Abstract

This paper explores the integration of Information Technology in Islamic Accounting, a concept that combines the efficiency and innovation of information technology with accounting principles grounded in Islamic values. The study highlights key challenges in the integration process, including the knowledge gap between technological advancements and Islamic accounting principles, system compatibility issues, and information security concerns. Inadequate and inconsistent regulations also pose significant obstacles to successful implementation. To address these challenges, proposed solutions include collaboration among academic institutions, Islamic accounting practitioners, and information technology experts to develop an integrated curriculum, the development of information systems tailored to Islamic accounting needs, and the strengthening of relevant regulatory frameworks. By implementing these measures, the integration of Information Technology in Islamic Accounting is expected to enhance efficiency, transparency, and compliance with Islamic principles in financial management. This study concludes that while this integration presents complex challenges, with the right approach, it holds substantial potential benefits for the Islamic finance industry.