Zakat on Articles of Trade
Charity and Zakat,Zakat and Syllabus of Zakat,Zakat on Articles of Trade
Fatwa No : 28915
Zakat on Articles of Trade
عبادات / زکوۃ و صدقات / زکوۃ و نصاب زکوۃ
Zakat on Articles of Trade
I started a cloth business two years ago with Rs.200,000. I sold approximately Rs.100,000 worth of cloth. Then, I used the profit I made and the capital to rent and renovate a shop, in which remained Rs.108,000 worth of cloth. Unfortunately, there were hardly any customers for the next two years, and because of this, and the lack of funds, I had to close down the shop. Two months after, my friend and I reopened the shop and each invested Rs.600,000 in the business. The old cloths as well as new cloth are included under our business partnership. We would like to know how to play Zakat on both the new and old cloths in our business. It should also be known that in order to get started with this business two years ago until now, I have taken more than Rs.900,000 in loan. This is also the situation of my business partner. Please guide us.
الجوابُ حامِدا ًو مُصلیِّا ً
In the name of Allah, the Beneficent, the Merciful
If after deducting the loan, the value of the cloths is equal or more than the Nisab (i.e. 52.5 tola of silver), then 2.5% of the value of the cloths (both old and new) will be due as Zakat when one year has passed upon them. This is also the ruling for the previous years.
Related Fatawa Related Fatawa
-
Is Zakat due on gold that has been pawned in a bank to take a loan?
English 30 Zakat and Syllabus of Zakat -
-
-
-
-
-
Related Topics Relative Topics
-
39زکوۃ و نصاب زکوۃZakat and Syllabus of Zakat
-
25مصارف زکوۃ و صدقاتWho Receive Zakat and Charity
-
8عشر و خراجTithes and Tributes
-
7صدقہCharity
-
2فطرہFitra - Instinct