A CONCEPTUAL PAPER ON THE COMPLIANCE ACTIONS OF ZAKAT PAYERS ON INCOME

Abstract

Zakat income is one of the obligations that have to be fulfilled and should not be neglected by those who deserve to pay. The goal of this conceptual paper is to examine the complex dynamics that surround zakat payers' compliance actions with regard to managing and reporting their income. Through the utilisation of extant literature in the fields of Islamic finance, behavioural economics, and taxation studies, our aim is to develop a comprehensive framework that illuminates the incentives, obstacles, and possible measures for augmenting voluntary compliance in this distinct setting. This research is using by 3 types of variables to examine the study. Why I some staff or employers not fulfill the obligations of paying zakat even though they have been working? By using SPSS as the way of test, questionnaires and various tests have been run to measure how each factor is related. Descriptive analysis, correlation, and regression are one of the ways conclusions and recommendations have been made to the research and also for future researchers. Zakat income is definitely one of the obligations that are compulsory to be fulfilled by each one of Muslim that is they should not obey the obligation and they must always gain knowledge about Shariah Compliance to increase positive compliance action in themselves. To improve our theoretical model and create useful suggestions for legislators, community leaders, and educational institutions looking to encourage higher levels of compliance among zakat payers, this paper suggests several directions for future research. These include developing cooperative partnerships amongst stakeholders, investigating cutting-edge communication tactics, and utilising technology to improve accountability and transparency. In the end, it is envisaged that this work will help create a more resilient and long-lasting zakat administration system that better meets the needs of both donors and recipients.