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Zakat on money that is invested in trade

19-07-1998

Question 2544

 

I have a certain amount of money. The whole amount is above the nisab.
However, part of it is in the trade business. In calculating the current year's Zakat, do I have to include the amount that's not back yet from the trade; or should I only calculate the Zakat upon what I currently have with me at this point of time.

Answer

Praise be to Allah.

If one year has passed since you have possessed this wealth, you should pay zakaat on it, whether it is on hand or is invested in trade. If you have earned some profit on it, the zakat for that is due when the zakat on the original amount is due.

And Allah knows best.

On What is Zakah Due
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