Zakaat On Money Loaned
Question
If Ahmad gives Lukman R1000 as loan that will be paid after 5 years, Then who will be responsible to pay the Zakat of this amount ?
Will this amount be subtracted from Lukman’s wealth while calculating his Zakat of all these years ? Will Ahmad have to pay R1000*5/40 = R125 as Zakat after five years (after receiving the amount)?
Answer
Ahmad has to give Zakaat on the loan which was given for all the past years once the payment of the debt is received.
The exact amount that will be due on Ahmad will be determined by deducting each year’s Zakaat before calculating the following year’s Zakaat.
In the queried scenario, R25 will be incumbent on the total R1000 for the first year. Thereafter 2.5% of R975 (i.e.R24.38) will be necessary for the second year and so on and so forth. As for Lukman, the normal ruling of Zakaat will apply to him, that he will deduct the loan amount owing as a liability each year before calculating his Zakaat.
References (Arabic / Urdu sources)
(يجب) وظاهر الآية أنه فرض نهر ج ٦ ٥ (رد المحتار ٥\٨٦٥)
- Approved by
- Mufti Muhammed Saeed Motara Saheb D.B.
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