Zakaat on property that was purchased as an investment
Question
I bought a plot in 2013 Oct for an amount of 9300000 for the purpose of selling/investment. Today I have sold it for 17500000. Please guide:
1. How much zakat do I have to pay?
2. Will zakat be paid only 1 time on selling or I have to pay for the last two years also?
Answer
If your intention was both for investment and to sell it at a time when you will fetch a good price then there will be no zakaat on the property. You will only pay zakaat on the amount you received from its sale.
And Allah Ta'ala (الله تعالى) knows best.
- Answered by
- Mufti Ebrahim Salejee (Isipingo Beach)
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