Also, he asks: Does a car intended for riding count as goods for trade? Please inform us in detail. May Allah guide you.
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The questioner : Also, he asks: Does a car intended for riding count as goods for trade? Please inform us in detail. May Allah guide you.
The Shaykh : A car intended for riding or for hire is not considered goods for trade. Goods for trade are those that are put up for trade, meaning those prepared for buying and selling for the sake of profit. This is why they are called "goods" (‘urud), because they are displayed and then gone, or because they are displayed for earning and trade. As for something a person intends to save and develop, zakah is not obligatory on it, specifically the zakah on goods. However, zakah may be obligatory on the item itself, as with grazing livestock, or as with gold and silver.
The questioner : Yes.
The Shaykh : Yes.
The questioner : But for example, if a taxi earns a lot of money at the end of the year, does he pay zakah on this money?
The Shaykh : Yes, that is correct.
The questioner : From...
The Shaykh : Because zakah is obligatory on the money itself.
The questioner : Yes.
The Shaykh : No, because they are goods for trade. So if he has money from the taxi fare, or from the rent of the house, or from the rent of the car, and this money reaches the nisab and a lunar year has passed over it, then its zakah becomes obligatory on him.
The questioner : Yes.
The Shaykh : A car intended for riding or for hire is not considered goods for trade. Goods for trade are those that are put up for trade, meaning those prepared for buying and selling for the sake of profit. This is why they are called "goods" (‘urud), because they are displayed and then gone, or because they are displayed for earning and trade. As for something a person intends to save and develop, zakah is not obligatory on it, specifically the zakah on goods. However, zakah may be obligatory on the item itself, as with grazing livestock, or as with gold and silver.
The questioner : Yes.
The Shaykh : Yes.
The questioner : But for example, if a taxi earns a lot of money at the end of the year, does he pay zakah on this money?
The Shaykh : Yes, that is correct.
The questioner : From...
The Shaykh : Because zakah is obligatory on the money itself.
The questioner : Yes.
The Shaykh : No, because they are goods for trade. So if he has money from the taxi fare, or from the rent of the house, or from the rent of the car, and this money reaches the nisab and a lunar year has passed over it, then its zakah becomes obligatory on him.
The questioner : Yes.