Ruling on waiving a debt with the intention of zakah

Q: I have a brother who owes me a sum of money and is unable to repay it at the current time; because he has certain obligations such as car installments and apartment rent, and his salary barely covers his living expenses. Is it permissible for me to waive part of the debt as zakah from my wealth?

A: In the name of Allah, and all praise is due to Allah. It is not permissible to waive a debt from any person with the intention of zakah. However, it is obligatory to grant a respite to the one who is unable to pay. If you give him from your zakah for his need, there is no harm. As for the debt, it is not permissible to waive it as zakah from your brother or anyone else; because zakah is the giving of wealth to its rightful recipient, and it is not a release from debts. May Allah guide them all.