Some of my friends argue that from non Muslim state you can get as much money as you can,and there is no compulsion to obey the agreement between Muslim and a Kuf’r state.Jazakallah Khair.
In principle, Muslims living in a non-Muslim country must abide by all these laws of the country that are not un-Islamic. If it is illegal, then it is not permissible to get employment insurance benefits as well as earn through cash job.
Furthermore, Muslims must live with dignity and honour. Rasulullah [Sallallaahu Alayhi Wasallam] advised that it is not appropriate to do anything that will cause disgrace to a Muslim. If a Muslim is convicted of such a crime, it will be a bad reflection of Muslims and Islam. Surely, we can sacrifice a few pennies to maintain our dignity, respect of Muslims and Islam.
and Allah Ta’ala Knows Best
Mufti Ebrahim Desai