The Ministry of Poverty Alleviation and Social Safety announced that the minimum Nisab for Zakat deduction. Zakat Nisab in the year 2023 has increased to Rs103,159. This amount represents an increase from the previous year’s Nisab, which was set at Rs88,927.
Accounts that will affected by the new regulation include savings accounts, profit and loss sharing accounts, and other similar accounts with a minimum balance of Rs103,159 or more on the first day of Ramadan. The Zakat and Ushr Ordinance 1980 mandate that this deduction be made.
Accounts with a value less than the amount announced by the ministry will not be subject to Zakat deduction. The Zakat Collection Controlling Agencies (ZCCAs) have requested to comply with the new regulation and make Zakat deductions accordingly.
Ramadan is an important month in the Islamic calendar, during which Muslims fast, pray, and reflect. To be eligible for Zakat, one must possess wealth exceeding the Nisab threshold figure. The Nisab is the minimum amount of wealth need for a Muslim to be eligible for Zakat. It is one of the five pillars of Islam.
For those who wish to exempted from Zakat deduction from their accounts, they may submit a “Zakat exemption” form to their respective banks.
The announcement of the new Nisab regulation is a crucial step towards the government’s poverty alleviation and social safety efforts. This regulation ensures that the wealthy in the Muslim community contribute to society’s betterment and aid those in need during the holy month of Ramadan.
