I am working as Manager Finance/Business Dev in an Architecture firm. Please guide me how can the owner of the firm will pay Zakat. Will he pay the Zakat on profit earned? or Bank balances left at the year end? In profit of one year there are often accrued incomes which actually often not recieved. Guide me please.
Answer:
(Fatwa: 29/21=D)
The firm has to pay Zakah of the materials and cash money left with the firm at the end of year. Zakah will be liable as per 2.5%, whether it is the profit earned or it is the asset of the firm, both will be liable for Zakah.
Allah (Subhana Wa Ta’ala) knows Best
Darul Ifta,
Darul Uloom Deoband