Structural Reform and Tax Bases Broadening in Accordance to the Islamic Tax Model with the Emphasis on Capital Gains Tax

The government can reduce dependence on oil revenues and meet current expenditures by broadening and defining new tax bases. Capital gains tax has been introduced in different countries today; this tax is a type of income and property tax. Its important economic effects are to improve income distribution and meeting government spending. It is important to note that in developing tax legislation, the common tax system should be consistent with the Islamic tax system and religious foundations. The present paper reviews other countrie's experiences on capital gains tax and presents Islamic jurisprudence (feqh- e - Islami) view on this tax and focuses on its related regulations with the aim to reform tax structure due to its consistency with religious foundations. The results indicate that from the viewpoint of Ahlolbait school, one fifth (khoms) of capital gains has great similarities and some differences with capital gains tax.