Open AccessZakat and Tax Relations in Muslim Southeast Asian Countries (Comparative Study of Zakat and Tax Arrangements in Indonesia, Malaysia and Brunei Darussalam)
Author(s) -
Athoillah Islamy,
Afina Aninnas
Publication year - 2020
Publication title -
li falah
Language(s) - English
Resource type - Journals
eISSN - 2549-6085
pISSN - 2541-6545
DOI - 10.31332/lifalah.v5i2.2296
Subject(s) - taxable income , normative , southeast asia , population , economics , business , development economics , political science , accounting , sociology , law , demography , ethnology
This study aims to compare Zakat and tax relations in three countries in the Southeast Asian region, where most of the population is Muslim (Indonesia, Malaysia, and Brunei Darussalam). This type of research is normative, empirical legal analysis with a comparative approach. The results showed relational and functional distinctions in Zakat and tax positions in Indonesia, Malaysia, and Brunei Darussalam. In Indonesia, paying Zakat can reduce taxable income. Meanwhile, Malaysia uses Zakat as a deduction for individual taxes, even up to 100%. Meanwhile, in Brunei Darussalam, the Zakat and tax relationship are not interrelated.