Perception of Zakat and Income Tax

Abstract

The purpose of this paper is to study the perception of taxes knowledge, zakat knowledge and tax deduction knowledge by paying zakat towards muzakki (zakat payers in Arabic) and tax payers' attitude amongst tax payers and muzakki in Daerah Istimewa Yogyakarta region. This paper explores previous studies conducted by researchers and uses a survey method for data collection amongst tax payers and muzakki in Special Region Yogyakarta. The result showed that the knowledge of zakat, the knowledge of income tax and the knowledge of tax reduction because of paying zakat had a positive influence towards muzakki and tax payers' attitude. Researchers are encouraged to explore and test the research further in different contexts and region. This paper highlights the different perception of tax payers' attitude amongst tax payers and muzakki in Special Region of Yogyakarta.