) AND POOR (MISKIN) According to the annual zakat report from the Majlis Agama Islam Kelantan (MAIK) in 2023, the allocation method for the destitute (fakir) and the poor (miskin) is combined into one category. The distribution to these two asnaf categories amounted to RM97,843,741 in 2023 (Refer Appendix A), which encompasses 41.9% of the total distribution. MAIK has distributed zakat to the fakir and the miskin in various programs, involving a detailed amount allocated for each of 15 distribution programs. On the other hand, according to the 2023 annual zakat report from the Majlis Agama Islam Selangor(MAIS), the allocations method for the destitute (fakir) and the poor (miskin) are separated (Refer Appendix B). MAIS has organized various programs for distributing zakat funds, with 21 programs designated for the destitute (fakir) category and 25 programs for the poor (miskin) category, respectively with total distribution are RM239,547,992 (20.8%) and RM433,701,551 (37.7%). From here we can see that the total distribution from MAIS is greater than MAIK. Since MAIK combines the fakir and miskin into a single category, a synchronized comparison requires summing the allocations for these two categories in MAIS. Thereby, MAIS distributed total of RM673,249,543 (RM239,547,992 + RM433,701,551) which comprises 58.5% (20.8% + 37.7%) from the total distribution for their fakir and miskin, while MAIK distributed lower than MAIS which is 41.9% from the total distribution. Besides, both MAIK and MAIS disclosed the programs in detail which mentioned the amount allocated for each of programs. [3] MAIK Annual Zakat Report 2023: https://www.e-maik.my/v2/laporan-terimaan-belanjawan [4] MAIS Annual Zakat Report 2023: https://laporanlzs.zakatselangor.com.my/laporan-2023/
5 2.2 EMPLOYEE OF ZAKAT (‘AMIL) In the context of distribution, zakat ‘amil refers to persons who are appointed for the management and administration of collection and distribution of zakat. They are the workers of the institution of zakat. i.e., those who collect zakat and do the work of reckoning, etc (Nasir & Rahman, 2020). The Majlis Agama Islam Kelantan (MAIK) allocated RM34,290,888 which is representing 14.7% of the total distribution to the 'amil category. However, MAIK disclosed only a general overview of the programs under the 'amil category, without specifying the exact amounts allocated to each program (Refer Appendix C). On the other hand, In MAIS, the total amount allocated for the management of ‘amil and zakat administration is RM136,618,795, representing 11.9% of the total distribution. This allocation is divided among three key programs. Meanwhile, MAIS provided a detailed breakdown of the programs under the 'amil category and specifying the exact amounts allocated to each program (Refer to Appendix D). From this, it is clear that MAIS allocated a larger amount to the ‘amil category than MAIK, even though MAIK’s percentage of the total distribution was higher. MAIS’s allocation is higher in absolute value, with a more detailed breakdown of their ‘amil-related programs, whereas MAIK combined this category with broader zakat administration costs and did not provide specific program details. Therefore, it can be concluded that MAIS distributed a larger portion of funds specifically for the ‘amil category in absolute terms (RM136,618,795) compared to MAIK (RM34,290,888), even though MAIK's percentage allocation (14.7%) was higher than MAIS’s (11.9%). 2.3 MUALAF Mualaf refers to those who have recently got into Islam. Zakat is given to them to strengthen their faith or help them in their transition to the Muslim community. Majlis Agama Islam Kelantan (MAIK) allocated RM6,099,940 (2.61%) of the total distribution (Refer Appendix E). The amount for mualaf is utilized for 9 various programs intended to facilitate the well-being of new Muslims in the region. MAIK disclosed detailed breakdown along with amount allocated for each program under the 'amil category.
6 In contrast, MAIS has distributed a total of RM57,854,137 or around 5.03% is allocated for mualaf. The said amount is apportioned to fund 28 different programs meant to give various forms of assistance to newly embraced Muslims in Selangor. MAIS disclosed a comprehensive breakdown which is specifying the amounts allocated to each program under the mualaf category (Refer Appendix F). From this, we can see that MAIS allocated a significantly higher amount to the mualaf category than MAIK which is RM57,854,137 compared to RM6,099,940. MAIS's allocation also represents a higher percentage of the total distribution 5.03% compared to MAIK's 2.61%. However, both MAIK and MAIS disclosed a comprehensive breakdown which are specifying the amounts allocated to each program under the mualaf category. 2.4 AL-RIQAB (SLAVES) A few scholars, such as Al-Hasan Al-Basri, Muqatil bin Hayyan, `Umar bin `Abdul- `Aziz, Sa`id bin Jubayr, An-Nakha`i, Az-Zuhri and Ibn Zayd argued that Riqab can be defined as those slaves who entered into an agreement with their masters to pay a certain ransom for their freedom (Ismail et al., 2020). In the modern context, in which slavery is no longer exists, scholars have reinterpreted the concept of al-riqab based on the principles of Islamic ethics and social justice. According to the MAIK annual zakat report a total of RM41,131 (0.02%) has been allocated toward the Al-Riqab. This allocation was generally distributed to various key areas without specifying the allocation amount for each program (Refer Appendix G). On the other hand, for MAIS there was a total of RM23,782,248 (2.1%) allocated for the asnaf riqab (Refer Appendix H). An amount that is much higher compared to MAIK. This allocation is divided among nine programs which provides a detailed breakdown of the programs under the 'amil category and specifying the exact amounts allocated to each program. This larger proportion could be reflected on the fact that the state of Selangor has a larger population compared to Kelantan. This demonstrates that, compared to MAIK, MAIS has provided much more detailed allocation for the asnaf al-Riqab, which is reflected in the higher amount allocated (RM23,782,248 versus RM41,131) and the comprehensive breakdown of the programs. MAIS specified the exact amounts allocated to each of the 9 programs under the 'amil category while MAIK generally state the programs with the total amount allocated.
7 2.5 AL-GHARIM (DEBTORS) According to the Mohamad Al-Bakri (2016) [5] Al-Gharimin is the plural form of gharim, which means a person that is in debt. Meanwhile, al-gharim refers to a creditor. Linguistically, the root word al-Gharm signifies al-Luzum, meaning something that is binding or obligatory. According to the MAIK zakat report, an amount of RM197,931 (0.08%) has been distributed to the al-gharim asnaf from the total distribution in 2023 (Refer Appendix I). Similar to the previous asnaf al-Riqab, MAIK provided a general statement about the allocation without specifying the amounts for individual programs, as outlined in the zakat report. Meanwhile, as for MAIS, out of RM1,151,140,207 from the distribution of zakat in 2023, RM84,394,318 (7.33%) was allocated towards Asnaf Gharim (Refer Appendix J). MAIS divided the zakat allocation for debtors into 6 different programs, with a detailed breakdown of the amount allocated for each program. This level of transparency ensures that the funds are used effectively and provides greater accountability for zakat distribution. In summary, while MAIK allocated RM197,931 (0.08%) of its total zakat distribution to the asnaf al-Gharimin as one-off assistance without specifying program details, MAIS allocated a significantly larger amount of RM84,394,318 (7.33%) and provided a detailed breakdown across six specific programs. This highlights MAIS's more comprehensive and transparent approach to addressing the needs of debtors compared to MAIK. 2.6 FI SABILILLAH (THOSE STRIVING IN PATH OF ALLAH) One of the zakat recipients, Fisabilillah is defined as individuals or efforts dedicated in the path of Allah S.W.T. Generally, Asnaf Fi Sabilillah implies to the Muslim armies who are fighting against the infields (Ahmadzin et al., 2024). However, over the time period, the context of Fisabilillah has broadened to include a wide range of activities associated with advancing Allah’s cause such as supporting da’wah activities. MAIK allocated a quite significant total of RM95,150,322 to the Fisabilillah asnaf category, representing 40.73% of the total zakat distribution in 2023 (Refer Appendix K). Under this category, MAIK channeled in detail the funds for 9 various of programs which primarily allocated toward education, including support for Islamic educational institutions, and mosque activities and maintenance. [5] Pejabat Mufti Wilayah Persekutuan, Irsyad Hukum Ke-131: Al-Gharimin di dalam Asnaf Zakat: https://www.muftiwp.gov.my/ms/artikel/irsyad-hukum/umum/1234-irsyad-al-fatwa-ke-131-al-gharimin-di-dalamasnaf-zakat
8 Meanwhile, the Majlis Agama Islam Selangor (MAIS) allocated RM175,092,989, representing 15.2% of its total zakat distribution in Selangor for 2023, to the Fisabilillah category (Refer Appendix L). This allocation was divided into 21 distinct programs, each with a detailed breakdown of the amounts allocated The largest portion of this allocation was focused on programs promoting Islamic values. In comparison, both MAIK and MAIS demonstrated a similar allocation method which is breaking down in details to the Fisabilillah category. MAIK allocated a higher percentage (40.7% versus 15.2%) of its total zakat distribution to this category. In contrast, MAIS allocated a larger absolute amount (RM175,092,989 versus RM95,150,322) with a broader range of programs and detailed transparency. 2.7 IBNU SABIL According to the research (Abd Khafidz & Mohd Subri, 2012), Imam al-Shafi’i opinions that ibn al-sabil refers to a person who is in an area where zakat funds are available, intending to travel for a purpose that is not sinful but is unable to reach their destination without assistance. MAIK did not allocate significant contributions for this category, providing only a general disclosure which is one-off amount of RM2,584 (0.001%) (Refer Appendix M). The distribution is to assist individuals facing financial difficulties and requiring immediate help due to a lack of travel expenses for stranded travelers. Similarly, MAIS did not allocate a significant amount for the Ibnu Sabil category, with only RM148,177 (0.01%) provided in 2023 (Refer Appendix N). This allocation is detailed with amount allocated for general assistance for travelers, the construction and management of traveler accommodations at hospitals around Selangor, and support for international students studying in the state. Both MAIK and MAIS allocated relatively small amounts for the Ibnu Sabil category, reflecting its lower priority compared to other asnaf categories. However, MAIS demonstrated a more detailed and structured approach, diversifying its allocation to encompass a wider range of needs within this category, while MAIK focused solely on immediate one-off assistance for stranded travelers.
9 3.0 SUMMARIZATION FOR ALLOCATION METHOD OF MAIK AND MAIS This section summarizes the allocation methods of MAIK and MAIS, focusing on their similarities and differences. There are two tables will be discussed; first is the table demonstrate the comparison which one is higher in terms of zakat distribution to all asnaf categories, along with amount and percentage. Secondly, the table highlights the nature of their disclosure whether the distribution details are presented generally or comprehensively broken down for each program. 3.1 COMPARISON AMOUNT AND PERCENTAGE OF DISTRIBUTION Table 1: Comparison Amount and Percentage of Distribution NO. ASNAF MAIK DISTRIBUTION MAIS DISTRIBUTION AMOUNT & PERCENTAGE COMPARISON 1. Fakir and Miskin RM97,843,741 (41.9%) RM673,249,543[6] (58.5%) MAIS distributed a much larger amount and a higher percentage of its total zakat to these categories compared to MAIK. 2. ‘Amil RM34,290,888 (14.7%) RM136,618,795 (11.9%) While MAIS allocated a higher amount, MAIK has a higher percentage of its total zakat distribution to the ‘Amil category. 3. Mualaf RM6,099,940 (2.61%) RM57,854,137 (5.03%) MAIS provided a larger amount and a higher percentage to support newly converted Muslims. [6] The total amount of RM673,249,543 is the sum of allocations for the asnaf categories of fakir and miskin, amounting to RM239,547,992 and RM433,701,551 respectively.
10 4. Al-Riqab RM41,131 (0.02%) RM23,782,248 (2.1%) MAIS demonstrated a significantly greater focus on Al-Riqab in terms of both amount and percentage. 5. Al-Gharim RM197,931 (0.08%) RM84,394,318 (7.33%) MAIS far exceeded MAIK in both amount and percentage allocated to Al-Gharim. 6. Fi Sabilillah RM95,150,322 (40.73%) RM175,092,989 (15.2%) Although MAIS distributed a larger amount, MAIK allocated a substantially higher percentage of its total zakat to Fi Sabilillah programs. 7. Ibnu Sabil RM2,584 (0.001%) RM148,177 (0.01%) While both organizations allocated minimal amounts to this category, MAIS provided a comparatively higher amount and percentage. Overall, MAIS allocated significantly higher amounts across all asnaf categories compared to MAIK, reflecting its larger zakat collection capacity. For instance, MAIS distributed RM673,249,543 (58.5%) to Fakir and Miskin, while MAIK allocated RM97,843,741 (41.9%). Despite this, MAIK prioritized certain categories in terms of percentage, such as allocating 40.7% to Fi Sabilillah compared to MAIS’s 15.2%. The reason why MAIS has a significant distribution is due to higher population of Muslim in Selangor compared to Kelantan. This larger Muslim population in Selangor contributes to a higher zakat collection base, allowing MAIS to allocate greater funds to each asnaf category.
11 3.2 COMPARISON OF DISCLOSURE METHODS FOR ZAKAT DISTRIBUTION Table 2: Comparison of Disclosure Methods for Zakat Distribution NO. ASNAF MAIK DISTRIBUTION ALLOCATION METHOD MAIS DISTRIBUTION ALLOCATION METHOD 1. Fakir and Miskin Combined into one category with a detailed breakdown of the amount allocated. The allocation method is separated with a detailed breakdown of the allocation for each group. 2. ‘Amil A detailed breakdown is provided, showing the specific allocation amounts for administrative purposes. A similar detailed breakdown is given, showing transparency in the allocation for administration and operational costs. 3. Mualaf A detailed breakdown of the amount allocated. The distribution method is detailed breakdown of the allocation 4. Al-Riqab Allocations are reported as a lump sum with general disclosure, limiting the visibility of specific spending. A detailed breakdown is provided, offering greater transparency and insight into how the funds are utilized for Al-Riqab. 5. Al-Gharim This category is reported as a lump sum with minimal details disclosed. A detailed breakdown is included, ensuring clarity on how funds are allocated to those in debt. 6. Fi Sabilillah Detailed allocation breakdown is provided, highlighting the programs and initiatives supported under this category. Similarly, a detailed breakdown is disclosed, ensuring transparency in the allocation for activities under Fi Sabilillah. 7. Ibnu Sabil Lump-sum reporting is used with only general disclosure, limiting transparency on specific utilization. A detailed breakdown of the allocation is provided, showing exactly how the funds are used to assist Ibnu Sabil.
12 4.0 CONCLUSION In conclusion, zakat plays a vital role in fostering socio-economic justice within the Muslim community. Its proper management and distribution, as carried out by State Islamic Religious Councils (SIRCs) like MAIK and MAIS, ensure that funds are allocated to the rightful asnaf categories in alignment with Islamic principles. The comparison between MAIK and MAIS highlights key differences in allocation methods and disclosure practices. MAIK uses a more general approach in certain categories, while MAIS provides a more detailed and transparent breakdown across all asnaf. These differences reflect variations in demographic needs, resources, and administrative strategies between the two states. This analysis shows the importance of balancing accountability, transparency, and effectiveness in zakat distribution to maximize its impact. By exploring the allocation practices of MAIK and MAIS, this study not only highlights the challenges and opportunities faced by these institutions but also provides ideas for improving zakat governance. In the end, ensuring zakat reaches its intended beneficiaries efficiently and transparently builds public trust in SIRCs and fulfills the purpose of this important Islamic obligation.
13 5.0 REFERENCES Ab Kadir, A., Mhd Khotib, N. A., & Md Yusof, S. (2023). Concept of Trust and Zakat Management. Jurnal Penyelidikan Sains Sosial (JOSSR), 6(21), 1–17. https://doi.org/10.55573/JOSSR.062101 Ab Rahman, A., Haji Alias, M., & Syed Omar, S. M. N. (2012). Zakat Institution in Malaysia: Problems and Issues. Global Journal Al-Thaqafah, 2(1). https://doi.org/10.7187/gjat122012.02.01 Abd Khafidz, H., & Mohd Subri, I. (2012). AGIHAN ZAKAT IBN AL-SABIL DALAM REALITI SEMASA: Distribution of Zakah to The Ibn al-Sabil in The Current Reality. Jurnal Syariah, 20(1), 109–122. https://ejournal.um.edu.my/index.php/JS/article/view/22629 Abdel Haleem, M. A. (2005). The Qurʼan : a new translation by M.A.S. Abdel Haleem. Oxford University Press. Abdul Shukor, S. (2022). Determinants of Zakat Compliance among Muslim Individuals: A Systematic Literature Review. Journal of Islamic Finance, 10(2), 90–100. https://doi.org/10.31436/jif.v10i2.599 Ahmadzin, F. A. Z., Azizan, Z. F., Saidon, R., & Yaakub, F. (2024). A Case Study On The Distribution Of Zakat To Fi Sabilillah Recipients. Al-Qanatir: International Journal of Islamic Studies, 33(3), 203–210. https://al-qanatir.com/aq/article/view/865 Ali Khan, S. (2016). The Term “Zakat” in The Quran And The Semantic Effects of its Translational Variation Example from English Translations of Quran. Journal of Education and Social Sciences, 5(1), 166–172. Apriliyah, R. P., & Arifianto, B. (2022). Evaluation of zakat literature: A bibliometric analysis and systematic literature review. Review of Islamic Social Finance and Entrepreneurship, 1(1), 50–62. https://doi.org/10.20885/risfe.vol1.iss1.art4 Handoko, L. H., Bayinah, A. N., & Firmansyah, F. (2022). A Bibliometric Analysis of Research on Zakat: Past Trends and Future Directions. Al-Uqud : Journal of Islamic Economics, 6(2), 191–210. https://doi.org/10.26740/aluqud.v6n2.p191-210 Ismail, Y., Awang, A. B., & Mhd. Sarif, S. (2020). Re-categorizing recipients of zakat under Riqab for sustainable development goals. International Journal of Zakat and Islamic Philanthropy, 2(1), 125–133.
14 Mohamad Al-Bakri, Z. (2016, October 3). Pejabat Mufti Wilayah Persekutuan - Irsyad Hukum Ke-131: Al-Gharimin di dalam Asnaf Zakat. Muftiwp.gov.my. https://www.muftiwp.gov.my/ms/artikel/irsyad-hukum/umum/1234-irsyad-al-fatwa-ke131-al-gharimin-di-dalam-asnaf-zakat Mohammad Zahid Mateen. (2021, March 25). Analyzing Zakat In The Quran | Global Sadaqah Blog. GlobalSadaqah.com Blog. https://blog.globalsadaqah.com/analyzingzakat-in-quran/ Nasir, M. S., & Rahman, F. U. (2020). Analysis of the Recipients of Zakat and the Current Situation. International Conference of Zakat, 331–338. https://doi.org/10.37706/iconz.2020.214 Omar, M., Kamaruddin, N., & Sungip, F. (2016). Konsep Zakat dan Peranannya Terhadap Masyarakat Sejagat. Muzakarah Fiqh & International Fiqh Conference 2016. https://conference.uis.edu.my/mfifc/images/e-proceeding/2016/68-86-mfifc-2016.pdf Perdana, D. A., & Tunali, F. (2020). ZAKAT FITRAH: MANAGEMENT, TRADITION, AND MEANING OF EIDAL-FITR. Fikri : Jurnal Kajian Agama, Sosial Dan Budaya, 223– 235. https://doi.org/10.25217/jf.v5i2.978 Safrudin, S., & Wahyunita, L. (2023). The Practice of Distributing Zakat Fitrah to AlMujahidin Mosque as a Gharim Group with the Fiqh Perspective of Zakat and Law No. 23 Year 2011 (Study in Sebangau Kuala District, Pulang Pisau Regency). Indonesian Conference of Zakat - Proceedings, 131–141. https://doi.org/10.37706/iconz.2022.388 Yusrizal, N., & Sasmita, B. W. (2022). Yusuf Qardhawi’s Thought about Zakat Shares. Tadabbur: Jurnal Integrasi Keilmuan, 1(02), 116–127. https://doi.org/10.15408/tadabbur.v1i02.32760 Yusuf Al Qardawi, & Kahf Monzer. (2000). Fiqh al zakah : a comparative study of zakah, regulations and philosophy in the light of quran and sunnah ̕ . King Abdulaziz University, Cop.
15 6.0 APPENDICES 6.1 APPENDIX A: MAIK DISTRIBUTION TO DESTITUTE (FAKIR) AND POOR (MISKIN) 6.2 APPENDIX B: MAIS DISTRIBUTION TO DESTITUTE (FAKIR) AND POOR (MISKIN)
16 6.3 APPENDIX C: MAIK DISTRIBUTION TO ‘AMIL 6.4 APPENDIX D: MAIS DISTRIBUTION TO ‘AMIL
17 6.5 APPENDIX E: MAIK DISTRIBUTION TO MUALAF 6.6 APPENDIX F: MAIS DISTRIBUTION TO MUALAF
18 6.7 APPENDIX G: MAIK DISTRIBUTION TO AL-RIQAB (SLAVES) 6.8 APPENDIX H: MAIS DISTRIBUTION TO AL-RIQAB (SLAVES)
19 6.9 APPENDIX I: MAIK DISTRIBUTION TO AL-GHARIM (DEBTORS) 6.10 APPENDIX J: MAIS DISTRIBUTION TO AL-GHARIM (DEBTORS)
20 6.11 APPENDIX K: MAIK DISTRIBUTION TO FI SABILILLAH 6.12 APPENDIX L: MAIS DISTRIBUTION TO FI SABILILLAH
21 6.13 APPENDIX M: MAIK DISTRIBUTION TO IBNU SABIL 6.14 APPENDIX N: MAIS DISTRIBUTION TO IBNU SABIL