Q: I have some money in my savings account which I paid zakat for it last year in full. I did not use the money neither did I get more. I loaned the money to a family member, who still hasn’t paid it back to me. Do I still pay zakat on it this year?
A: One does not need to pay zakaat on an outstanding debt until the full amount or an amount equal to nisaab comes into his possession. So at this stage you needn’t pay zakaat on that money. Once the person pays up the amount which is equal to nisaab then you must pay zakaat for the past year or years.