Taxation in Islam VS Capitalism and Socialism

Zakat is a religious obligation mostly and it’s very different from any “tax” system in the modern world.
Main Characters of Zakat

1. Most of the time you only pay %2.5 yearly of your holdings (not income) if it exceeds 85 grams of gold or 595 grams of silver.
2. Pay %10 on agricultural products that could be dried and saved (excluding fresh fruits and vegetables) if it’s watered by rain water and %5 if effort is put to water it.
3. There are also Zakat on cattle but very limited. Example you give one sheep yearly if you have 40 to 120 sheep and only if they are fed in pasture (excluding ones that are fed by animal feed)
4. Zakat collectors can only collect things that are obvious to eye. like cattle and trees. (أموال ظاهرة) they shouldn’t investigate your holding in Gold or goods for sale (أموال باطنة). You pay that your self.
5. You pay 2.5% on gold that you extract from earth or 1/5 depending on school of law.
6. Zakat is limited in it’s beneficiaries. Zakat expenditures are only for the poor and for the needy and for those employed to collect Zakat and for bringing hearts together [for Islam] and for freeing slaves [or captives] and for those in debt and for defense and for the traveler
7. Zakat is not taken to build mosque or school or public infrastructure. You can establish a Waqf which is a voluntarily charity. ( drilling a well and donating it to people)
8. It’s forbidden to collect any extra money from people than the ones specified in Zakat, tax collectors are worse than adulterers.
9. In many cases if there is a dispute between collectors and givers, the final saying is to the giver assuming good in people contrary to modern surveillance and spying by Tax authorities.
10. Sure as any religion or legal law some people diverted the original text and tried to extend amount and type of money taken from people to other things using minority scholars opinion and such. The rules above from majority of scholars of the four Islamic schools of laws

Further read:
https://jamelakbar.medium.com/property-rights-h%CC%A3uquq-and-civilizations-c59a6d38152f

Sources:
https://m.azoom.org/t/is-zakat-a-tax-main-characters-of-islamic-zakat/12