Fatwa

Oppressive Tax

Question

Asw ww

hope you well

if one wants to import something from outside the country and the cost of the product for example is $1 and there are 3000 boxes, but for more profits the amount shown for vat and duty purposes is $0.50 so that the vat and duty amount reduces quite significantly as the value of the product is shown low than the actual cost of the product, is that allowed in Islam and the income generated is it halal..?

Answer

In the Name of Allah, the Most Gracious, the Most Merciful.

As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

It is permissible to avoid oppressive taxes whilst ensuring it does not result in the disgrace of the individual or the religion.

And Allah Ta’āla Knows Best

Mufti Bilal Pandor

Concurred by
Mufti Muhammad Patel

Darul Iftaa Mahmudiyyah
Lusaka, Zambia

www.daruliftaazambia.com