Answered by Shaykh Hamza Karamali, SunniPath Academy Teacher
AsSalaam Alaykum Sidi,
If a company were jointly owned between muslims and non-muslims, how would zakat work then? Say the muslim owned 70% of the business and the non-muslim owned 30%, how would zakat be paid?
Jazakum Allah khair.
[This answer was originally posted as a response to a student question in the course, The Reliance Explained – Part 2 (LAS212).]
In the Name of Allah, Most Merciful and Compassionate
Partners only pay zakat jointly if both are “people from whom zakat is due.” (ahl al-zakat) [1] Zakat is not due from non-Muslims, and hence his share of the business is not factored into the zakat calculations. [2]
Applying this rule to your question, if a Muslim owned 70% of a business, and a non-Muslim owned 30%, the Muslim would only need to pay zakat on 70% of the trade goods.
And Allah Most High knows best.
Hamza.
[1] Sa`id b. Muhammad Ba `Ashin, Bushra al-Karim bi Sharh Masa’il al-Ta`lim, Kitab al-zakat, Fasl wa la yajuzu akhdh al-ma`ib min dhalika
[2] Ibid.