Revisiting Dividends, Capital Asset Purchase and Donations in Business Zakat Assessment: The Malaysia Experience
Ahmad Othman, Assoc. Professor Dr. Ahmad Azrin Adnan

Abstract
Despite the fact that the centres for zakat management and the public have already used the assessment method of business zakat as introduced by the Malaysian Department of Islamic Development (JAKIM), several issues remain unresolved, such as inconsistencies and differences in the assessment value of business zakat. Issues pertaining to dividends paid to subsidiaries that have paid zakat, purchasing fixed assets at the end of the permissible period and donations made at the end of the permissible period are some of the issues that influence the amount of zakat payable. This paper aims to analyse these three items involved in the assessment of business zakat in order to harmonise the existing zakat accounting method. It is found that these three items should be treated consistently in order to develop a consistent, uniform and fair zakat accounting method.

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