GIIAS 2025 Kicks Off with Great Excitement: Let’s Explore the Zakat Ruling on Newly Purchased Cars!

TANGERANG – Indonesia’s largest automotive exhibition, the Gaikindo Indonesia International Auto Show (GIIAS) 2025, officially opened on July 24 and will run until August 3 at the Indonesia Convention Exhibition (ICE) BSD City, Tangerang. This prestigious event is now in its 32nd edition and showcases the latest luxury and technology from the global automotive industry.

Over the 11-day event, visitors will be treated to a lineup of innovative vehicles from over 50 car brands, 20 motorcycle brands, and 120 supporting industries. Among passenger vehicles, 39 international brands are participating, including BMW, Mercedes-Benz, Toyota, Honda, Mitsubishi, Volkswagen, Hyundai, and the latest electric vehicle brands such as BYD and VinFast. Meanwhile, four Japanese commercial vehicle brands—Hino, Isuzu, Mitsubishi Fuso, and UD Trucks—are showcasing their latest technologies.

Additionally, national bodywork manufacturers like Adiputro, Tentrem, Laksana, and New Armada are showcasing their pride in Indonesia’s automotive industry. Not to be outdone, 16 motorcycle brands, ranging from Vespa, Royal Enfield, Harley Davidson, to Astra Honda Motor, are adding to the excitement with their latest models that captivate visitors.

Read also: GIIAS Educare Caring with Dompet Dhuafa 2025: Promoting the Quality of Automotive Vocational Education in Tangerang

Dompet Dhuafa: Reminding Us of Kindness Amidst Luxury

Since 2018, Dompet Dhuafa has been a Charity Partner of GIIAS. Its presence is a form of collaboration with Gaikindo in supporting the education of the nation’s children and other humanitarian programs. Both parties plan to provide various facilities to support automotive education for vocational high school students, particularly those in the automotive field.

Amidst the hustle and bustle of the glittering automotive exhibition, Dompet Dhuafa invites visitors to remember to share with others. Because, in every asset we have, there is a right for those in need. Through the Dompet Dhuafa booth at GIIAS, visitors can directly contribute zakat, infak, sedekah, and wakaf (ZISWAF) to assist those less fortunate.

Dompet Dhuafa is the Charity Partner of GIIAS to support the education of the nations children and other humanitarian programs

Zakat on Cars

Many people ask whether cars purchased at exhibitions such as GIIAS are subject to zakat.

As explained by Ustadz H. Ahmad Fauzi Qosim, S.S., M.A., M.M, cars are not considered assets subject to zakat. This is because a car functions as kuniah/qunyah (Arabic), meaning a tool or means used for personal needs, not for trade.

This is in accordance with the saying of the Prophet Muhammad SAW:

“There is no obligation of zakat on a Muslim for his slave or his riding horse.” (HR. Bukhari)

Read also: Profile of Islamic Elementary Private School (Madrasah Ibtidaiyah Swasta /MIS) Nurul Falah Gelam Jaya to be Renovated by Dompet Dhuafa and GIIAS

This means that private cars used only for daily transportation are not subject to zakat maal.

However, this rule changes if the car is used for commercial purposes. There are two main conditions that require zakat:

  1. Cars as Merchandise
  2. If a car is purchased for sale (e.g., in a car dealership), the owner is required to pay trade zakat, with the following conditions.Nishab: equivalent to 85 grams of gold. Ownership period: at least one year. Zakat amount: 2.5% of the value of the car, not just the profit.
  3. Cars for Rental

If the car generates income through rental, the zakat imposed is income zakat or zakat from rental income.

According to Sheikh Yusuf Al-Qardhawi, the zakat paid is 10% of the net income, after deducting operational costs. The nishab used is equivalent to 653 kg of rice. Some scholars also permit following the gold zakat rules, i.e., 2.5% if the annual income reaches the value of 85 grams of gold.

Therefore, for visitors to GIIAS who purchase a vehicle solely for personal use, there is no obligation to pay zakat on the vehicle. However, if the vehicle becomes a productive asset, such as being rented out or used as merchandise, zakat must be paid in accordance with Islamic law.

Additionally, for vehicle sellers, whether individuals or companies, zakat must be paid on the profits obtained from sales transactions.

Pay Zakat at GIIAS

Amid the grandeur of this exhibition, Dompet Dhuafa invites all visitors to not forget their obligation to share. Visitors can contribute zakat and donations directly at the Dompet Dhuafa booth available at GIIAS 2025. This way, visitors can ask the Dompet Dhuafa staff directly for a detailed explanation about the nisab and calculation methods for zakat related to vehicles.

Car zakat or other forms of zakat, including infak, sedekah, and wakaf, can also be paid online via digital.dompetdhuafa.org. (Dompet Dhuafa)

Text and Photos: Riza Muthohar

Photo: Dhika

Editor: Dhika