Q: Do I have to pay zakāh on a deferred loan repayment? What is the ruling in relation to a loan resulting from the sale of personal property with payment deferred to a later date? For e.g. an individual has purchased a new car and paid the price in full. He has sold his old […]
Read more...Tag: Zakāt Fatwā
Do I have to pay zakah on a loan that won’t be repaid to me?
Q: Do I have to pay zakāh on a loan that won’t be repaid to me? If a lender has lost all hope of recovering his loan how should he treat the outstanding amount for the purposes of zakāh? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: If a lender has lost all […]
Read more...Please explain which descendants of the Holy Prophet Muhammad are not allowed to receive zakah?
Q: Please explain which descendants of the Holy Prophet Muhammad (s)are not allowed to receive zakāh? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: It is actually not the descendants of the Holy Prophet Muhammad (s)that are prohibited from receiving Zakat but rather certain descendents of Banu Hashim of whom the Holy Prophet […]
Read more...Is a person who has an Islamic Home Purchase Plan able to deduct any future rental installments due to the bank from their zakatable assets?
Q:Is a person who has an Islamic Home Purchase Plan able to deduct any future rental installments due to the bank from their zakatable assets? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: The client cannot deduct rental payments for future periods from his zakatable assets. Only those payments that have fallen due […]
Read more...What is the Shari’ah position with regards to zakah on Murabaha home purchase plans?
Q: What is the Shari’ah position with regards to zakāh on Murabaha home purchase plans? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Under the Murabahah home purchase plan the client incurs a debt for the balance of the purchase price that is payable over an extended period [typically 25 years as mentioned]. […]
Read more...Are Shari’ah compliant home purchase plans considered a debt for zakah purposes?
Q: Are Shari’ah compliant home purchase plans considered a debt for zakāh purposes? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Under the Murabaha home purchase plan the client purchases the desired property on a deferred payment basis from the financier. Ownership of the property is vested in the client at the time […]
Read more...Is zakah payable on the value of on account payments for a person who has an Islamic Home Purchase Plans?
Q: Is zakāh payable on the value of on account payments for a person who has an Islamic Home Purchase Plans? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Ownership of the on account payments, both under the Ijarah home purchase plan and the Diminishing Musharakah home purchase plan, remains vested in the […]
Read more...What is the Shari’ah position with regards to zakah on Diminishing Musharaka home purchase plans?
Q: What is the Shari’ah position with regards to zakāh on Diminishing Musharaka home purchase plans? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Under the Diminishing Musharakah home purchase plan, the client again incurs a debt only to the extent of the outstanding monthly rental payments subsequent to his use of the […]
Read more...What is the Shari’ah position with regards to zakah on Ijarah home purchase plans?
Q: What is the Shari’ah position with regards to zakāh on Ijarah home purchase plans? الجواب حامدًا و مصليًا و منه الصدق و الصواب A: Under the Ijarah home purchase plan the client incurs a debt only to the extent of the outstanding monthly rental payments subsequent to his use of the property. This debt […]
Read more...Do I have to pay zakah on shares held for me by a nominee?
Q: Do I have to pay zakāh on shares held for me by a nominee on trust? For e.g. I purchase shares in my own name via TD Waterhouse who hold legal title on a nominee basis. This means they are shown on the company register as the legal owners of the shares. However they […]
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