Zakaat & Charity

By: Mufti Ebrahim Desai

Ameer-Darul Iftaa 

Faculty of Jurisprudence & Islamic Verdicts

 

 

Question:

 

I calculate my Zakat on the 10th of Ramadan every year. My Wife has some gold ornaments now I will have to pay Zakat for that as well. My question is - should I calculate Zakat on gold on the 10th of Ramadan or wait for the next Jamad-us-thani?

 

Answer:

 

In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

 

If the gold ornaments belong to your wife, you are not liable to pay the Zakat for that.

 

The Zakat on the gold ornaments will be due on her according to her personal financial situation.

 

If you wish to pay her Zakat, you may do so with her consent.

 

And Allah Ta’āla Knows Best

 


Mufti Ebrahim Desai.

 

 

By:Abdul Azim bin Abdur Rahman

Darul Iftaa Student- USA

Faculty of Jurisprudence & Islamic Verdicts

 

How should I pay Zakāh on property purchased for business?

 

Question:

In first scenario if, for example I have paid my zakat on all of my money on Dec 30 2010 and on Jan 2011 I buy an old house for $ 300,000, renovate it in 3 months and sell in 4th month for the amount of $350000, do I have to pay zakat right away on all of the money or do I have to wait for a year to pay zakat.

My second scenario is, if I buy land in Jan 2010 for $300,000, demolish and reconstruct the house and the entire process takes 2 and half years. Do I have to pay zakat every year even if I don’t have enough money in my possession? Or do I have to pay zakat as soon as I sell the house for example for $400,000 on all of $400,000. Or do I have to wait for a year to pay zakat?

Third question is what if I sell the house after 2 and half year say june 2012 and buy another land in next few months from the money I get by selling the house, do I have to give zakat first or in this case money is exempt from zakat.

Is zakat on profit or on actual amount invested?

How to keep track of money which is under our possession for entire year, because money comes and goes?

Answer:

In the Name of Allah, the Most Gracious, the Most Merciful.

As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

At the outset, it is important to understand the basic concept of calculating Zakāh.

The day an individual becomes owner of Zakātable wealth (gold, silver, cash, or trading merchandise) equivalent to the amount of Nisāb (612.36 grams of silver or its value in cash)[1] is termed as his Zakāh day. In other words, annually all Zakātable wealth in his ownership on that day must be calculated for Zakāh.

If one does not remember when he first became owner of this amount i.e. 612.36 grams of silver or its value, he must apply his discretion and arrive at a conclusion. If he is unable to remember even after applying his discretion, he must stipulate any day as his Zakāh day based on the lunar calendar. Thereafter, on a yearly basis he must calculate all Zakātable wealth in his ownership on that day. [2]

Based on the above-mentioned, hereunder are the answers to your queries:

  1. 1.If your Zakāh day corresponded to Dec. 30th, 2010, then the house purchased on Jan. 2011 and sold after 4 months was not in your ownership on your Zakāh day. Hence, there was no Zakāh due on the value of the house. However, if any amount from the $350,000 you earned through the sale of the house remained in your ownership on your next Zakāh day, Zakāh was due on that amount.

 

  1. 2.If you purchased the land in Jan. 2010 with the intention of resale and had it in your ownership for 2 ½ years, then Zakāh was due annually on that land based on the market price of the land on your annual Zakāh days.[3]

 

  1. 3.If you purchased a house with the intention of resale immediately upon selling the previous house, you will only pay Zakāh on the value of the house if it was in your ownership on your annual Zakāh day.

 

  1. 4.You ask if Zakāh is on profit or actual amount invested. If you have the house in your ownership on your Zakāh day, then the market value of the house on your Zakāh day will be considered. If you have sold the house prior to your Zakāh day, then the cash remaining from the sale will be added to the rest of your cash and Zakāh will be paid on the entire amount remaining in your ownership on your Zakāh day.

 

  1. 5.You state that it is difficult to calculate Zakāh because money comes and goes. This difficulty is experienced only when one has not stipulated his Zakāh day. If the Zakāh day is stipulated, then Zakāh will be paid on whatever Zakātable assets are in his ownership on that

And Allah Ta’āla Knows Best

 

Checked and Approved by,
Mufti Ebrahim Desai.

 

 

 

 

 



[1]  اوزان شريعه، ص 49

[2]  احسن الفتاوى، ج 4، ص 265، سعيد

[3]  وَتُعْتَبَرُ الْقِيمَةُ يَوْمَ الْوُجُوبِ، وَقَالَا يَوْمَ الْأَدَاءِ (رد المحتار، ج 2، ص 286، سعيد)

يُعْتَبَرُ قِيمَتُهَا يَوْمَ الْوُجُوبِ كَمَا فِي مَالِ التِّجَارَةِ (بدائع الصنائع، ج 2، ص 421، دار الكتب العلمية)

Query about late payment of Zakat

 

 

Question:

I have a question about payment of Zakat. One has not paid Zakaat on cash-in-hand for previous few years and he wants to pay them now. He has done the calculation in cash value for the Zakaat that is due on him, but since the value of money usually declines due to inflation, so he is not sure how to incorporate the inflation figure in this payment.
 
Should he pay the exact amount of cash that was actually due last year or try to find the gold equivalent of that value when the Zakaat was due and convert it into cash based on today's cash equivalent of that gold value.
 
 
Answer:
 
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykumwa-rahmatullāhiwa-barakātuh.

 

When zakat is due upon an individual, it should be paid immediately. To delay in paying zakat is a sin. For that, one should make taubah and istighfaar.

Nevertheless, if one did not pay zakat in the past, the exact amount due at that time is payable now. The inflation on the amount will not be considered. If the person wants to contribute an extra amount on the exact amount due, he may do so.

And Allah Ta’āla Knows Best

Mufti Ebrahim Desai.

 
 

By: Ismail Ebrahim Desai

Darul Iftaa Student

Faculty of Jurisprudence & Islamic Verdicts

09 January 2013

 

Question:

I have a query in relation to Zakah dispensation. My brother is in a debt of 1200 GBP, and has 100 GBP savings. This debt is on a credit card he used to purchase his car.

His personal belongings (iphone, clothes, ps3, etc) are perhaps currently valued under 1200 if they were to be sold.

However his car is roughly worth 2000 GBP – but as mentioned he used a credit card 0% to buy this.

Based on this scenario mentioned is my brother eligible for Zakah?

He currently works but as today he only has 100 GBP savings?

Previously when he had no job, I gave him my Zakah funds

Please kindly advise.

JazakAllah

 

Answer:

In the Name of Allah, the Most Gracious, the Most Merciful.

As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.

 

In principle, if one’s liabilities exceed one’s assets, then one is eligible for Zakaat.[1]Therefore, it is permissible for you to give your Zakaat to your brother since his liability (1200 GPB) exceeds his total assets (100 GPB).

Personal belongings such as clothes, vehicle, etc are not considered when calculating Zakaat.[2]


  1رجل له علي انسان مائتا درهم، هل يحل له أخذ الزكوة؟ فهذا علي وجهين: اما ان كان من عليه الدين معسرا، أو موسرا، ففي الوجه الأول: تكلم المتأخرون، و المختار أنه يحل الأخذ، لأن يده زائلة عن ماله، فصار بمنزلة ابن السبيل ( كتاب التجنيس و المزيد، كتاب الزكوة، ج 2، ص 343)

و المديون (كنز الدقائق، كتاب الزكوة، باب  المصرف، ج 1، ص 224)

و الغارم من لزمه الدين (الفقه النافع، باب من يجوز دفع الصدقة اليه و من لا يجوز، ج1، ص 356)

و اما الغارمون: فهم الذين لزمهم الدين، فهم محل الصدقة، و ان كان فيي أيديهم مال اذا كان ذلك المال لا يزيد علي الدين قدر مائتي درهم فضاعدا، لأن مقدار الدين من ماله مستحق بحاجته الأصلية، فيجعل كالمعدوم (المحيط البرهاني، كتاب الزكوة، ج 3، ص 210- 211)

و من كان عليه دين محيط بماله لا زكوة عليه عندنا (الفقه النافع، ج 1، ص 326)

2   و ليس في دور السكني و ثياب البدن و أثاث المنزل و دواب الركوب و عبيد الخدمة و سلاح الاستعمال 

KHARWASTAN

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