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ORDINANCE I OF 2011 ORDINANCE I OF 2011 BALOCHISTAN ZAKAT AND USHR ORDINANCE, 2011 An Ordinance to make provisions relating to the assessment, collection and disbursement of Zakat and Ushr [Gazette of Balochistan, Extraordinary, 22th April, 2011] No. Legis.1-52/Law/79-Vol-II/4371-72, dated 26-4-2011.---The following Ordinance made by the Governor of Balochistan on 22nd April, 2011 is hereby published for general information:-- Whereas it is necessary to make provisions relating to the assessment, collection and disbursement of Zakat and Ushr and matters connected therewith or incidental thereto. And Whereas Zakat, including Ushr, is one of the fundamental pillars (Arkan) of Islam; and prime objective, of the collection of Zakat and Ushr, and disbursements therefrom, is to assist the needy, the indigent and the poor; And whereas the rates of Zakat and Ushr, as also the purposes for the utilization of Zakat and Ushr, are specified in Shariah; And whereas Shariah enjoins all Muslims who are Sahib-e-Nisab to pay, and the State to arrange for the proper collection, disbursement and utilization of Zakat and Ushr, and also allows such Muslims to disburse for the purposes authorized by Shariah the part thereof not collected by the State; And whereas the Provincial Assembly of Balochistan is not in session and the Governor is satisfied that circumstances exist which render it necessary to take immediate action; Now, therefore, in exercise of the powers conferred by Article 128(1) of the Constitution of the Islamic Republic of Pakistan, 1973, the Governor is pleased to make and promulgate the following Ordinance:-- CHAPTER - II ZAKAT 3. Charge and collection of Zakat.---(1) Subject to the other provisions of this Ordinance, Zakat in respect of assets mentioned in the First Schedule shall be charged and collected on compulsory basis, for each Zakat year, at the rates and in the manner specified therein and as may be prescribed, from every person who is on the Valuation Date and for whole of the preceding Zakat year been, Sahib-e-nisab, and who owns or possesses such assets on the Valuation Dates: Provided that where an asset mentioned in the First Schedule has been assigned by the person owning or possessing it, in favour of another person, Zakat in respect of. that asset shall be charged and collected on compulsory basis as if the asset had not been so assigned: Provided further that, if an asset was owned or possessed by a person on the Valuation Date but is owned or possessed by some other person on the Deduction Date, the Zakat on such asset shall be charged and collected from such other person on behalf of the person owning or possessing it on the Valuation Date: Provided further that, if a person proves in the prescribed manner to the satisfaction of the Local Committee of the locality where he ordinarily resides that he was not a sahib-e-nisab on the Valuation Date or was not in ownership or possession of assets of the value of nisab for the whole of the preceding Zakat year. Zakat shall not be so charged and collected from him, or if collected shall be refunded to him in the prescribed manner: Provided further that, no Zakat shall be charged and collected from the assets of a person who died on or before the Deduction Date: Provided further that, no Zakat shall be charged or collected on compulsory basis in respect of any of the assets mentioned in the First Schedule which -- (a) have been acquired against payment in foreign currency; or (b) are maintained in foreign currency and the return on which and the value on encashment, redemption or withdrawal of which, is payable in foreign currency: Provided further that the Federal Government may, by notification in the official Gazette, exempt any class of. bonds or certificates issued by the Federal Government or a statutory corporation, a company or other enterprise, owned, directly or indirectly by the Federal Government, a Provincial Government, a Local Authority or a corporation owned by the Federal Government or a Provincial Government, either singly or jointly with one or more of the other three, from deduction of Zakat on compulsory basis. (2) In determining the amount to be collected as Zakat on compulsory basis, the value of an asset on which Zakat is deductible at source may be reduced, to the extent and in the manner prescribed, only on account of debts which have been - (a) Primarily secured by that asset; (b) Used for the creation of an asset on which Zakat is deductible at source; and (c) Obtained from the Deducting Agency having custody of, the asset securing the debt and of the asset created under Clause (b). (3) Where a person from whom Zakat has been deducted at source- (a) Proves that - (i) he is not a Muslim, or (ii) he is not a citizen of Pakistan; or (iii) the amount deducted from him is more than what is due under this Ordinance, either on account of an error apparent from the record, or on account of reduction provided for in subsection (2) not having been duly allowed to him, or (iv) he falls under any of the exclusions given in sub-clauses (i) to (xiv) of clause (z) of section 2, or (b) proves, as laid down here above, in the third proviso to subsection (1), that he is not a Sahib-e-nisab or was not in ownership or possession of nisab for the whole of the preceding Zakat year, or (c) files a declaration such as is referred to in the clause (I) of the proviso to subsection (3) of section 1, which has not been challenged in the Federal Shariat Court under clause-IV of the proviso to sub-section (3) of section 1 and claims refund, the amount so deducted or, as the case may be, the amount so deducted in excess shall be refunded to him in the prescribed manner. (4) Where the recovery of Zakat deductible at source, in respect of any of the assets mentioned in the First Schedule, falls into arrears, the Chief Administrator may forward to the Collector of the district concerned a duly signed certificate specifying the amount of arrears due and the particulars of the person from whom due, and the Collector shall, on receipt of such certificate, proceed to recover the amount so specified, as if it were an arrear of land revenue. (5) A Sahib-e-Nisab may pay either to a Zakat Fund or directly to those eligible under Shariah to receive Zakat so much of the Zakat due under Shariah as is not deductible at source under this Ordinance, for example, that due in respect of assets mentioned in the Second Schedule. (6) Any amount deducted at source by the Deducting Agency from any person shall be treated as payment of Zakat on behalf of such person or, in the case of a person referred to in subsection (3) of section 1, as contribution to Zakat Fund or sadaqah or khairat in the name' of Allah, as the case may be, on the part of that person.