Zakat on business goods
Goods earned by commutative contracts, and set aside for investment in
business or profit earning, is, as a precaution, liable for Zakat if certain
conditions are fulfilled. The rate of Zakat is 1/40.
(i) The owner of the goods should be baligh and sane.
(ii) The goods should have reached the taxable limit, which is equal
to that of gold and silver.
(iii) The goods should have remained for one year ever since the owner
intented to invest it for profit.
(iv) The intention of investing it for profit should have remained
unchanged throughout the year. If the intention changes, like, when he decides
to spend it for maintenance, then he will not pay its Zakat.
(v) The owner should be actually capable of its disposal throughout
(vi) Throughout the year, the owner should have a buyer of the goods
equal to the capital or more. If, during the year, he gets a buyer for the goods
for less then capital outlay, it will not be obligatory upon him to pay its