Zakaah on provident funds
Question
With regards to the question on a provident fund where the wife becomes the beneficiary, is Zakaat payable on receipt of the funds, or is there no Zakaat to be paid at all?
Answer
We assume that your query pertains to an involuntary provident fund imposed upon you by your employer. We also understand that you have nominated your wife as the sole beneficiary of the fund. Now, if you pass away before the fund reaches maturity, and the funds are paid out directly to your wife, then she will be required to pay Zakaat when her next Zakaat date comes in (after receiving the funds). She will not be required to pay Zakaat before the pay-out.
References (Arabic / Urdu sources)
وروى ابن سماعة عن أبي يوسف عن أبي حنيفة أنه لا زكاة فيه حتى يقبض المائتين ويحول عليه الحول من وقت القبض وهو أصح الروايتين عنه (بدائع الصنائع 2/10)
Re:- Kitaab-un-Nawaazil Vol.6 Pg.477
- Answered by
- Maulana Abdul Kader Fazlani
- Checked & approved by
- Mufti Mohammed Desai Saheb
Fatawa SA is an independent, read-only index of fatawa already published by Darul Ifta Ibn Masood. It is not a fatwa service. For your own situation, ask the issuing Darul Ifta directly.