What Drives Muslims' Zakat Compliance Behavior in The Profession? Evidence In Indonesia

Abstract

Zakat is the fourth pillar of Islam which is obliged to all Muslims. Zakat is charged when the wealth fulfills some criteria, such as Nishab and Haul. As the great potential of professional zakat, the effort to unlock that potentiality should be continued. One of the studies is to explore what factors that affect Muslim compliance with professional zakat. This study aims to explore the variables affecting Muslims' zakat compliance behavior in the profession. The Theory of Planned Behaviour (TPB) is employed in which the intention to pay zakat is the intervening variable to the zakat compliance behavior variable. The intention to pay zakat has six components such as peer influence, a positive attitude, the religious leaders' effect, the zakat knowledge, and the quality of zakat distribution. The Partial Least Square (PLS) is used with 129 respondents. The results show the zakat knowledge and the quality of zakat distribution have a positive relationship with the intention to pay zakat as an intervening variable. The intention to pay zakat also has favorable to increase zakat compliance behavior. This study generally contributes to the knowledge of professional zakat compliance in Muslimmajority countries in developing countries where the increase in zakat payment is believed to contribute to poverty alleviation.