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Calculating Zakaat on a loan

 

Nasihah (Advice): Zakaat repels evil

 

Jaabir Radiyallahu anhu reported: A man among his people sked, “O Messenger of Allah, what do you think of a man who pays Zakaat on his wealth?” The Messenger of Allah, sallahu alaihi wa sallam said, “Whoever pays Zakaat on his wealth, evil will depart from him.” [al-Mu’jam al-Awsaṭ]

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Question and Answer:

 

  1. Mufti, i have × amount of dollars, (+-190k rands). I needed to renovate my house, so a family member said take money from us (150k) and dont change the dollars, when we need it u can give it to us.  For now keep it by u. Now my question is when i pay zakaat. Do i pay for all the dollars i got, or should i minus the amount i owe and work out my zakaat for balance of the money.

 

(Question published as received)

 

  1. In the enquired case, if R150k was given to you in exchange for dollars valued at R190k, the dollars valued at 190k does not belong to you. It belongs to the family member that had given you R150k in lieu of the dollars valued at R190k.

 

Therefore, it will not be your responsibility to discharge the Zakaat due on the dollars. It is the responsibility of your family member to whom it belongs to discharge the Zakaat due on the dollars. However, you will be responsible in discharging the Zakaat due on the R150k or the remainder that which is in your possession.

 

And Allah Ta’ala Knows Best

 

(The answer hereby given is specifically based on the question asked and should be read together with the question asked. Islamic rulings on this Q&A newsletter are answered in accordance to the Hanafi Fiqh unless otherwise stated.) 

 

Fatwa Department
Jamiatul Ulama (KZN) 

Council of Muslim Theologians
223 Alpine Road, Overport

Durban, South Africa
Tel : +27 (0) 31 2077099

Email: fatwa@jamiat.org.za
Fax : +27(0) 31 2074163
Website : www.jamiat.org.za

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