Mu' meneen Brothers and Sisters,

As Salaam Aleikum wa Rahmatullahi wa Barakatuh.  (May Allah's Peace, Mercy and Blessings be upon all of you)

One of our brothers/sisters has asked this question:

Assalaamwalaiqum dear Brother:

Brother, last time I had a question regading home loans and you told me that any transaction related to interest should be prohibited. I am trying my level best to stay away. Brother, i have these three cousin brothers, who are doing quite well in their business. Now all of them have taken three flats, one for every brother and all on loans. It is not that they cannot purchase the flat, they can take them on cash, but they have done this at the advise of their CA to show some investments to save taxes. So now they have bikes, cars, flats all on loans. In such case what should a person do? They all are quite pious with regards to religion, but have to save taxes, i did not understand this. I often have quarrels with them but i don`t understand what should i reply. Please explain. What should a person do if he has wealth but he wants to save taxes.

Your brother, Afzal 

(There may be some grammatical and spelling errors in the above statement. The forum does not change anything from questions, comments and statements received from our readers for circulation in confidentiality.)

Answer:

Interest to save taxes

In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is none worthy of worship but Allah Alone, and we bear witness that Muhammad (saws) is His slave-servant and the seal of His Messengers.

Allah says in the Holy Quran Chapter 2 Surah Baqarah verse 274-276:

But those who devour ‘riba’ become like the one whom Shaitaan has bewitched and maddened by his touch. They have been condemned to this condition because they say, “Trade is just like ‘riba”, whereas Allah has made trade halaal and ‘riba’ haraam. Henceforth, if one abstains from taking ‘riba’ after receiving this admonition from his Lord, no legal action shall be taken against him regarding the ‘riba’ he had devoured before: his case shall ultimately go to Allah. But if one repeats the same crime even after this, he shall go to Hell, where he shall abide for ever! Allah deprives ‘riba’ of all blessing and develops charity, and Allah does not like an ungrateful, sinful person.

Allah says further in the Holy Quran Chapter 2 Surah Baqarah verse 278:

O Believers!, fear Allah and give up that ‘riba’ which is still due to you, if you are true believers. But if you do not do so, then you are warned of the declaration of war against you by Allah and His Messenger!

Allah says in the Holy Quran Chapter 4 Surah Nisa verse 161:

That they took ‘riba’, although they were forbidden. And that they devoured men’s substance wrongfully. We have prepared for those among them who reject faith a grievous punishment (of Hell Fire)!

Al-Tirmidhi Hadith 2827 Narrated by Abdullah ibn Mas'ud

Allah's Messenger (saws) said, "Even though usury be much, it leads in the end to penury."

Sahih Al-Bukhari Hadith 4.28 Narrated by Abu Huraira

The Prophet (saws) said, "Avoid the seven great destructive sins. “The people enquired, "O Allah's Apostle! What are they? "He said, "1. To join others in worship along with Allah, to practice sorcery, 2. to kill the life which Allah has forbidden except for a just cause, (according to Islamic law), 3. to eat up riba (usury), 4. to eat up an orphan's wealth, 5. to give back to the enemy and 6. fleeing from the battlefield at the time of fighting, and 7. to accuse chaste women, who never even think of anything touching chastity and are good believers.” (The Prophet (saws) included ‘riba’ in one of the ‘Seven Destructive Sins’. If we read the other sins which accompany the list, one can imagine the magnitude of the sin of ‘riba’)

Al-Tirmidhi Hadith 2829 Narrated by Ali ibn AbuTalib

Ali said he heard Allah's Messenger (saws) invoke the curse of Allah on those who took usury, those who paid it, those who recorded it, and those who refused to give sadaqah.

Your Question: I often have quarrels with them but i don`t understand what should i reply.

Allah says in the Holy Quran: Chapter 16, Surah An-Nahl Ayat 125:

Invite to the way of your Lord with wisdom and excellent admonition and argue with people in the best manner. Your Lord knows best who has gone astray from His Way and who is Rightly guided.

Beloved brother in Islam, first and foremost you must realize that neither has Allah Subhanah Commanded the believers to enforce their belief on others, nor should one ever quarrel with another in the matter of belief and the aspects of the deen; but rather one should humbly invite their brethren to the Truth with patience, wisdom, and in the best and most polite manner. To accept or reject your good caution is entirely upon the person being addressed.

Your Question: What should a person do if he has wealth but he wants to save taxes.

Every person is well within his rights to seek lawful and legal ways allowed by the law of the land to lighten his burden of paying taxes (if he wishes to do so); but in doing so, one who sincerely fear Allah and the Last Day, cannot indulge in something which has been specifically declared as forbidden by Allah and His Messenger (saws).

The indulging in ‘riba’ may save the people some taxes in the life of this world; but without an iota of a doubt, they will be answerable and severely accountable to Allah for indulging in the ‘haraam’ when they ultimately return back to Him! Is the saving of a few dollars in taxes worth taking upon oneself the Wrath and Anger of Allah Subhanah? That is the question the brothers have to answer for themselves!

Whatever written of Truth and benefit is only due to Allah’s Assistance and Guidance, and whatever of error is of me alone. Allah Alone Knows Best and He is the Only Source of Strength.

Your brother and well wisher in Islam,

Burhan