PAYMENT OF ZAKAT ON MERCHANDISE AND LOAN: A RESEARCH STUDY ACCORDING TO ISLAMIC PERSPECTIVE

Abstract

Zakat, being one of the five pillars of Islam, plays a vital role in promoting eeconomics justice and equality. Traditionally, Zakat is paid in the form of cash or kind. However, with the evolution of trade and commerce, the
question arises whether Zakat can be paid in the form of trade goods and loans. This paper explores the islam8c perspective on this issue, examining the opinions of various Islamic scholars and jurists. The study concluded that, under certain condition, Zakat can be paid in the form of trade goods and loan, providing a viable alternative for individuals and businesses seeking to fulfil their Zakat obligations. The conditions include that the trade goods or loans must be of equivalent value to the zakat payable, and that the recipient must be eligible to receive zakat. The study also highlights the benefits of paying zakat in the form of trade goods and loans, including increased flexibility and convenience for the payer, and increased benefits for the recipient. This paper Explore the Islamic rulings and condition surrounding zakat payment trades goods and loans. Islamic scholars of thought provide varying perspective on the permissibility and recommendation for paying zakat in trade goods and loans. This paper provide clarity on the Islamic guideline for alternative zakat payment methods.