My father is doing a business of selling and purchasing of land and invested whole of his cash what he possess of Rs.9 lakhs into land business. After passing one year he sold land and got a profit of Rs.2 lakhs and soon he reverted this profit of 2 lakhs again in business in order to get more profit. Again after passing one year, he got a profit of Rs.150000. Now this time he kept 50000 (out of 150000 profits) aside to spend on our daily basic needs and rest 1 lakh again invested to carry on the business. Whatever he got the profit, the expenses are standing in front to consume the profit in terms of our daily basic needs. We have a debt of 30000 too and expense of our home like (i) our toilet is facing Qiblah rukh and we need to rebuild it as soon as possible. (ii) Our water tank is totally damaged and leaking and need to be replaced with new one and more such genuine work need to be done out of this profit.

بسم الله الرحمن الرحيم

(Fatwa: 994/L-348/TL=1434)

(1) If your father buys the land with the intention of selling then zakah shall be wajib on the value of the land i.e. zakah shall be wajib on the price of land provided the conditions which make zakah wajib are found.
(2) At the time of paying zakah, zakah shall be paid as per the price of the land.
(3) If the zakah of previous years has not been paid then it should be paid now.
(4) Zakah is 2.5% i.e. 2.50 rupees in hundred rupees and 2500 in one lakh.

Allah knows Best!

Darul Ifta,
Darul Uloom Deoband

This answer was collected from the official ifta website of Darul Uloom Deoband in India.

Read answers with similar topics:

Ad by Muslim Ad Network