Is zakah obligatory on wealth if the debt consumes the nisab?

Question:
May Allah reward you, Honorable Shaykh. These are questions regarding zakah. This questioner says: Is zakah obligatory on a person who has several accounts in the bank, and a lunar year has passed on one of those accounts, but he has a debt on his person that is greater than what is in all his accounts, such that if the creditors demanded their money, he would not be able to pay them their right?

Answer:
The correct view is that a debt does not exempt the wealth in your possession from zakah. The wealth in your possession on which a lunar year has passed is not exempted by a debt. You pay zakah on your wealth. However, if you pay it off before the lunar year is completed, there is no zakah on it. But if the lunar year passes and ends and you have not paid it off, then you pay zakah on what is in your possession. This is the key and the correct view.