In the name of God, Most beneficent, Most Merciful
God says in the holy Qura'n:"

And perform As-Salât (Iqâmat-as-Salât), and give Zakât, and whatever of good (deeds that Allâh loves) you send forth for yourselves before you, you shall find it with Allâh. Certainly, Allâh is All-Seer of what you do. (Al-Baqarah 110).

(1) Successful indeed are the believers. (2) Those who offer their Salât (prayers) with all solemnity and full submissiveness. (3) And those who turn away from Al- Laghw (dirty, false, evil vain talk, falsehood, and all that Allâh forbidden). (4) And those who pay the Zakât. (Al- Mu'minûn 1-4)

And let not those who covetously withhold of that which Allâh has bestowed on them of His Bounty (Wealth) think that it is good for them (and so they do not pay the obligatory Zakât). Nay, it will be worse for them; the things which they covetously withheld shall be tied to their necks like collar on the Day of Resurrection. And to Allâh belongs the heritage of the heavens and the earth; and Allâh is Well-Acquainted with all that you do. (Al' Imrân 180).

Dear Moslem brothers

The Zakat Fund prepared this introduction to (Alms-giving) Zakat, including its rules, conditions, limits, and distribution, with the main objective of calling upon Moslems to cooperate with the Fund to implement this basic pillar of Islam, and purify their wealth, and spread of prosperity.

Zakat Definition:

Zakat (Alms-giving) in Arabic language means purity, growth and blessing. The verb signifies to purify and grow, with the meaning of being blessed as described by the Qura'nic verse:"Take Sadaqah (alms) from their wealth in order to purify them and sanctify them with it, and invoke Allâh for them. Verily, your invocations are a source of security for them. (At-Taubah 103)."
In Islamic jurisprudence it is a specified portion of money imposed by God on those who are liable from the wealthy and rich members, with the following conditions

Rules

Zakat is a pillar of Islam and a basic obligation that has its roots in the holy Qura'n, Prophets tradition (Sunna), and consensus. The Qura'nic verse confirms:"(56) And perform As-Salât (Iqamat-as-Salât), and give Zakât and obey the Messenger (Muhammad peace be upon him) that you may receive mercy (from Allâh).(An-Nûr 56)."

The Qura'n mentions Zakat in 32 different verses, which confirms its importance. The prophet, peace be upon him, says :( Islam is built on five {pillars}, the witness that there is no god but Allah, and that Mohammad is the Prophet of Allah, performing Prayers, giving of Alms (zakat), performing Pilgrimage, and fasting of Ramadan). A consensus on the obligation of Zakat is agreed upon, and this imposition is a norm of Islamic religion.

Benefits and Results

The wisdom behind imposing Zakat is clear for wealth, the giving individuals, and the Islamic society. As for wealth, Zakat purifies it, increases, and adds blessing to it. As to the individual, God forgives his wrong-doing, elevates his status, and increases his credits, and heal him from greed, selfishness and stinginess. With regards to society, Zakat treats a serious side of it, especially if we understand that God has healed by Zakat many negative aspects in the Islamic society. The Islamic verse confirms:"

(29) Verily, those who recite the Book of Allâh (this Qur'ân), and perform As-Salât (Iqamât-as-Salât), and spend (in charity) out of what We have provided for them, secretly and openly, they hope for a (sure) trade-gain that will never perish.(30)That He may pay them their wages in full, and give them(even) more, out of His Grace. Verily, He is Oft-Forgiving Most Ready to appreciate (good deeds and to recompense). (Fâtir 29-30) (261) The likeness of those who spend their wealth in the Way of Allâh, is as the likeness of a grain(of corn): it grows seven ears, and each ear has a hundred grains. Allâh gives manifold increase to whom He wills. And Allâh is All-Sufficient for His creatures' needs, All-Knower.(Al-baqarah 261). The prophet, peace be upon him, warns by saying: (All societies that refrain from giving alms, are punished by drought, poverty, and bad conditions).

Zakat obligation conditions:

• The holder of the wealth should have complete ownership.
• A complete lunar year should have passed from the date of owning then money or wealth. Zakat of fruits, plantation, metals, and sea products,have different conditions.
• The money should be intended for personal expenditure.
• The wealth should reach the Zakat limit.
• The owner should not be indebted by a value that consumes the Zakat limit (nisab) or reduces it.

Zakat limit (Nisab)

The Zakat payment limit is the amount of wealth that is specified by Islam, which makes the owner liable for the payment of Zakat. Different types of wealth are subject to different Zakat limits.

• Zakat of Gold is due if its weight is 85 grams, with a grade of 24 carats, taking into consideration continuous changes in the prices of gold.
• Zakat is due in current paper money, savings, liquid cash deposits in banks, stocks and corporate shares, bonds and financial paper, and any other instruments that replace money.
• The percentage of Zakat imposed on the above mentioned, is 2.5%, on condition that the above types of wealth reach the specified limit of Zakat as evaluated by gold, and complete the one-year cycle.
• Zakat is due on trade assets. The trader should make an inventory and evaluate the business merchandise, add to it cash, savings and good receivables, then subtract from it trade payables and expenses, and finally pay Zakat on the remainder, on condition of reaching the Zakat limit as specified previously.
• Zakat is due on extractions from under-earth, whether metals or non-metals, by a rate of 20%.
• Zakat is due on plantation and fruits whenever it reaches the Zakat limit that is estimated at the equivalent of 653 kilograms. If it is arid agriculture or irrigated by rain, then the Zakat percentage is 10%. However, if land is irrigated by an irrigation system, the Zakat rate is 5%. In calculating Zakat, crop collection expenses are deducted from the value of the resulting crop.
• The Zakat cycle for all the generated money and profit, is the same as the cycle of its original principal or asset.
• Whenever Zakat is due on an individual, it cannot be canceled, neither due to the death of the owner, nor due to passage of time. The amount of due Zakat becomes a debt to be deducted and paid by the heirs from the inheritance before its distribution.
• The imposition of taxes by the government does not cancel the payment of the imposed Zakat.
• Assets which do not have a specified percentage of Zakat assigned by Islamic jurisprudence or scholars, are subject to the following rules: Assets like buildings for lease, factories, cars and similar assets are not subject to Zakat. Zakat is paid only on the net generated revenue, taking into consideration the zakat limit and the zakat cycle, at the rate of 2.5% from the net income at the end of the zakat cycle.

Non- Zakatable assets

Zakat is not applicable to the following assets:

Houses used for residence.
Personal clothing.
Home furniture.
Assets for personal use, i.e. cars.
Kitchenware and chinaware for decoration, other than gold and silver made.
Jewelry for personal use.
Industrial production machinery.
Books for non-trade purposes.

Zakat recipients

God says in the holy Qura'n:"As-Sadaqât (here it means Zakât) are only for the Fuqara' (poor) and Al-Masâkin (the needy), and those employed to collect (the funds); and to attract the hearts of those who have been inclined (towards Islâm): and to free the captives; and for those in debt; and for Allâh's Cause (i.e for Mujahidûn- those fighting in a holy battle), and for the wayfarer (a traveller who is cut off from everything); a duty imposed by Allâh. And Allâh is All-Knower, All- Wise.(At-Taubah 60)"
Zakat is distributed among the above-mentioned eight categories of recipients: the poor, the needy, zakat fund employees, recent embracers of Islam, free slaves and prisoners, the indebted, in the cause of God, the stranded.

The Poor and the Needy

These two categories include the poor from orphans, widows, elderly, ill, and others who do not have a sponsor, low income workers, families of lost individuals, and the unemployed.

Zakat fund employees

These are all the individuals operating in any activity related to the collection and distribution of Zakat, as pre- assigned by the religious authority.

Recent embracers of Islam

These are individuals who have recently embraced Islam, and are in need of support in their new circumstances.

Free slaves and prisoners

This type of Zakat disbursement is restricted to liberate Moslem prisoners.

The indebted

These are the indebted individuals towards private businesses, or towards society, and who are unable to pay back their debts, on condition that these debts have been incurred from legitimate business operations.

In the cause of God

In the cause of God includes military activity (Jihad), propagation of Islam, in addition to whatever type of activity that benefits the Moslem society

Stranded travelers

These are the travelers who are out of funds.

Voluntary donations

Voluntary donations are payments made in the cause of God, over and above the original value of Zakat. God says in the holy Qura 'n:"(11) Who is he that will lend Allâh a goodly loan: then (Allâh ) will increase it manifold to his credit (in repaying), and he will have (besides) a good reward (i.e paradise)? (Al-Hadîd 11)"
"(10) And what is the matter with you that you spend not in the cause of Allâh? And to Allâh belongs the heritage of the heavens and the earth.( Al-Hadîd 10)."
These donations are distributed to the eight mentioned Zakat recipients

Dear Brother Moslem

The fund announces that its readiness to receive your Zakat and voluntary donations, and promises to distribute these resources in the exact specified applications. Also, the fund is ready to execute the donor's wish in distributing and expending the resources to his specified recipient.