Jamal A. Badawi, Ph.D.
Saint Mary’s University, Halifax, N.S., Canada
There are nearly 1.3 Billion Muslims worldwide; about one fifth of the total world population. As is the case with any universal religion, a great cultural diversity does exist among them. Similarly, the extent of religious commitment and practice varies considerably between individuals and cultures. This poses a major challenge in attempting to deal with business ethics from a religious perspective. While cultural-specific or country-specific studies are needed, a “linking pin” connecting them may be helpful. That “pin” is normative Islam based on its universally accepted sources and teachings. An implicit assumption here is that such teachings are likely to influence the mindset and actions of their adherents in some degree or the other. As most readers may not be fully familiar with Islam, a brief introduction about it may be helpful.
The term “Islam” is derived from the Arabic root [SLM] which means peace, submission, and acceptance. Religiously, the term means to achieve peace; with Allah [Allah] 1 ; with oneself [inner peace] and with the creation of Allah through submission to Allah; putting one’s trust in Him and acceptance of His guidance and injunctions. This broad definition explains why Islam is more than a “religion” in the commonly limited meaning, which concerns itself mainly with the spiritual and ritual aspects of life. In fact, the term “religion” is an imperfect translation of the Arabic term “deen” which means literally a way of living. That way of living embraces the creedal, spiritual, moral, social, educational, economic and political aspects of life. A topic like business ethics is an integral part of the normative religious practice. If this is the case, then it is essential to be clear about the sources of such normative practices, sources which will be frequently referred to in this chapter.
There are two primary sources of normative Islamic teachings. The first and most important source is the Qur’an [commonly misspelled Koran]. Muslims accept the Qur’an as the verbatim word of Allah, revealed to Prophet Muhammad [p] over a period of 22 years [610-632 C.E.]2 and dictated word-for-word by Archangel Gabriel. The second primary source is called “Sunnah” or “Hadeeth”, which means the words, actions and approvals of Prophet Muhammad [p]3. While the words of Hadeeth are not those of Allah [verbatim], they are believed, however, to be another form of revelation to the Prophet [p], in meaning only. Both primary sources provide broad principles and guidelines in conducting the normative Islamic life. These broad principles and precepts, such as social justice, mutual consultation [shura] or moral conduct are not subject to nullification or change. They are presumed to be valid for all times and places. The human endeavor is limited to understanding and implementing them in a manner that is suited to the needs of time, place and circumstances. While these sources focus on broader and guiding principles, they also contain injunctions that are more specific due to their importance.
The growing complexity and diversity of business dealings and of life in general, a legitimate question: what defines a normative Islamic position in respect to a new issue or problem which is not directly addressed in the two primary sources of Islam?. A built-in mechanism to deal with this is called Ijtihad or the exertion of effort by a learned scholar so as to find answers to new questions or solutions to new problems. In the process of Ijtihad, the scholar is guided by the principles and spirit of Islamic law in arriving at his opinion. As Ijtihad is a human endeavor, influenced by the needs of time, place and circumstances, such opinions may vary as well. They may vary even under the same circumstances. However, a cardinal rule is that if there is a clear and conclusive text in the Qur’an...
...Tax Avoidance Analysis
Tax Avoidance is a legally manipulation for the corporations to lower their tax bill by structuring transactions, is also called tax planning. Different with TaxEvasion, the TaxEvasion is Criminal and completely illegal. And in generally, company which have more profit should have higher tax rate, but with the growth of the company, manytax avoidance strategy were used by management as result of minimize the tax bills and also without obey the law, There are 3 strategies that I would talk about the most common way that company would use in order to shrink their tax bill with out breaking the law. These strategies would defiantly benefit for the companies and decrease the income of government. Government would rewrite or make new tax code or regulations to defense new coming way of tax avoidance. In the next 3 chapters, I would talk about 3 strategies for company, delay income and accelerate deductions, Tax loophole, and Tax haven. Delay income and accelerate deductions is the most reasonable, and safety way. Tax loophole are like on the backdoor of tax law, once the tax regulations been rewrite in time, the loophole would not exist. And tax haven are obviously different...
Who did it?
eBay avoided £ 50m in tax
Starbucks paid less than 1% tax on its profit
IKEA halved its tax bill
Former Italian Prime Minister Bersculoni
List goes on….
How do they do it?
Special Purpose Entities (SPEs)
Influencing audit committees
Who is affected?
Less of taxes
Profits siphoned off to other countries
Less spending from govt., less benefits!
Opinion too varied and depends on the culture
Greece has a major taxevasion problem
In India, Taxevasion is rampant
Specialized persons or firms guide on tax avoidance
Another way is bribing the Income Tax officials
The problem is more prevalent among the self
Even doctors, chartered accountants or property
valuators,, builders, chartered engineer, cine artists,
tax consultants, stock brokers do taxevasion
Reason for Taxevasion is lack of trust in government
Results into black money which causes illegal activities
“Where there is business ethic, there is a long-term
Is there a company that can get success without ethics?
From the facts, the answer seems to be...
Ethics of Physician-Assisted Suicide
Name: Naila Zafar
Student ID: 210945210
Course: HLST 4010
Date: April.4. 2014
Physician assisted suicide is a widely spread controversial ethical issue. Thispaper is written in an effort to highlight some important points discussing whether assisted suicide should be legalized or not under certain circumstances. Various ethical and social factors that play key role in prohibiting and permitting the legalization of assisted suicide will be discussed such as respecting autonomy and self determination of patients. Besides, role of physicians and medical profession in the end of life decision making process will also be discussed. Finally, I will shed light on struggle of policy makers to make just and fair legislations regarding end of life decisions without violating biomedical principles, patient’s rights and social norms.
Physician assisted suicide an ethical dilemma:
Assisted suicide is the act of intentionally killing oneself with the assistance of physician who provides a patient with medical means and medical knowledge. Assisted suicide is slightly distinguished from withholding or withdrawing life- sustaining...
Taxevasion is an unlawful practice which has the effect of reducing the government revenue needed for the provision of infrastructure, public services and public utilities. (Otosanya, 2009). Spicer (1975) also stated that, taxevasion “ taxevasion result in a loss of tax revenues, impair the chances of realizing the distributional or equity goal of taxation, and if they become widespread, as they have in recent times, then more tax payer, may lose faith in the tax administration system and may be tempted to join the ranks of tax evaders.
According to Yitzhaki (19740 mentioned that the tax rate in Allihang-ham-Sandmo model has a substitution effect favoring evasion and income effect it and that the effect is uncertain. While Clotfelter (1979) clarified that the evasion is hard to define by tax payer, it is acceptable for the tax payer try to minimize their tax liability.
Factors and implications of taxevasion
Cited from Allingham and Sandmo (1972) showed that maximization of expected utility implies that evasion will tend to increase with marginal tax rates. Previously finding by Clotfelter, it is consistent that higher tax...
...there little taxevasion in Singapore or any other country of your choice? Is it
because Singaporeans fear state punishment or because they are satisfied with the
performance of the state? Or is there any other explanation? Which explanation(s)
do you find most persuasive? Why?
Taxevasion, the illegal negligence in taxpaying and misrepresentation of tax returns to reduce one’s tax liabilities, is at a low level in Singapore. With Singapore’s strong tax enforcement, Singaporeans fear state punishment, deterring them from evading taxes. However Singaporeans’ fear of state punishment is insufficient to explain Singapore having little taxevasion. In an empirical study by Alm and Jackson (1992), higher levels of state punishment were found to have relatively insignificant effects on tax compliance. There is instead another explanation for Singapore’s low taxevasion, and that is Singaporeans’ satisfaction with the state’s performance. When the state performs well, Singaporeans become more optimistic about taxpaying and voluntarily comply, leading to higher levels of compliance.
However I propose that there is something more dubious going on. State performance is but a means of making Singaporeans forget that they are being coerced into paying taxes. In other words, Singaporeans are being coerced...
John Alvin Carter
Organizational Ethics are an integral part of any successful organization. Without an ethical foundation, the organization is ripe for many different types of internal issues that stem from lacking values and ethics.
DART (DALLAS AREA RAPID TRANSIT) and Organizational Ethics
I am currently employed in public transportation. I work for DART, the Dallas Area Rapid Transit system, which is one of the largest and considered to be one of the most efficient metropolitan transportation organizations in the nation. DART consists of Light Rail Trains and busses which shuttle Two Hundred Fifty Thousand (2012 figures, the number has increased exponentially each year with the rise in the population in the Dallas Metropolitan area) individuals to work, the doctor and many other places. The company, which is a hybrid organization currently, employs some 4,000 people in the various positions. Three thousand of those individuals are either drivers or customer service professionals who assist and inform the public about the services we provide, and give them the necessary information on fares and routes. There are also individuals in various departments such as Labor Relations, Legal, Human Resources, as well as a police force that is attached to it.
What role do external social pressures have in...
Code of Ethics
April 7, 2014
Code of Ethics
The organization’s code of ethics serves as a guide to its employees when making difficult decisions. Ethics helps professionals with their actions and practices that are directed to improve the welfare of people in an ethical way (Fremgen, 2009). An organization’s culture and mission statement also help its employees make ethical decisions. The Centers for Disease Control and prevention (CDC) organization is the national public health organization that is committed to protect the health and safety of our nation. CDC’s mission statement focuses on to protect the health and safety of our communities through prevention strategies and control of disease. The mission statement motivates the employees to do their best to prevent diseases and infection. The code of ethics provides guidance to ensure that CDC employees avoid situations that could violate ethics law (CDC, 2013). The organization’s mission statement and culture reflect its ethical values.
Organization’s Goals and how they are tied to its ethical principles
The organization’s goals are to provide protection for our nation’s health and safety. The CDC has pledged to treat all human beings with dignity, honesty, and respect. They have also pledged to provide an environment for positive personal growth and integrity. The...
American Psychological Association Ethical Code.
A Code of Ethics can be an overly complicated document that seeks to embrace every detail of behaviors that will not be acceptable to senior company management if found out. Meanwhile employees are pressured to deliver results which will often be enhanced if they do not strictly adhere to the Code of Ethics. The contention is that ethical codes are important to the organization; there is an ethical code, so the organization must be ethical. To the employee, it defines boundaries so they know when they are crossing them. Not all ethical codes are equal. If they protect employees from breaching some unwritten code, then they are good and fair. They must also be applied rigorously to senior management. It is normal for people who make rules to think that they should apply to others more than themselves, and that’s not a healthy way to look at it. As we have all learned, rules should apply to everyone for them to be just. If rules are made for only a certain group of people within an organization, the balance of power tips to one side unfairly and it leaves the organization and its consumers open to ethical breaches.
My source showing why codes of ethics are important.
Ingram, David. "Importance of Creating a Code of Ethics for a Business." Small Business. Houston Chronicle, 2014
Codes of ethics...