– The difference between zakat and taxes is very striking. Zakat is an obligation on assets that is binding and not recommended. This obligation applies to every Muslim when they have a number of assets that have met the nisab limit. While taxes in Arabic are known as Adh-Dharibah which means levies drawn from the people by tax collectors.

Tax is a payment made to the government to finance expenditures made in terms of providing services for the public interest. On the other hand, zakat became a source of state revenue at the beginning of the Islamic government. This can be seen from the obligatory zakat on Muslims to the glory of Islamic government.

However, along with the development of the constitutional system in force in today's world, zakat is no longer a state obligation but rather an obligation for Muslim individuals. This is because there is already a tax system that has replaced zakat as the main element of state revenue. So that besides the obligation to pay taxes, Muslim people who live in a country have other obligations that must be paid, namely zakat.

  • The difference between Zakat and Tax
  • Benefits and Purpose of Zakat
  • Tax Benefits and Purpose
  • Conditions for Paying Taxes
  • Conditions for Paying Zakat

The difference between Zakat and Tax

Literally, the difference between zakat and taxes can be understood clearly. Even so, zakat and taxes still have similarities because the order to release some of these assets is carried out according to certain rules that cover a community group. Zakat is paid according to Islamic law, while taxes are paid according to the tax law in force in a country.

The next tax and zakat equation is that the amount of payment is determined according to a certain percentage and applies to people who meet the requirements. Both also play a role in building the welfare of certain groups of people.

Although they have much in common, zakat and taxes are two different things. The difference between zakat and taxes can be seen from the side of the recipient, the time of payment, means of payment, and others. Here's a detailed explanation:

Benefits and Purpose of Zakat

As a Muslim, it is known that paying zakat is one of the important elements that can be found in the pillars of Islam. The purpose and benefits of zakat, besides being able to increase faith as a Muslim, can also bring benefits to yourself and those around you.

Understanding in terms, zakat means a measure of assets that must be issued to people in need or those who are entitled to receive zakat, including income zakat. Here are the benefits that can be felt when routinely paying income zakat.

Cleanse Property and Heart

In Islamic teachings, it is explained that paying zakat including income zakat is one of the efforts to clean up assets. The reason is, it is also known through the teachings of Islam that in every property owned, there are other people's rights in it. Especially people in need.

When removing some of the assets owned, it is the same as helping the survival of other people who are entitled and really need material assistance. By getting used to paying zakat income, there will be a feeling of relief thanks to one's ability to help others as well as fulfilling obligations as a Muslim.

Means of Self-Control

With a clean heart thanks to routinely paying zakat income, it will be easier for you to control yourself, especially from the emotional influence of various forms of offers that can make your expenses swell. Because you are used to paying income zakat as a form of worship, slowly your view of ownership or property will also adjust. So you will feel more at ease in making decisions to spend on the necessities of life for you and your family without having to spend excessively.

Making Money Management Better

Every month paying zakat income regularly, of course you will get used to making a detailed list of expenses. Including the cost of daily necessities. By having this list every month, you will get used to managing your financial condition better. This happens because you have to be wise and careful in managing expenses so that you can still determine the amount needed to pay zakat income, then for housing and daily life needs, and the rest to increase your savings funds.

Reducing Income Tax

Did you know, according to Law Number 23 of 2011 concerning Zakat Management, every zakat you pay can give you an advantage in reducing your income tax or PKP payments. Fundamentally, it is also notified that this deduction is explained in the elucidation of Article 14 paragraph (3) of Law 38/1999 that the deduction of zakat from profit/remaining taxable income is intended so that taxpayers are not subject to a double burden.

To get the benefit of reducing the income tax burden, you can submit a report to the National Amil Zakat Agency by including the amount of zakat paid along with your total income. Meanwhile, if your income tax is paid by the agency or place of work, the zakat withholding report will be included in the tax report of the gross income you have.

Social justice

According to Islamic teachings, besides being to increase faith and reward, zakat is also an effort to reduce the distance or gap between the rich and the poor. It should also be noted, by routinely paying zakat income, you have also succeeded in contributing to the state in helping to reduce poverty, because the distribution of zakat is right on target, targeting people who are less fortunate and need material assistance.

That is the benefit and purpose of taxes. If you plan to buy a home, you will also have to pay taxes. So you have to prepare more funds to pay for it. The following is a list of homes for sale in the Bogor area under Rp. 1 billion here!

Tax Benefits and Purpose

Currently, the majority of countries in the world have used taxes as the main instrument in meeting their needs. So that taxes become an obligation that must be paid by every community to become the main source of state revenue. This is because, in carrying out development the government needs funds to fulfill the things needed. These funds are obtained by the government from taxes taken from the community so that taxes become one of the obligations of the community.

Paying this tax is coercive because this has been regulated in the 1945 Constitution. If no citizen pays taxes, the development of the country or the development of the country's infrastructure will be hampered. By paying taxes, people will also benefit from the taxes themselves, such as the construction of public facilities, bridges, toll roads or highways and others.

If an individual does not want to pay taxes, it will have its own consequences because it returns again that paying taxes has been stipulated in the 1945 Constitution. Following are a number of benefits and purposes of taxes:

Conditions for Paying Taxes

The first requirement to pay taxes is to create a billing code. You can make a billing code through the Directorate General of Taxes, internet banking for certain banks, and also through tax application service providers. The data needed to create a billing code include:

  • NPWP tax payer
  • Tax type code and deposit type code for tax period and tax year
  • The amount of tax to be deposited into the state treasury
  • Access to Tax Online e-billing

The second step is to access the Tax Online e-Billing. If you don't have an account before, click the 'start now' button to create an e-Billing Online Tax account. After that, enter your e-mail address, password and telephone number. If the data is filled in correctly, click the 'register' button. Next, enter the 'Deposit e-Billing and TaxPay' menu.

If you don't have a Billing ID yet, you can press the 'ADD' button to create a Billing ID without an automatic calculation process on Online Tax. Here you can choose the types of taxes you want to pay, such as PPh 21, VAT, PPh 23, Final PPh.

If you can't find the tax you want to pay, click the 'more taxes' button. If you have selected the tax you want to pay, a dialog box will appear to enter the nominal payment. Next, click the 'create' button if you have entered the nominal correctly.

For selecting a payment method, you will be redirected to the payment page. You can choose a payment method by selecting 'payment options'. Currently, there are two payment methods available, namely through TaxPay and other methods.

Then, complete Tax Payment. Then tick all the taxes you want to pay. If all data is correct, press 'continue payment'. After that, you will be directed to the payment details page. On this page, you can add a contact to send payment confirmation.

If you have made a payment, you will be redirected to the start page. If you want to get Proof of State Revenue, click on the 'NTPN' option. You will also get State Receipts which can be downloaded in PDF format.

Conditions for Paying Zakat

It is understood that during the month of Ramadan, apart from the obligation to fast, all Muslims are also required to pay zakat fitrah. This zakat fitrah aims to provide food to the poor and at the same time to cleanse oneself from the sins that have been committed during fasting in the month of Ramadan.

In the book Al-Mausu'ah Al-Fiqhiyah Al-Kuwaitiyah it is stated that there are three conditions for a person to pay zakat fitrah. First, Islam. Zakat fitrah is only obligatory for people who are Muslim. If someone is not Muslim, then he is not obliged to pay zakat fitrah.

According to the scholars, the reason Islam is a condition for the obligatory payment of zakat fitrah is because zakat fitrah is a form of worship intended for people of the Muslim faith, as a means of cleansing oneself from sins and negligence committed during fasting in the month of Ramadan.

Second, independence. The boy is not obliged to pay zakat fitrah because he is in the power of others. Third, able to pay zakat fitrah. People who are obligated to pay zakat fitrah are those who have more food for themselves and their dependents on the day of Eid al-Fitr and its night.

As for the person who does not have more food on the night and day of Eid al-Fitr, then he is not obliged to pay zakat fitrah. For example, if the food is only for himself and the people under his care, then he is not obliged to pay zakat fitrah and he does not have to go into debt to pay zakat fitrah.