Volume - VII / CHAPTER - 1 / LESSON NO: 9
ZAKAAT ON MERCHANDISE
Q 1: When does Zakaat become due on merchandise?
A. Zakaat is also due on merchandise at the rate of one-fortieth if it reaches Nisaab. In case, merchandise does not reach the standard of Nisaab and one is in possession of gold and silver too then those should be included in the merchandise to know as to whether all these items reach Nisaab or not. If so, Zakaat is due otherwise not.
Q 2: Which time's price of merchandise is reliable for Zakaat?
A. That price of merchandise will be reliable for Zakaat which is prevalent at the close of one's Zakaat year provided that its price was not less than 200 "Dirhams" (small silver coins) at the beginning of Zakaat year. If one is in possession of different kinds of commodities then the total price of all commodities should be equal to the value of 52 1/2 Tolas of silver or 7 1/2 Tolas of gold and in case he is also in possession of gold and silver then these precious metals should also be included in the merchandise to calculate Zakaat on the total accummulation.
Q 3: How will Zakaat be calculated if rates decrease or increase at the close of Zakaat year?
A. If cereals or merchandise are of 200 Dirhams at the close of Zakaat year but later the rates increase or decrease and one wants to give Zakaat from the cereals or merchandise then he should give fortieth of it and in case he wants to give any other thing of the value of Zakaat for these commodities then value of the thing will be determined by the rates of the cereals or merchandise which were prevalent at the close of Zakaat year.
As for wet and dry commodities, the price of the commodity which was wet at the close of the year but now is dry, will be taken of the close of the year and price of the commodity which was then dry but now has become wet will be taken of today.
Q 4: Is Zakaat due or not on baggings and bridles in the trade of horses?
A. If a trader of horses bought baggings, bridles and ropes for the safety of his horses, Zakaat is not due on these things but if he bought with the intention of selling them with horses then Zakaat is due.
Q 5: When should one pay Zakaat if he sold merchandise on credit?
A. If one bought some commodities for trade and sold on credit or bought a house or farming land for trade and let them for accommodation and cultivation, Zakaat will (continue to) be due on the rent on yearly basis but will be paid when and on what money is received, (that should be at least one-fifth of the Nisaab) from the creditor or tenants as the case may be.
Q 6: When should one pay Zakaat on family cereals if sold on credit?
A. If one sold his family cereals or horse of riding or any other thing of essential needs which was not meant for trade, on credit, Zakaat will become due when 200 Dirhams are received from the debtor.
Q 7: Will one have to pay Zakaat or not on merchandise next year on which he has already paid this year?
A. Zakaat on merchandise will be due every year (to pay afresh each year) so long as it is equal to the standard of Nisaab either itself or with the inclusion of other assets and it should also be free from essential needs. Zakaat will be due on whole of merchandise not on profit only.
Q 8: If one made an ordinary thing very precious by his craftsmanship and sold. How should he pay Zakaat thereof?
A. No doubt, it is permissible for one to sell his handmade thing or merchandise at whatever price is bargained with the customer sans any cheating. But if some other thing is given as Zakaat in lieu of the due thing then the price of the thing (not thing itself) will be countable for Zakaat. As for price, only that price will be reliable of the thing which is prevalent in market not the purchase price.
Q 9: Is Zakaat due or not on wares and machinary given on rent?
A. There is no Zakaat due on wares and machinary given on rent like cauldrons, tents, canopies, bicycles, motorcycles, cars etc. but if their rent reaches Nisaab then Zakaat will be due on the rent money after completion of full one year provided that other conditions are also there like that of the injunction regarding the rent of houses and shops.
Q10: Is Zakaat due or not on the bottles of perfumer?
A. Zakaat is due on the bottles a perfumer bought to sell perfume therein as they fall within the category of merchandise.
Q11: Will one have to pay Zakaat or not on the
merchandise he bought on credit?
A. If a solvent person who is in possession of 200 Dirhams buys any commodity like 40 kg. of wheat for trade on credit, Zakaat will be due but in case he does not get for trade, Zakaat will not be due, for, he will have to pay the price of the wheat from the said 200 Dirhams and thus the Nisaab will no longer exist.