The aim of the present study is to investigate the role of zakat in reducing poverty in urban and rural areas of Iran and to assess the suitability of traditional examples of zakat with the contemporary economic and social structure. The study was conducted with an analytical approach and documentary method. For this purpose, the Quranic and authentic foundations of zakat, the views raised in the sources related to its examples and functions, and the statistical evidence mentioned about the structure of economic sectors, the state of poverty, and the amount of zakat collected were examined and analyzed within the framework of the research problem. In the analysis, first the philosophy of zakat legislation and its function in providing the livelihood of the needy were explained, and then the suitability of the nine traditional examples of zakat with the economic structure of rural areas, which rely on agriculture and animal husbandry, and urban areas, which rely on industrial, commercial, and service activities, was compared. The analytical findings show that the limitation of traditional examples of zakat to a part of agricultural and livestock products, considering the diversity of sources of income and wealth in the contemporary economy, can limit the scope of the potential capacity of zakat to support the urban and rural needy. Also, comparing the amount of zakat collected with the dimensions of the poverty issue highlights the need to examine the adequacy of resources obtained from zakat to meet livelihood needs. Accordingly, the article emphasizes the need to rethink the suitability of zakat examples with current economic and social conditions, considering the Quranic, narrational and jurisprudential foundations. This conclusion is based on the analysis of existing documents and evidence and does not mean empirical proof of the causal relationship between zakat collected and changes in poverty.