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Question
A university teacher’s employers have stipulated a condition that they will give him unpaid leave if he gives 25% of the income that he earns from another employer to an interest-based bank, so that they will take part of it as a tax. Is it permissible for him to give an incorrect statement of his income so that he can avoid putting a larger amount in the bank for the tax to be deducted from it?
Answer
Praise be to Allah.The following question was put to Shaykh Muhammad ibn Saalih
al-‘Uthaymeen, may Allaah preserve him, who replied as follows:
It seems that it is not permissible, because he has a contract with
them, and if he has a contract with them it is not permissible for him to try to cheat
their system.
Question: even if it involves an unfair tax?
Answer: but he agreed to that from the outset.
And Allaah knows best.
Source: IslamQA (Sheikh Muhammed Salih Al-Munajjid)