Zakaat on investments and loans


1. I invested some money in a company. Unfortunately, the company was a fraud. Government possessed all investments and it is still under investigation. Money is not in my possession any longer. Do I have to pay Zakaat on this?

2. I’ve loaned out money to a few people. No one has paid me back as yet. Do I have to pay Zakaat on this?

3. Do I have to calculate exactly 2.5% Zakaat or can I give more than this as Zakaat?



1. If you do not have any hope of receiving the money, then zakaat is not compulsory upon such wealth.

2. Yes, however you have the option of paying the zakaat from the wealth you have in your possession or paying the zakaat of the wealth loaned upon receiving the wealth. In this case the zakaat of the previous years for which the zakaat was not paid will have to be discharged.

3. You should calculate the 2.5% and thereafter if you wish, you may give more than that amount.

And Allah Ta’ala (الله تعالى) knows best.


Answered by:

Mufti Zakaria Makada

Checked & Approved:

Mufti Ebrahim Salejee (Isipingo Beach)