Zakah on land during the period it is offered for sale
Machine translationRead the Arabic original
The first question of Fatwa No. ( 19711 )
Q1: I revived a residential plot of land a long time ago. After I had completed its revival in accordance with the Shari'ah, I intended to build a residence on it for myself and my children, given the pressing need for it. I should note that when I revived it, I did not intend to sell it or trade in it. Consequently, after some time had passed,
it became apparent to me that the land was too narrow and could not accommodate the residence I wanted to build on it, along with its facilities. I considered building the residence on a different plot of land, and I actually did so. As for the revived land mentioned earlier, I no longer had any need for it, so I offered it for sale due to my pressing need for its value, as I am in debt. It remained on the market for about three years. A person came forward wanting to buy it for (30,000) thirty thousand riyals, but I did not agree to that. It remained for another three years, until it had been on the market for (6) six years. Recently, a person came forward to buy it, and I sold it to him for (35,000) thirty-five thousand riyals. Summary of the question: Am I required to pay zakah on its value, and what is your opinion regarding the six years it was offered for sale? The land is located in a remote village. If zakah is required on it, what is the amount for each of the six years?
A1: This land, which you decided not to build a residence on and resolved to sell, is from the goods of trade. It is valued from the time you intended it for trade, so you pay zakah on it every lunar year based on its value at the time of valuation. You pay one-fifth of one-tenth of its value for every year it remains in your ownership. Likewise, if a lunar year passes from the time the sale is completed and the price is in your possession, you add it
to the money you possess and pay zakah on it at one-fifth of one-tenth. And success is from Allah, and may Allah send prayers and blessings upon our Prophet Muhammad, his family, and his Companions.
Q1: I revived a residential plot of land a long time ago. After I had completed its revival in accordance with the Shari'ah, I intended to build a residence on it for myself and my children, given the pressing need for it. I should note that when I revived it, I did not intend to sell it or trade in it. Consequently, after some time had passed,
it became apparent to me that the land was too narrow and could not accommodate the residence I wanted to build on it, along with its facilities. I considered building the residence on a different plot of land, and I actually did so. As for the revived land mentioned earlier, I no longer had any need for it, so I offered it for sale due to my pressing need for its value, as I am in debt. It remained on the market for about three years. A person came forward wanting to buy it for (30,000) thirty thousand riyals, but I did not agree to that. It remained for another three years, until it had been on the market for (6) six years. Recently, a person came forward to buy it, and I sold it to him for (35,000) thirty-five thousand riyals. Summary of the question: Am I required to pay zakah on its value, and what is your opinion regarding the six years it was offered for sale? The land is located in a remote village. If zakah is required on it, what is the amount for each of the six years?
A1: This land, which you decided not to build a residence on and resolved to sell, is from the goods of trade. It is valued from the time you intended it for trade, so you pay zakah on it every lunar year based on its value at the time of valuation. You pay one-fifth of one-tenth of its value for every year it remains in your ownership. Likewise, if a lunar year passes from the time the sale is completed and the price is in your possession, you add it
to the money you possess and pay zakah on it at one-fifth of one-tenth. And success is from Allah, and may Allah send prayers and blessings upon our Prophet Muhammad, his family, and his Companions.
Source
www.alifta.gov.sa
The Arabic text is copied verbatim from the original source, without any edits.