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What Should Be Deemed as a Trade Good When One is Giving Zakat?

Answered as per Hanafi Fiqh by Seekersguidance.org

Answered by Ustadh Tabraze Azam

Question: Salam,

I read your answers on zakat on trade goods and that if you intend other than a definite sale, such as rental or personal use, then land/property is not deemed as a zakatable trade good.

What is the definition of intention of ‘personal use’?

Answer: Wa alaikum assalam wa rahmatullahi wa barakatuh,

I pray that you are in the best of health and faith, insha’Allah.

A trade good refers to any non-monetary item purchased with the intention, at the time of purchase, of resale. [Khan, Ascent to Felicity, footnote: 540]

There must be a clear intention of resale at the time of purchase, otherwise it is not deemed to be a trade good. A mixed intention is not clear, nor is an intention to sell “if I get the right price.”

See also: Zakat on Land and Determining Market Value

And Allah alone gives success.


Tabraze Azam

Checked & Approved by Shaykh Faraz Rabbani.

This answer was collected from Seekersguidance.org. It’s an online learning platform overseen by Sheikh Faraz Rabbani. All courses are free. They also have in-person classes in Canada.

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