Fatwa ID: 01286
Answered by Mufti Mohammed Tosir Miah
Question:
Would the yearly Council Tax be deducted from the Zakatable assets.
Answer:
In the name of Allah, the most Beneficent, the most Merciful.
Muslim citizens residing in non-Muslim countries should abide by the rules and laws of those respective countries. The taxes on the citizens provide a financial source for the government to enable them to deliver services. The government also provides for many facilities and we cannot expect to use these without contributing for the facilities. (See Taqrir Tirmizi of Mufti Taqi Uthmani)
If tax is charged by a government fulfilling the following conditions, then it will be incumbent upon the citizens of that country to abide by the law and pay tax:
1) The tax amount is restricted to the actual need in financing the costs of running the country,
2) The amount is bearable for the citizen/s,
3) The method of collecting tax is simple and not troublesome for the masses,
4) The tax is used to finance the actual expenses and costs of running the country (and not placed in the pockets of the people in charge).
If a Muslim government taxes people with adherence to the above mentioned conditions, then it would be permissible for them to charge tax. A citizen of a Muslim or a non-Muslim country would have to abide by this and pay the tax duly. It will not be permissible to avoid paying tax under any circumstance. (Mufti Muhammad ibn Adam from www.daruliftaa.com & Jadeed Fiqhi Masaail)
Regarding your question, yes it will be permissible to subtract your annual council tax amount from your zakatable assets. It is similar to the rent and it will fall under ones needs and necessities (Dhururat Asliyah).
Only Allah Knows Best
Mohammed Tosir Miah
Darul Ifta Birmingham