Updates on an "anything goes" Zakat fatwa, CAIR-California's Zakat Policy
End of Ramadan notes on Zakat in the USA
Allah accept your worship and fasting in these final nights of this blessed month.
In a recent newsletter on Zakat-Eligible nonprofit shenanigans, I cited the work of the Association of Muslim Jurists of America (AMJA) in publishing a fatwa that seemed to allow nonprofits to use zakat funds with no apparent restrictions at all. This fatwa is one of the best-known examples Muslim nonprofits cite so they can treat zakat like any other donation for whatever mission the nonprofit has.
The AMJA fatwa and its open-ended prose (and other similar efforts) have intensified confusion and ignorance about what zakat is among both nonprofit Muslim leaders and Muslim donors.
In a statement on his public Facebook page, Dr. Hatam Al-Haj of AMJA (Al-Haj appears to be most responsible for it) wanted to address the confusion surrounding the fatwa. I will outline a few points from this that are important to Muslim donors (feel free to read the actual discussion):
1. The expansion in the meaning of "fisabilliah"
The expansive way “fisabillillah” is interpreted a category of zakat in the way expressed by AMJA is a minority position rejected by all the traditional schools of thought. However, Al-Haj believes it is a "valid" position. He sees it as needed because we now have standing armies and the fisabilillah category should be used for something.
2. The poor are most deserving of zakat
Al-Haj cites an important hadith in this regard.
First of all, call the people to testify 'La ilaha illallah' (there is no true god except Allah) and that I (Muhammad) am the Messenger of Allah, and if they accept this (declaration of Faith), then tell them that Allah has enjoined upon them five Salat during the day and night; and if they obey you, tell them that Allah has made the payment of zakat obligatory upon them. It should be collected from their rich and distributed among their poor. [Al-Bukhari and Muslim].
3. It appears the fatwa may be up for revision and editing
AMJA poorly conceived the fatwa, and it was even more poorly written. It appears the actual effect of the fatwa matches neither the intent of those who wrote it nor does it recognize the real-world impact it has had on both donors and Muslim nonprofit leaders. For example, it is not the intent of the authors that zakat should have no restrictions. AMJA has a separate fatwa that communities cannot use zakat for building Masajid, for example. It would be strange to take a position that says Muslims can donate zakat to non-Muslim opinion pollsters for "various purposes" but cannot use it to build a masjid.
4. This is to help nonprofits
The fatwa, admittedly going against centuries of understanding of the traditional schools of thought, is meant to accommodate Muslim nonprofits. It is not an accommodation for donors or for the poor. This accommodation only has utility to nonprofits that do things that are traditionally not zakat-eligible.
5. Nonprofits will never have enough
Al-Haj cites that some nonprofits have trouble raising money as a reason for this minority opinion-based expansion of fisabillillah. People struggling to raise funds for projects is not a brand-new challenge. There are relatively few certainties in life. There is death, taxes, and that nonprofits are going to complain they don’t have enough money. You can open the floodgates of zakat by expanding fisabillillah to mean everything under the sun and they will still never have enough money. As a Muslim donor, you probobly need a better reason. As a nonprofit, you never need more reasons to want more money.
I will be closely evaluating the status of this and other fatwas on zakat in coming newsletter updates.
CAIR-California's Zakat Policy
In an article about CAIR-National, I mentioned CAIR-California's Zakat policy, which is different from CAIR-National. It has a policy, and it differentiates between zakat and other donations. Recently, CAIR-California has been promoting a graphic of policy, and it is important.
As the policy indicates, they differentiate their approach by excluding various expenses but including others, sometimes for reasons that are not clear. CAIR-California bases their Zakat-eligibility based on the same criteria, fisabillillah, as CAIR National, only their policy recognizes not everything an organization does is zakat-eligible. It essentially funds two entire departments (legal and government relations). The graphic does say its civil rights work, and immigration work is "especially for the poor." They don’t make this claim for “government relations.”
CAIR-California’s Legal Services Mostly Help the Poor
CAIR-California does not restrict services based on income and does not charge for services, which is good. However, these services are not explicitly for the zakat-eligible. For example, the vast majority of CAIR's legal services these days is immigration work. Immigration, along with specific parts of its other work, like inmate advocacy and housing discrimination, likely means CAIR-California's services mainly benefit lower-income individuals (without regard to actual zakat-eligibility).
Government Relations is a Zakat Problem
CAIR Government relations work, based on CAIR California's website, is for the entire government relations department and not just for "the creation of laws that protect Muslims." CAIR-California's government relations advocacy involves supporting or opposing legislation that has a widespread impact on society. For example, CAIR-California's "Muslim Day at the Capitol" involves getting Muslims from throughout the state (with different socio-economic backgrounds) to go to Sacramento (the California state Capital) on a wide range of issues.
When this newsletter reviews an organization's zakat policies (and this is not a formal review of CAIR-California), it is not based on what fiqh this newsletter wants you to follow; instead, it is concerned with the economic impact of the dollars. This newsletter will also review all claims of “fisabillah expansion” skeptically since that is often an avenue for nonprofit loophole-mongering. On this basis, CAIR's policy is a mixed bag. Funding for the entire government relations department connected to politics and advocacy on many issues seems entirely inappropriate for zakat. A generalized claim a department is beneficial to Muslims is not enough for a zakat-eligibility claim for purposes of this newsletter.
This policy is also confusing since we assumed everything CAIR does benefits Muslims. This kind of justification gets us right back to the unreasonable position of Muslim nonprofit maximalism on zakat. Services that benefit primarily the poor fit better (the legal department), though not perfectly, since CAIR also serves the affluent with zakat funds.
A better policy, but we still need a better one
CAIR-California (not CAIR-National) consulted with Dr. Muzamil Siddiqi, who is perhaps the most widely respected Islamic scholar in the United States going back decades, whose contributions have been vital to many of us Southern California and throughout the United States. It is not this newsletter’s place to agree or disagree with any fiqh opinion.
The policy also removes many of the most abusive-looking practices, such as using zakat to pay honorariums or donor swag that AMJA does not restrict. Dr. Siddiqi may not endorse all of the specific details of CAIR-California's policy (I write about this further here); however, he is on record supporting CAIR-California’s Zakat claim.
While having a zakat policy is a vast improvement from other organizations, such written policies have the potential to be question-begging and perhaps add to confusion about zakat for Muslims as well.
For example, why would the salary of someone who writes a letter be zakat eligible, but the paper he writes on, or the rent for the office she sits in, not? Zakat policies should not appear so arbitrary.
No Value to Zakat Donors Here
While such accommodations on zakat-eligibility for nonprofits that want these funds may well be valid as fiqh (this newsletter defers to those in that space to debate and discuss this), it is beyond dispute they are of no particular value to donors. It is hard to see how paying zakat to even a high-quality organization like CAIR-California makes any sense for donors who are perfectly capable of donating their sadaqah to community organizations, particularly when we have a zakat policy that still lacks enough coherence.
As I stated in an earlier article, organizations like CAIR are for mutual benefit, donors stand to benefit from the services themselves, in a way similar to how you benefit from a Masjid. It makes the organization valuable as one to support with sadaqah but not a great one to support with zakat. Of course, you may disagree, and if you do, please let me know in the comments.
Donate to organizations that do good work. Don't donate zakat unless you are comfortable the organization is an exemplary custodian of your zakat dollars. Zakat is special. CAIR-California's zakat policy is not yet ready. This may change in the future as they develop it further.
I expect to write more on both zakat and the state of Muslim nonprofits after Ramadan. Please subscribe if you value these updates.
As'salaam au aliykum, I have some follow up questions pertaining to your "Anything Goes Zakat" policy, specifically in regards to the AMJA fatwa. What would be the best way to contact you?
Jazakallah khairun,
Amin Eshaiker