FAQ’S Pertaining To Zakaat (16/20)
Question
I have a business, on what value will I calculate Zakaat for my stock?
Answer
One will pay Zakaat on the current market value of the stock in trade. Market value refers to the price that the consumer (i.e. the public) generally pays to obtain the item regardless of whether one purchased it for a higher price or lower price and regardless of whether one is selling it for a higher price or lower price.
The one who is involved in a retail business will calculate Zakat according to the retail market value of the stocks. The one who is involved in a wholesale business will calculate his Zakat according to the wholesale market value of the stock. The one who sells goods in retail and wholesale will calculate Zakat according to a value that is between the retail and wholesale value. (Jadeed Fiqhi Masail, Vol.1 Pg.71)
Fatawa SA is an independent, read-only index of fatawa already published by Jamiatul Ulama KZN. It is not a fatwa service. For your own situation, ask the issuing Darul Ifta directly.