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Do I need to pay zakah on land I purchased?

Answered as per Hanafi Fiqh by Darulifta-Deoband.com
(1) I have purchased a piece of land. Right now the intention is to build house some time on the same land. Is zakah needed to be paid on the same? (2) I have purchased a piece of land(s) with no intention as of now. One major intention is to sell it out and use the money to construct house in point 1 land purchased or else use this also to build a house. Please provide ruling on this kind of land for zakah payment.

Answer

(Fatwa: 1802/1437/B=1432)

Zakah is not wajib on any house mentioned above. Zakah is wajib on that land or house that is purchased with the intention of business. If there is no intention of business at the time of purchasing then no zakah is wajib on it.

Allah (Subhana Wa Ta’ala) knows Best

Darul Ifta,
Darul Uloom Deoband

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

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