Zakaat on land purchased with the intention of resale
Question
Does one need to pay zakaat on land purchased abroad in 2008 with the intention of selling in the future? Currently the land is vacant as the prices for land have reduced greatly and demand is very low and the land wont be sold until another 4/5 years at least. If so, how does one calculate?
Answer
If the land was purchased with the intention of resale, then zakaat will have to be paid on it. Zakaat will be paid on the market value of the property.
And Allah Ta'ala (الله تعالى) knows best.
- Answered by
- Mufti Zakaria Makada
- Checked & approved by
- Mufti Ebrahim Salejee (Isipingo Beach)
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