Islamic State
Islamic Economics
Institution Of Bait-ul-Maal
By
Muhammad Adeel Mian
Sajjad Naqwi
Sec-H
Presented to: Miss Tahseen
Lahore School of Economics
BAIT-UL-MAAL
Introduction
The bait-ul-maal is a unique institute which was established for the economic prosperity of the people. As we all know in the Islamic system of life sovereignty belongs to Allah and man is His vicegerent on earth. Similarly the same concept applies to Bait-ul-maal, where Allah is sole master of this treasury while the caliphs are only the trustee of Bait-ul-Maal. In this sense the concept of Bait-ul-maal is different from the concept of public exchequer in un-Islamic systems. In an Islamic state Bait-ul-maal is Safeguarded and expenditures from it is made in the sense that it is a trust.
Definition
So how can we define bait-ul-maal? It is the place which is designed for keeping the spoils of war, charity, land tax and Jizyah (the tax which a free non-Muslim pays in Muslim countries in return for his protection), and this money should be in the hands of the caliph or a Muslim ruler who spends it in what Allaah has ordained.
Historically, it was a financial institution responsible for the administration of taxes in Islamic states, particularly in the early Islamic Caliphate. It served as a royal treasury for the caliphs, managing personal finances and government expenditures. Further, it administered distributions of zakah revenues for public works.
History
Bayt al-mal was the department that dealt with the revenues and all other economic matters of the state. In the time of Muhammad (SAW) there was no permanent Bait-ul-Mal or public treasury. Whatever revenues or other amounts were received were distributed immediately. There were no salaries to be paid, and there was no state expenditure. Similarly Prophet Muhammad, (pbuh), established the common brotherhood of Muslims soon after the Hijrah to Medina from Mecca. Each resident of Medina became a helper (ansar) to each individual
Institution Of Bait-ul-Maal
By
Muhammad Adeel Mian
Sajjad Naqwi
Sec-H
Presented to: Miss Tahseen
Lahore School of Economics
BAIT-UL-MAAL
Introduction
The bait-ul-maal is a unique institute which was established for the economic prosperity of the people. As we all know in the Islamic system of life sovereignty belongs to Allah and man is His vicegerent on earth. Similarly the same concept applies to Bait-ul-maal, where Allah is sole master of this treasury while the caliphs are only the trustee of Bait-ul-Maal. In this sense the concept of Bait-ul-maal is different from the concept of public exchequer in un-Islamic systems. In an Islamic state Bait-ul-maal is Safeguarded and expenditures from it is made in the sense that it is a trust.
Definition
So how can we define bait-ul-maal? It is the place which is designed for keeping the spoils of war, charity, land tax and Jizyah (the tax which a free non-Muslim pays in Muslim countries in return for his protection), and this money should be in the hands of the caliph or a Muslim ruler who spends it in what Allaah has ordained.
Historically, it was a financial institution responsible for the administration of taxes in Islamic states, particularly in the early Islamic Caliphate. It served as a royal treasury for the caliphs, managing personal finances and government expenditures. Further, it administered distributions of zakah revenues for public works.
History
Bayt al-mal was the department that dealt with the revenues and all other economic matters of the state. In the time of Muhammad (SAW) there was no permanent Bait-ul-Mal or public treasury. Whatever revenues or other amounts were received were distributed immediately. There were no salaries to be paid, and there was no state expenditure. Similarly Prophet Muhammad, (pbuh), established the common brotherhood of Muslims soon after the Hijrah to Medina from Mecca. Each resident of Medina became a helper (ansar) to each individual