Zakat of Joint Stock Companies and Saudi Arabian Experience

This research aims to examine fiqh characterization of share and the impact of juristic debate on the fiqh characterization of share on zakat obligation of joint stock companies. It also examines whether legal status on shares has impact of the determination of Shariah ruling applicable to zakat on share. The research shed light on the juristic debate among the contemporary Shariah scholars pertaining to the fiqh characterization of share and its effect on zakat of shares of Joint Stock Company. It studies the approach of Saudi on zakat of shares in contemporary joint stock companies. As zakat regulation in Saudi Arabia makes the payment of zakat on joint stock companies mandatory. The research finds that underlying intention behind the possession of property plays a key role in determining the zakat due of the property. It also highlights the substance of the juristic debate on the fiqh characterisation of share.