What is zakat paid on, and what is exempt?
The question as asked, details removedDo I pay zakat on my house, car and furniture, or only on money and gold?More
This is a sample answer written to show how the site works. It follows the standard Hanafi books, but no mufti has reviewed or signed it yet, so it is not a fatwa. For a real answer, ask a question. Ask a mufti
بِسْمِ اللهِ الرَّحْمٰنِ الرَّحِيْمِ اَلْجَوَابُ بِعَوْنِ الْمَلِكِ الْوَهَّابِ اَللّٰهُمَّ هِدَايَةَ الْحَقِّ وَالصَّوَابِ
1Short answer
Zakat is 2.5% of gold, silver, cash, bank balances, trade goods and money owed to you that you expect to recover. There is no zakat on the house you live in, your car for personal use, furniture, clothes, or the tools of your work.
2Detailed answer
Zakat is one-fortieth (2.5%) of the zakatable wealth owned at the end of the year:
- Gold and silver, in any form, at their current selling value.
- Cash at home and money in bank accounts.
- Trade goods: anything bought with the intention of selling it, at its current market value.
- Money lent to others that you expect to get back.
There is no zakat on:
- The house you live in, even if it is large.
- A car, phone or computer for personal use.
- Household furniture, clothes and utensils.
- Tools, machines and premises used to earn a living.
- Property kept for rent: zakat is due only on the rent money that is saved.
3Evidence and sources
- Qur'an, At-Tawbah 9:34
- Sahih al-Bukhari, Book of Zakat
- Sunan Abi Dawud, Book of Zakat
- Bahar-e-Shariat, chapter on zakat
Arabic texts, translations and how the ruling was derived
والذين يكنزون الذهب والفضة ولا ينفقونها في سبيل الله فبشرهم بعذاب أليم
Meaning: Those who hoard gold and silver and do not spend it in the way of Allah, give them news of a painful punishment.
ليس على المسلم في عبده ولا فرسه صدقة
Meaning: A Muslim owes no zakat on his slave or his horse.
The verse makes zakat due on gold and silver. The hadith exempts things kept for personal use, and Sayyiduna Samurah reports that the Prophet ﷺ told them to pay zakat on goods kept for sale.
وَاللهُ أَعْلَمُ عَزَّوَجَلَّ وَرَسُوْلُهُ أَعْلَمُ صَلَّى اللهُ تَعَالٰى عَلَيْهِ وَآلِهِ وَسَلَّمَ