Determinants of zakat payment attitude and its impact on Muslims’ acceptance of zakat as a tax deduction: evidence from Indonesia

Purpose The purpose of this study is to investigate four determinants – knowledge of zakat, satisfaction with zakat authority, perceptions of digital payment services and trust in zakat authority – of zakat payment attitude and its impact on Muslims’ acceptance of zakat as a tax deduction in Indonesia. Design/methodology/approach Data was gathered through an online questionnaire for this quantitative research study. A total of 300 collected data from several states in Indonesia were subsequently analysed using the Partial Least Squares Structural Equation Modelling method. Findings Muslims’ Indonesian attitude to paying zakat was influenced by their knowledge of zakat, perceptions of zakat digital payment services and trust in zakat authority. Their attitude towards paying zakat then influenced their acceptance of the integration of zakat as a tax deduction in their income tax calculation. Research limitations/implications The findings of this study provide valuable insights for zakat and tax authorities to strengthen zakat institutions, foster better public engagement, propose strategies for reducing systemic inefficiencies and encourage zakat compliance through better integration of behavioural and institutional factors. This study contributes to the growing knowledge of the zakat–tax integration system. The inclusion of digital payment services as a factor of zakat payment attitude leads to further studies on how technology influences financial and religious responsibilities. Originality/value While several studies highlight positive acceptance of the zakat–tax integrated system, its implementation has been hindered by inefficiencies in zakat administration and payment behaviour. Previous research did not explore how zakat payment attitudes affect Muslims’ acceptance of zakat as a tax deduction, a gap this study fills with empirical evidence.