Zakat on goods for sale
| Fatwa #1096 | Category: Zakaat & Sadaqah | Country: Zambia | Date: 20th March 2024 |
| Fatwa #1096 | Date: 20th March 2024 |
| Category: Zakaat & Sadaqah | |
| Country: Zambia | |
Question
Asw ww
I wanted to find out that if one has a shop and there are goods worth k500,000.. now it is to be sold but also inside suppliers need to be paid and let’s take an example that suppliers have to be paid k350,000. so does zakat need to be paid for k500,000 or k150,000 which was the profit..?
jazakallah khair
Answer
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
The following formula is to be used for Zakat calculation.
Zakatable Assets – liabilities = Zakatable wealth (upon which 2.5% is necessary)
The goods worth k500,000 (at selling price) will be part of your zakatable assets. The pending payment of k350,000 to suppliers will be part of your liabilities.
Accordingly, you will deduct the payment due to your suppliers from your Zakat calculation.
And Allah Ta’āla Knows Best
Mufti Bilal Pandor
Concurred by
Mufti Muhammad Patel
Darul Iftaa Mahmudiyyah
Lusaka, Zambia