Q: I want to buy some software for my computer for the overall benefit of the charitable organisation I work for, is it permissible to ask a colleague who is a student to use his student ID to get the discount, knowing that it is in fact for my work usage? Will my colleague be […]
Read more...Category: Tax, Benefits, Fraud, and Copyright Fatawa
Can I be held liable for the tax evasion of my employers?
Q: What is the ruling on tax in Islam; specifically, employment tax? If I have a job where I am given cash in hand, so that the company can avoid tax, would I also be liable for escaping tax? Alternatively if I am hired privately to do a one off job, for example to paint […]
Read more...Is it permissible to under declare my income for benefits?
Q: Is it permissible to at least under declare my income just so I can make housing more affordable for myself, since private housing is so expensive in the City? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب It is not permissible to under declare income so as to receive more benefit than one is entitled […]
Read more...Is it permissible to give Sadaqah from your child benefit money or is the permission of the child required?
Q: Is it permissible to give Sadaqah from your child benefit money or is the permission of the child required? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Child benefit is a payment to and the property of the parent with parental responsibility. Whilst it is intended and indeed expected that the parent will use the […]
Read more...Please could you clarify the Islamic permissibility for one to claim income support?
Q:Please could you clarify the Islamic permissibility for one to claim income support? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: The permissibility of being able to claim income support depends on whether the individual fits the eligibility criteria or not. The eligibility criteria can be seen at the following link: https://www.gov.uk/income-support/eligibility If […]
Read more...Am I allowed to claim tax benefits as I have just been working a cash-in-hand job over the summer?
Q: Am I allowed to claim benefits as I have just been working a cash-in-hand job over the summer? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If the tax regulations allow for you to claim tax benefits then you can claim, otherwise not. It would be appropriate for you to seek advice from your local […]
Read more...My employer wants me to exaggerate the time spent on tasks on a timesheet for a client
Q: My employer wants me to exagerate the time spent on tasks on a timesheet for a client. الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: You cannot make a dishonest claim even if it is at the insistence of your employer. If it is normal practice that the time taken to register the time […]
Read more...Can interest earned be used to pay tax in a non-Muslim state?
Q: Can interest earned be used to pay tax in a non-Muslim state? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Any interest earned on bank deposits is the property of others and one is duty-bound to return their property to them. However, as they are not known and thus it is not possible to […]
Read more...Can I reduce my tax liabilities through lying, as Islamically we are entitled to whatever we earn?
Q: Can I reduce my tax liabilities through lying, as Islamically we are entitled to whatever we earn? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If the revenues of the state are not sufficient to meet its expenditure needs a tax may be levied on the population provided it is proportionate to the need. […]
Read more...Is my husband entitled to a share of the child benefits and tax credits, and anything purchased from them during my lifetime and after my death?
Q: Is my husband entitled to a share of the child benefits and tax credits, and anything purchased from them during my lifetime and after my death? I am in the process of making a Shariah Will. I would like to clarify some matters before finalising the will. I live in the United Kingdom. My […]
Read more...Is zakah necessary on child benefit payments?
Q: Is zakāh necessary on child benefit payments? I wanted to know who is considered the owner of the child benefit given by the government. Is it the child or the mother? I believe that if it is the mother then zakāh will be compulsory. الجواب حامدًا و مصليًا و منه الصدق و الصواب A: […]
Read more...As a higher rate taxpayer – I can reclaim some of my Zakah back from HMRC- How do I treat this?
Q: As a higher rate taxpayer – I can reclaim some of my Zakah back from HMRC – How do I treat this? I am a higher rate taxpayer and would claim gift aid on my zakāh “donation”. If I give £100, the charity will be able to claim another £28 or so. Fine. My […]
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