Encyclopedia of Zakat

Zakat is payable, at different rates, on crops, harvests, herds, gold and silver, and merchandise. For gold and silver, which is understood to include all liquid assets, the rate is 2.5%. Being religiously prescribed, zakat is distinct from charity (sadaqa) which is voluntary. Zakat is essentially a personal exercise with no intermediary control, and could be given directly to its recipients, although a central treasury often collects it. In recent times, Pakistan, Sudan, and Saudi Arabia have enacted legislation to enforce the zakat.

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