ISLAMABAD: The Ministry of Poverty Alleviation and Social Security has announced that banks will deduct Zakat for the year 1444-45 Hijri from accounts maintaining a minimum balance of Rs135,179 on the commencement of Ramadan this year.
As per the ministry’s declaration of the Nisab for Zakat in 2024, savings accounts or profit and loss sharing (PLS) accounts with a balance equal to or exceeding Rs135,179 will be subject to Zakat, requiring customers meeting this criteria to pay 2.5% of their total account balance as Zakat.
Accounts holding less than Rs135,179 on the first day of Ramadan will be exempted from Zakat deduction, as stated in the ministry’s notification.
According to the Zakat and Ushr Ordinance of 1980, no Zakat will be deducted if the bank account holds an amount below the threshold set by the ministry.
The ministry has requested all Zakat Collection Controlling Agencies (ZCCAs) to ensure proper deduction of Zakat accordingly.
To qualify for Zakat, which is one of Islam’s five pillars, an individual’s wealth must surpass a predetermined threshold known as the “Nisab”.
Customers who prefer not to have Zakat deducted from their accounts can submit a “Zakat exemption” form to their respective banks.
The increasing Nisab for Zakat each year reflects the escalating inflation in the country. For instance, the Zakat Nisab stood at approximately Rs46,000 in 2020, rose to about Rs80,900 in 2021, exceeded Rs88,900 in 2022, and surpassed Rs103,000 in 2023, marking a significant increase over just five years.
(Islamabad51_Newsdesk)