The Zakatability of AI: A Dual Analysis from Sharia and Saudi Law

Abstract

The rapid integration of artificial intelligence (AI) into financial ecosystems necessitates a reexamination of zakat frameworks under both Islamic jurisprudence and Saudi reg-ulatory systems. This study bridges a critical scholarly gap by systematically analyzing the classification of AI systems and their outputs as either zakatable assets or obligated entities. Employing a tripartite methodology that combines textual analysis of classical fiqh, legal review of Saudi Arabia's Zakat Regulations of 1445 H. (2024), and applied ju-risprudential reasoning, the research demonstrates how sharia's inherent flexibility through mechanisms like qiyās (analogical reasoning) contrasts with Saudi law's cur-rent reliance on natural/legal personhood requirements. The findings reveal that Islamic jurisprudence theoretically accommodates AI through two potential pathways: the current owner-attribution model (treating outputs as 'urūḍ al-tijārah) and a future direct liability model (should AI gain legal personhood, drawing on waqf precedents), which means that zakat obligations apply equally to AI-generated wealth regardless of legal personhood status. However, Saudi regulations require specific amendments to address practical challenges of valuation, residency determination, and ownership attribution for autonomous systems. The research contributes original theoretical frameworks for classifying emerging technologies under Islamic law principles and identifies specific regulatory modifications needed to address autonomous systems. These findings have immediate implications for policymakers navigating technological disruption, while opening new avenues for research into algorithmic ownership and digital asset gov-ernance under Islamic law.