During the time of Sayyiduna Ali bin Abi Talib (may Allah be pleased with him), a villager accepted Islam. Sayyiduna Ali (may Allah be pleased with him) said: "If you remain on your land, the jizya will be lifted from you and kharaj will be taken from the land, and if you leave the land, then we are more entitled to it."
Hadith Referenceسنن سعید بن منصور / كتاب الجهاد / 3770
Hadith Gradingمحدثین:إسناده حسن
Hadith Takhrij«إسناده حسن، وأخرجه سعيد بن منصور فى «سننه» ترقيم الدرالسلفية برقم:، 2593، والبيهقي فى«سننه الكبير» برقم: 18485، وعبد الرزاق فى «مصنفه» برقم: 10134، 19403، وابن أبى شيبة فى «مصنفه» برقم: 21948، 33612»
Brief Explanation
Chain is hasan (due to tadlis there is minor weakness, but it is acceptable), the content is authentic and in accordance with the principles. The same meaning has also been reported in other books, that Ali radi Allahu anhu established this principle regarding jizya: that for one who embraces Islam, the jizya will be waived, but land tax (kharaj) will still be taken from his land. Mention of this policy is found in Kitab al-Amwal by Ibn Zanjawayh and other sources.