Zakat on land which is intended to sell in future to futrher buy plot and construct house for living purpose
I have in my ownership a residential plot in a city different from my home city. I intend to sell this later after 10 or 15 years, use this money to buy residential plot in my home city and construct a house for my living. If there is money left after building the house I intend to keep it as saving or invest in some place (I have not decided yet). Also I am not sure what would be the cost of new land purchase and cost of construction for my house in my home city after 10 or 15 years. Please suggest if there is zakah applicable on current plot every year?
بسم الله الرحمن الرحيم
You own a plot in other city and intend to sell it after ten or fifteen years, so if you bought it with the intention of selling in the beginning then it is a business property and you will have to pay zakah on its value. However, if you did not buy it with the intention of selling rather you intended to make a house etc at the time of buying then no zakah will be wajib on this plot though now you intended to sell it later.
Allah knows Best!
Darul Uloom Deoband
Find more answers indexed from: Darulifta-Deoband.com