Does the owner of wealth pay zakah on the debt he has with people?

Question:
He asks and says: Does the owner of wealth pay zakah on the debt he has with people? May Allah reward you with good.

Answer:
Yes, if the debts the person has in the hands of people are owed by wealthy people, such that if he asks them for it, they pay it to him without delay, then it is obligatory for him to pay zakah on it every year, even while it is in the hands of people, because it is in the ruling of money that is in his possession. As for if these debts are owed by people who are insolvent, or people who are not wealthy, and he cannot obtain them, and he does not feel safe from their loss, then he only pays zakah on them after he receives them. When he receives them, he pays zakah on them for one year; because they are in the ruling of lost money, where he does not know whether he will obtain it or not. So when he obtains it, he pays its zakah for one year.