9:29 Fight those who believe not in God nor the Last Day, nor hold that forbidden which has been forbidden by God and His Apostle, nor acknowledge the religion of truth, [even if they are] of the People of the Book, until they pay the Jizyah with willing submission, and feel themselves subdued.
Some people have falsely concluded from verse 9:29, that Muslims are commanded to attack all non-Muslims until they pay money. In fact, such an interpretation is completely false and contradicts authentic Islamic teachings. We have to understand the fact that the Islamic State is not permitted to attack non-Muslims who are not hostile to Islam, who do not oppress Muslims, or try to convert Muslims by force from their religion, or expel them from their lands, or wage war against them, or prepare for attacks against them. If any of these offenses occurs, however, Muslims are permitted to defend themselves and protect their religion. Muslims are not permitted to attack non-Muslims who signed peace pacts with them, or non-Muslims who live under the protection of the Islamic State.
In light of the historical context of this verse, it becomes very clear that the verse was revealed in connection with agression initiated against Muslims,whether by idolatrous Arabs, some of the Jewish tribes in Madinah, or by some Christians.
Therefore, the command to fight in verse 9:29 relates to those non-muslims who commit agression and not those who are committed to live in peace.
The verse then proceeds to mention some issues relating to the Islamic state, and governing non-muslim citizens of the Islamic state.
Freedom of religion is an essential aspect in an Islamic state. One of the five pillars of Islam is zakat (almsgiving). The People of the Book (Christians and Jews) are not obliged to pay the Islamic zakat that is spent by the state for social necessities and state affairs as defined in the Quran (see 9:60). But they must pay other taxes to share in the state budget. If they refuse to pay this tax to the state and rebel against the state, then it is the obligation of the state to confront them until they pay it. This is what Caliph Abu Bakr did after the death of the Prophet, when some people refused to pay zakat.
The verse mentions Jizya, which is unfortunately misunderstood by some people. Like any nation, the Islamic government requires its citizens to pay taxes in return for its services. Since Muslims pay the Zakat, the non-muslim citizens are required to pay Jizya.
Hence, the laws of Islam forbid Muslims from opressing non-muslims and command them to treat others with justice and compassion. In fact, the Prophet Muhammad pbuh himself forbade Muslims from harming non-muslim citizens of an islamic state or any non-muslim with whom there was an agreement of peace, as he said,
"The one who wrongs a covenanter or impairs his right or overworks him or forcibly takes something from him, I will be his prosecutor on the Day of Judgment. (Sunan Abi Dawud 170/3 no. 3052, Sunan an-Nasa'i 25/8 no. 2749, and verified by Al-Albani no. 2626).
In conclusion, verse 9:29 commands Muslims to fight against only those who initiate agression as illustated by its historical context. Muslims may only fight under strict conditions, and are commanded to live peacefully with peaceful non-muslim countries.
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