The Ruling on the Zakah of a Debt Owed by a Person in Financial Difficulty

Question:
If a loan becomes due from a person in financial difficulty, and a lunar year has passed, is there zakah on it?

Answer:
If he is weak and in financial difficulty, there is no zakah on him according to the correct view. There is no zakah on a debt owed by a person in financial difficulty. It is obligatory to grant the person in financial difficulty a respite; he should not be harmed. He must fear Allah until he repays it. He must fear Allah, work, seek means, and strive. He is not to borrow, sit idle, and say, "I am in financial difficulty," and leave it at that. He must strive by taking the necessary steps and be eager to repay. If he strives, Allah will help him and repay it on his behalf. This is because the Messenger (peace and blessings be upon him) said: Therefore, the person in financial difficulty should not rely on his financial difficulty and sit idle; rather, he should seek means, work, and strive until he repays his brothers who lent him money or to whom he owes a debt.

Question: And if he repays the loan to its owner?

Answer: The correct view is that there is no making up of zakah. Some people say that he should pay zakah for one year, and this is narrated from 'Umar ibn 'Abd al-'Aziz.