Zakaat for Deceased

Q: My father passed away when I was ten, in 1981. My sister who is 6 years older than me, told me recently that she can't remember my father ever talking about paying Zakaat. We were not well off but I'm sure that we had wealth exceeding the Nisaab. Can you please advise us on what we should do?

A. Even if Zakaat was compulsory on your father and he did not pay it, it will not be paid from the estate unless he instructed that it be done from the estate. (Raddul Muhtaar V29 P360).

A decision cannot be made on a doubt. Your sister not remembering him speaking about paying Zakaat is not proof that he never paid Zakaat. It is also possible that Zakaat was not Fardh on him. Give the deceased the benefit of the doubt in this matter and do not delve into it. As mentioned above, even if Zakaat was compulsory upon him but he did not instruct that it be paid from the estate, then it will not be paid by the heirs.

Allah Ta'aala knows best

Moulana Yusuf Laher
Checked and approved by: Mufti Siraj Desai

Zakaat for Children

Q: I want to save some money for my 5 year old daughter for her future. Do I have to pay zakat on her account?

A. If you have made your minor daughter the owner of the money, no Zakaat will be paid on that money until she reaches puberty.

If you are still the owner of the money, then you will pay Zakaat on it.

Moulana Yusuf Laher
Checked and approved by: Mufti Siraj Desai

Qualifying for Zakaat

Q: Please explain to me who qualifies for Zakaat and how do I find out if I qualify. I am unemployed and have debts to pay off. My husband is working but not managing to settle all the debt. We were living in London. Because we were not managing, I returned to SA and am living with my widow mom who is supporting me and my baby. My husband is still in the UK, working to pay off the debts and save some money to start a business in SA to support us. He is not coping as the cost of living there is too much. Also, we have been apart for almost 5 months now and I am struggling emotionally with that. My son also misses his dad. Will I qualify for Zakaat to pay off the debts and to have enough to start a business so that we can sustain ourselves in the future?

A: Normally most married females possess gold jewellery. You need to take that into consideration when assessing your eligibility for zakaat. If you do possess gold jewellery and the weight is 87 grams or more, then you need to get a value of the jewellery. This can be done by taking the jewellery to a reputable jeweller. Once you've done that, you need to tally all the debts that you owe. If your total debts amount to more than the value of your gold, then you may accept zakaat. If the debts are less than your gold value, you may not take zakaat.

If you have no jewellery, or the gold you have is less than 87 grams then you are certainly eligible for zakaat in view of your outstanding debts.

Mufti Siraj Desai

Zakaat to Family Members

Q: Is it permissible to give Zakaat to a family member whose son is undergoing an operation? The son is mentally unfit. The parents both work but cannot afford the operation.

A. To give ones Zakaat to relatives is not only permissible but meritorious, as one would not only be discharging this obligation of Zakaat but strengthening family ties as well.

However, two points should be considered; it is not permissible to give Zakaat to ones descendents i.e. children, grandchildren, nor to ones ascendants i.e. parents, grandparents and neither to ones spouse.

Care should also be taken that the recipient is a worthy candidate for Zakaat i.e. he does not possess that amount of wealth which makes him unable to receive Zakaat. If he does possess some wealth you should wait until he has incurred the debt of the operation and then because his debts are more than his wealth, it would be correct for him to accept Zakaat.

And Allah knows best.

Mufti Aadil Moosagie
Checked and approved by: Mufti Siraj Desai

Zakaatable Items

Q: On what items is Zakaat payable?

A. Zakatable items are:

(a) Cash, which is in one’s possession for a lunar year and is equivalent or more than the Nisaab.
(b) Gold equivalent to the weight of 87.49 grams.
(c) Silver equivalent to 612.44 grams.
(d) Stock in trade i.e. merchandise.

There is no Zakaat on machinery, fixed properties, etc. Yes, the income derived therefrom will be Zakatable, if all the conditions that make Zakaat Fardh are found.
There is no Zakaat on your car, computers, furniture, etc.

Moulana Yusuf Laher
Checked and approved by: Mufti Siraj Desai

Zakaat and Loans

Q: I have the nisab of zakat but took a loan which was more than my cash on hand. I paid the loan in 3 years. Do I pay Zakat for the last 3 years?

A: Zakaat was not payable during the three years. After paying the loan, if you come under the Nisaab of Zakaat, then Zakaat will be compulsory on you.

Mufti Siraj Desai

Zakaat to Family Member

Q: I got a zakat money from a source. The source gave me the money to distribute among needy people. The source has given me the authority to make the decision to whom I give the zakat. Now, one of my family members lives abroad and he is unsable to earn any single penny to bear his living expense. Can I pay him a portion of the zakat money?

A. If the person who gave you the Zakaat to distribute gave you complete authority to distribute according to your wishes and did not stipulate particular people to be the recipients of the Zakaat, then you may give your members from that Zakaat provided they qualify to receive Zakaat.

Mufti Siraj Desai

Zakaat on Money Owed

Q: I sold my house to family member for £50,000, half in cash and half to pay in instalments over 5 years so I am owed the outstanding amount of £25,000. Do I have to pay zakat on the amount that is owed to me as I haven't received the remaining 25,000 cash yet? They are paying me 5,000 every year.

A: You have to pay zakaat on the outstanding amount also. However, you can pay the 2.5 percent on this amount from other funds in your possession or you can pay it from the instalments you receive yearly, In either case, remember that you have to pay on the balance owed to you yearly.

Moulana Naziem Moosagie

Checked by and ratified by: Mufti Siraj Desai

Zakaat to Family Members

Q: Who is eligible for Zakat within family members? Grandpatents, uncles and aunts, cousins, etc.?

A: You may give zakat to your uncles, aunts, cousins, brothers and sisters. You cannot give zakat to your parents, grandparents, children, grandchildren. Likewise the husband cannot give zakaat to the wife nor can she give to the husband.

Moulana Nazeem Moosagie

Checked and Approved by: Mufti Siraj Desai

Zakaat on Kruger Rand

Q: How does one calculate the zaakat on a Kruger Rand?

A: You need to ascertain the current value of the Kruger Rand and then calculate 2.5 percent of the value. That will be your zakaat. The value can be checked in local newspapers or from your local Ulema bodies. If you are unable to get the value, write back to us.

Mufti Siraj Desai

Zakaat on Insurance Policies

Q: I read an article from Sanzaf that zakaat is payable on the lesser of the premiums versus the market value of the policy. Is this correct? My concern is that in the past I did not calculate my zakaat on in this manner; am I exempt from the past error because I was not aware of it?

A: It is our humble view that there is no zakaat on insurance policies because premiums that are paid into the policy are non-refundable. This means that these premiums have left one's ownership, so zakaat cannot be levied on such monies. You need to pay zakaat only on what is yours and in your possession. Furthermore, there is no guarantee that one would retreive that money in the future.

So I cannot understand how zakaat could be applied to premiums paid into an insurance policy.

And Allah knows best.
Mufti Siraj Desai

Liabilities to Deduct in Zakaat

Q: What are all the liabilities and debts that I must include when calculating zakaat?

A: 1. Any debt that can be demanded immediately by the creditor, is deductible from one's assets when calculating zakaat. Hence, if one is paying off a loan or a debt by instalments, the one can only deduct the current instalments from one's assets, not the entire loan or debt. So if one is paying zakaat in Ramadaan, then the instalment that is due for that month will be deducted.

2. One will also deduct light account bill, telephone bill, cell phone bill (if on contract), rent payable for that month, grocery account if any, etc. In short, whatever is owed for the month that one is paying zakaat is deductible for zakaat purposes.

Mufti Siraj Desai

Deduction Student Loan in Zakaat

Q: Can a student loan balance be deducted when calculating zakaat?

A: If the student loan is being paid in monthly instalments then one may only deduct the current instalments from one's assets when calculating zakaat. It won't be correct to deduct the entire loan. This rule applies to any loan that is paid off in monthly instalments.

And Allah Knows Best

Mufti Siraj Desai

Wakeel Taking Zakaat

Q: Can a poor, unfettered wakeel (deputised person) of zakat use the money for himself?

A: A wakeel cannot use the zakat on himself unless the person who appointed him to distribute the zakat clearly stated "do with it whatever you wish, or "utilize it as it you wish." This is actually what is meant by an "unfettered wakeel". If the giver of zakaat said to the wakeel: "distribute this zakat" or "give it out" then he cannot use it on himself. He may give the zakat to his poor minor children, his poor wife and poor baaligh children. However if he is rich then he can only give the zakat to his poor wife and poor baaligh children, not to his poor minor children. If the person told him to give the zakat to a particular person then he has to give it to that person specifically. (Raddul-Muhtaar, Ahsanul-Fataawa)

And Allah Knows Best

Moulana Naziem Moosagie

Checked and Approved: Mufti Siraj Desai

Zakaat on Money in a Bank

Q: How should I calculate Zakaat for cash in a bank? I was told the money has to be in teh bank for 12 months. What if I had R100.000 and I deposit and withdraw from last Ramadaan till now? On which amount do I calculate the Zakaat?

A: A rule to remember for zakaat is that once 12 Islamic months have passed over the money then whatever is in the bank or in savings at the point, is taxable with zakaat, regardless of whether you used from it or added to it during the course of the year. It is not necessary that you have the same amount of money at the end of the year as you had at the start of the year. So if for example you had 10,000 in the bank account at the start of the year, and during the course of the year you withdrew money from that account or deposited more money; you shall have to pay zakaat on whatever is left in that account, whether it is more or less than the original amount of 10,000.

Mufti Siraj Desai

Zakaat on Business Fixtures and Fittings

Q: Do I have to pay zakaat on my businesses fixtures, fitting and computers?

A: There is no zakaat on fixtures, fittings, equipment, machinery, etc.

Mufti Siraj Desai

Zakaat on Immovable Property

Q: Is zakaat payable on fixed or immovable property?

A: Zakaat is not payable on fixed or immovable property. The income (if any) derived from them is Zakatable if the other conditions of Zakaat becoming compulsory are found.

Checked and approved by: Mufti Siraj Desai

Waiving Debt as Zakaat

Q: I gave my nephew a loan which he cannot repay.can I give it as zakaat? Must I inform him that it will be zakaat?

A: If you have other wealth on which you are paying Zakaat, then you cannot do this i.e. you cannot waive a debt with the intention of Zakaat.

If you have no other wealth on which you are paying Zakaat, you can waive the debt and make an intention of Zakaat and your Zakaat will be fulfilled.

Mufti Siraj Desai

Wife Giving Husband Zakaat (Shafi)

Q: Can a wife give her husband her zakaat in the Shafi Math-hab?

A: In the Shaafi’ math-hab a woman is allowed to give her zakaat to her husband if he is in need or has debts.

Paying Salaries with Zakaat

Q: Some organisations pay their workers from zakaat money. Is this valid, and will our zakaat be discharged if we give it to such an organization?

A: It is not permissible to pay salaries for workers from zakaat funds. If it is ascertained that an organisation does this, zakaat should not be give to such an organisation, for then zakaat will not be discharged.