The Disclosure of Sharia Non-Compliance Income: Comparative Study between Full-fledged and Subsidiaries Malaysian Islamic Banks

Abstract

<p><em>The purpose of this paper is to </em><em>analyze to what extend Islamic banks in Malaysia practice disclosure regarding Sharia non-compliant income. Furthermore, this paper also investigates how bank distribute the Sharia non-compliant income. </em><em>This paper acquires qualitative approach. The qualitative approach is adopted by doing</em><em>a document analysis</em><em>about the literatures from previous studies that </em><em>the Sharia non-compliant income.</em><em>Based on the data collected, </em><em>Bank Islam clearly and properly discloses its Sharia non-compliance income and we recommend any other Islamic banks to follow it. Also, the study find out that does not matter whether they are full-fledge or subsidiaries, the practice is quite the same.</em><em></em></p>