Please let us know whether a person has to pay zakah on his P.F. savings which is deducted from his salary every month but will be due to him and available on his retirement?
Answer
(Fatwa: 406/412/N=1433)
If this PF (Provident Fund) is compulsory (non-optional) then since the employee, as per the Shariah, is not the owner of the amount deposited in this fund before collection and possession, hence as much amount is deposited in this fund no zakah shall be wajib on the employee before its collection and possession . Yes, after collecting and possessing the same, when the employee shall become the owner of the amount deposited in this fund, then as per the rule zakah of coming years shall be wajib and the zakah of previous years shall not be wajib.
Allah (Subhana Wa Ta’ala) knows Best
Darul Ifta,
Darul Uloom Deoband