How to pay zakah on land shares
Machine translationRead the Arabic original
Question:
A questioner asks about money invested in land, specifically land shares, which were 1,000 riyals. After seven years, they became 13,000 riyals. Is zakah due on the past period?
Answer:
If a person invests money as a share in land, or something similar, for the purpose of sale, he must pay zakah on it every year based on its value, that is, the value of the land or other goods. It is appraised, and he and his partners each pay zakah. If it is sold, he pays zakah for the final year. If he did not pay zakah for the previous years, he pays zakah for those years according to their respective zakah obligations, and then pays it out. However, he is not required to pay zakah on the value of the final year for the entire period. No, each year is calculated based on its value: the first year according to its value, the second year according to its value, and so on. This is because the value may change; it may be cheap at first and then become expensive, or vice versa, expensive at first and then become cheap. Therefore, he is obligated to calculate the value for each year according to that year, and based on that, he pays the zakah, which is one-quarter of a tenth of the value, or 2.5 percent of the value each year.
A questioner asks about money invested in land, specifically land shares, which were 1,000 riyals. After seven years, they became 13,000 riyals. Is zakah due on the past period?
Answer:
If a person invests money as a share in land, or something similar, for the purpose of sale, he must pay zakah on it every year based on its value, that is, the value of the land or other goods. It is appraised, and he and his partners each pay zakah. If it is sold, he pays zakah for the final year. If he did not pay zakah for the previous years, he pays zakah for those years according to their respective zakah obligations, and then pays it out. However, he is not required to pay zakah on the value of the final year for the entire period. No, each year is calculated based on its value: the first year according to its value, the second year according to its value, and so on. This is because the value may change; it may be cheap at first and then become expensive, or vice versa, expensive at first and then become cheap. Therefore, he is obligated to calculate the value for each year according to that year, and based on that, he pays the zakah, which is one-quarter of a tenth of the value, or 2.5 percent of the value each year.
Source
binbaz.org.sa
The Arabic text is copied verbatim from the original source, without any edits.