Q: What are the criteria of eligibility to receive Zakah? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: The criterion of eligibility to receive Zakah is that the recipient must be Muslim and not own assets that are in excess of his/her basic necessities and outstanding debts and liabilities to the value of or more […]
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Can interest earned be used to pay tax in a non-Muslim state?
Q: Can interest earned be used to pay tax in a non-Muslim state? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Any interest earned on bank deposits is the property of others and one is duty-bound to return their property to them. However, as they are not known and thus it is not possible to […]
Read more...Can I accept a marriage proposal from an investment banker?
Q: Can I accept a marriage proposal from an investment banker? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: There is no sin in the marriage itself. However, if the marriage does go ahead then he will remain obligated to provide your maintenance via halal means and you should continue to encourage and urge him […]
Read more...Do I have to mention all faults of a car when selling it or is responsibility on the buyer to discover any faults?
Q: Do I have to mention all faults of a car when selling it or is responsibility on the buyer to discover any faults? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If the wear and tear is normal for the age of the car then the seller is under no obligation to point out […]
Read more...Can I apply for an interest-based mortgage on behalf of a family member who is unable to as they will be paying for all costs involved?
Q: Can I apply for an interest-based mortgage on behalf of a family member who is unable to as they will be paying for all costs involved? الجواب حامدا ومصليا و منه الصدق والصواب A: It is not permissible to do this because the lender with be contracting an interest based loan with you which […]
Read more...Is trading “covered warrants” on the stock market permissible?
Q: Is trading “covered warrants” on the stock market permissible? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Warrants represent a right to purchase an asset similar to a call option and do not represent the underlying asset itself. Thus, they cannot be traded.
Read more...Can I reduce my tax liabilities through lying, as Islamically we are entitled to whatever we earn?
Q: Can I reduce my tax liabilities through lying, as Islamically we are entitled to whatever we earn? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If the revenues of the state are not sufficient to meet its expenditure needs a tax may be levied on the population provided it is proportionate to the need. […]
Read more...Is National Savings Accounts Islamically permissible?
Q: Is National Savings Accounts Islamically permissible? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب National Savings Account wherein the principle is guaranteed and there is a definite return is not Sharī‘ah compliant. However, if anyone has deposited money into such an account the money so deposited will be liable for Zakāh.
Read more...As a private car seller, if a buyer cannot afford to pay upfront, is it permissible to sell the car to a company who then sells it at a higher price on a Hire Purchase Agreement to the initial buyer?
Q: As a private car seller, if a buyer cannot afford to pay upfront, is it permissible to sell the car to a company who then sells it at a higher price on a Hire Purchase Agreement to the initial buyer? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: If the buyer does not conclude […]
Read more...What is the status of the contract to use a service when the terms and conditions of the service prohibit Islamically lawful acts, and those acts occur during usage of the service?
Q: What is the status of the contract to use a service when the terms and conditions of the service prohibit Islamically lawful acts, and those acts occur while usage of the service? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Firstly, piracy is not an example of an ‘Islamically lawful act’. Secondly, if one […]
Read more...Is leasing and contract hire permissible?
Q: Is leasing and contract hire permissible? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: Leasing is a mode that is an acceptable form of trade in Islam. However, it is important that conditions of the lease contract do not contravene Shariah principles. Conventional leases and contract hire agreements tend to violate Shariah principles in […]
Read more...Is it permissible to lie when haggling?
Q: Is it permissible to lie when haggling? الجواب حامدا ومصليا ومسلما ومنه الصدق والصواب A: It is permissible to haggle to reduce the price but it is not permissible to lie or deceive the other party. Validity, enforceability, etc of the contract will depend on the exact details of the situation.
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