The Influence of Intellectual Capital and Islamicity Performance Index On Islamic Social Reporting Disclosures

Abstract

This study aims to determine the influence of Intellectual Capital and the Islamicity Performance Index on Islamic Social Reporting Disclosures. The research sample used Islamic commercial banks registered with the Financial Services Authority (OJK) for the 2009-2021 period. The sampling technique used purposive sampling and the number of research data was 154 data. Technical data analysis using multiple linear regression analysis using SPSS. The results of the hypothesis test show that the Profit-Sharing Ratio has a positive effect on ISR disclosure, this is because profit is a benchmark for the company's ability to make a profit. Where the profit shows that the company's financial condition is in a strong state so it tends to disclose a broader social accountability report. Zakat Performance Ratio has a positive influence on Islamic Social Reporting disclosure, this proves that the performance of Islamic banking can be seen from zakat activities managed by banks. For variable Equitable Distribution Ratio, Directors- Employees Welfare Ratio, Islamic Income vs Non-Islamic Income, and Islamic Investment vs non-Islamic investment do not affect the disclosure of ISR, this is because the distribution of income carried out by Islamic banks, the comparison of salaries of directors and employees, the comparison of income and halal or non-halal investments has no effect e disclosure of the social responsibility of Islamic banking. Intellectual Capital does not affect the disclosure of ISR, this shows that the utilization of the value of Islamic banking Intellectual Capital for ISR disclosure has not been maximized.

Revitalising The Regulation of Zakat Institutions in Indonesia to Achieve Economic Justice

“…In the Islamic perspective, zakah distribution can be maximised as an increase and distribution of wealth so that the circulation of wealth can be increased, so that existing wealth can be evenly distributed and not just circulating in certain groups. (Faisal, Mukhlis, Jamaluddin, 2023) (Wahyuantika et al, 2023) Regulations are statements that contain standards and provisions that will be used as guidelines which are the result of decisions that have been agreed upon in an organisation that are binding, limiting, regulating, and must be obeyed and must be done to avoid sanctions with the aim of creating order, and comfort. (Febriadi, 2022) So the management of zakat in Indonesia is regulated in Law No.23 of 2011 concerning the management of zakat of planning, implementing, and coordinating the collection, distribution and utilization of zakat.…”