What Is Purification (Tazkiyah)?

Purification (tazkiyah) is the process of cleansing investment returns from the small portion of impermissible income that even compliant companies may earn.

Why Purification Exists

A stock can pass Sharia screening while still earning a small amount (under 5%) from impermissible sources. For example, a technology company might earn a fraction of its revenue from interest on bank deposits. Screening allows this minor exposure, but the tainted portion of your returns needs to be "purified."

How It Works

The basic concept is straightforward:

1. Determine the percentage of the company's revenue that is impermissible
2. Apply that percentage to your dividends or capital gains
3. Donate that amount to charity (not as zakat — as a separate obligation)

Example

If a company earns 2% of revenue from impermissible sources, and you receive $100 in dividends, then $2 needs to be purified — donated to charity.

Purification Is Not Zakat

These are two separate obligations. Purification cleanses tainted income. Zakat is a wealth obligation calculated independently.