Factor influencing taxpayers intention to claim Zakat as a tax rebate
Muslims are responsible to pay zakat and tax that are considered as two obligations that needs to be complied. In regard to this, Malaysia is one of the Islamic countries that integrates zakat and tax in their tax system. More importantly, the Malaysian tax system provides zakat rebate for individua...
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| Summary: | Muslims are responsible to pay zakat and tax that are considered as two obligations that needs to be complied. In regard to this, Malaysia is one of the Islamic countries that integrates zakat and tax in their tax system. More importantly, the Malaysian tax system provides zakat rebate for individual Muslim taxpayers. Zakat rebate is deducted from the total income tax, thus consequently minimising two obligations faced by Muslims in paying tax. However, little is known about the intention of Muslims in claiming zakat tax rebate due to the limited number of researches conducted on Malaysian zakat rebate. Hence, the objective of this study was to examine the factors that influence Muslim taxpayers’ intention in paying zakat as a tax rebate through the adoption of the variables in the Theory of Planned Behaviour (TPB). Additionally, this study also examined knowledge as a new variable. The current research adopted the quantitative research methodology by distributing a total of 600 questionnaires through paper-based survey and internet (email) to Muslim individual taxpayers in Selangor. However, only a total of 435 questionnaires were returned and deemed usable, which was then analysed using the Statistical Package for Social Science (SPSS). The results of the present study revealed that attitude, subjective norm, perceived behavioural control, and knowledge have a significant influence on the intention of Muslim individual taxpayers’ intention in claiming zakat payment as a tax rebate. On a more important note, the outcomes of this study further expanded the minimal zakat-taxation literature and provided assistance to the Inland Revenue Board of Malaysia and Malaysian zakat institutions in their attempt of understanding the behaviour of Muslim individual taxpayers in claiming zakat payment as a tax rebate. |
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