Check below answers in case you are looking for other related questions:

My question is that I have amount of money that reaches Nisab, I used part of it to buy stock.

Mu' meneen Brothers and Sisters,

As Salaam Aleikum wa Rahmatullahi wa Barakatuh. (May Allah's Peace, Mercy and Blessings be upon all of you)

 

One of our brothers/sisters has asked this question:

Assalamu Alaikum


My question is that I have amount of money that reaches Nisab, I used part of it to buy stock, shortly after, the time to give out zakat come, am I going to payout only on the money I have with me, or I will include the one I invested in the stock market, even though the investment did not reach one year? Note that the money I invested are part of the money that met one year, but the investment itself did not reach one year of investment.

Thank you 

 

(There may be some grammatical and spelling errors in the above statement. The forum does not change anything from questions, comments and statements received from our readers for circulation in confidentiality.)


 

Answer:

 

Zakah

In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is none worthy of worship but Allah Alone, and we bear witness that Muhammad (saws) is His slave-servant and the seal of His Messengers.

 

If the total net worth of any believer (man, woman, or child) is more than the prescribed nisaab (app. 85 grams of gold or app. Value US$2,100.00), then the person is liable to pay the obligatory zakah at 2.5% on their excess wealth which has been in their possession for a full calendar year.

 

Lets assume that you had 10,000.00 cash at the beginning of the calendar year, and half-way through the year you decided to invest 5,000.00 of that into the stock market. At the end of the calendar year you would be liable to pay zakah on the 5,000.00 cash with you, plus the market value of your investment of 5,000.00 which you made in the stock market.because it is you who is the inherent owner of both your cash and your investments.

 

Whatever written of Truth and benefit is only due to Allahs Assistance and Guidance, and whatever of error is of me alone. Allah Alone Knows Best and He is the Only Source of Strength.

 

Your brother and well wisher in Islam,

 

 

Burhan

 


Related Answers:

Recommended answers for you: