Zakaath, - Dought&clear, - * Should the equipment in a store be included whencalculating zakaah?

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I want to ask about zakaah, I have a store selling stationery and offering services for students. I have read about zakaah on trade goods when one year has passed, but there is a question about student services – should photocopying equipment be included when calculating zakaah, as it is very costly?.
Praise be to Allaah.
Firstly:
You have to pay zakaah on all the wealth that you have in the form of cash or products offered for sale in the stationery store after one full (Hijri) year has passed, if their value meets the minimum threshold for zakaah (nisaab).
Fataawa al-Lajnah al-Daa’imah, 9/313.
Secondly:
The nisaab is twenty mithqaal of gold, i.e., eighty-five grams; or one hundred and forty mithqaal of silver (i.e., 595 grams). The equivalent in Saudi dirhams of silver is fifty-six riyals.”
Fataawa al-‘Uthaymeen, 18/93.
If the value of the goods offered for sale, plus the cash money that you have is equal to one of these two nisaabs, gold or silver, then you have to pay zakaah.
Fataawa al-Lajnah al-Daa’imah, 9/257.
Thirdly:
How zakaah is to be calculated.
If one year has passed for the threshold, you should calculate how much money you have, and add to that the value of the goods offered for sale in the stationery store, then pay one-quarter of one-tenth (i.e., 2.5%) of the total, which you should give to those who are entitled to it of the groups mentioned in the verse (interpretation of the meaning):
“As-Sadaqaat (here it means Zakaah) are only for the Fuqaraa’ (poor), and Al-Masaakeen (the poor) and those employed to collect (the funds); and to attract the hearts of those who have been inclined (towards Islam); and to free the captives; and for those in debt; and for Allaah’s Cause (i.e. for Mujaahidoon — those fighting in a holy battle), and for the wayfarer (a traveller who is cut off from everything); a duty imposed by Allaah. And Allaah is All-Knower, All-Wise”
[al-Tawbah 9:60]
The value of the goods on sale in the stationery store should be based on the price for which they are sold, not the price for which they were bought. See question no. 26236.
Fourthly:
With regard to the photographic equipment, there is no zakaah on it, unless you have prepared it for sale.
Shaykh Ibn Baaz (may Allaah have mercy on him) said:
There is no zakaah on items that are for use, whether they are tools or other things. The basic principle is that whatever is prepared for sale is that on which zakaah is due. Tools or equipment used in the store are not subject to zakaah.
Fataawa Ibn Baaz, 14/184.
And Allaah knows best.

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Zakaath, - Dought&clear, - * He bought some land in order to sell it after awhile – how should he pay zakaah on it?

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How should zakaah be paid on land which was bought with the aim of leaving it for a while then selling it?.
Praise be to Allaah.
If a person has bought land with the intention of selling it after a while, one of the following two scenarios must apply:
1 – He aims to save the money so that he will not spend it on anything else, but he does not intend to trade or make a profit. In this case there is no zakaah on the land.
See question no. 34802
2 – He does intend to trade and make a profit, in which case this land comes under the heading of trade goods, so zakaah must be paid on it.
The value of trade goods should be worked out at the end of one year on the basis of their current value, not the price for which they were bought, and the zakaah must be paid on them. The rate of zakaah that must be paid is one-quarter of one-tenth, i.e., 2.5%.
For example: if you bought land for one hundred thousand riyals, and when zakaah becomes due on it its value is now one hundred and fifty thousand riyals, then when one year had passed you must pay the zakaah of one hundred and fifty thousand riyals. The converse also applies. If you bought it for one hundred thousand riyals and when one year has passed its value is now only fifty thousand riyals, then you only have to pay zakaah on fifty thousand riyals.
SeeFataawa al-Lajnah al-Daa’imah, 9/334;Fataawa wa Rasaa’il al-ShaykhIbn ‘Uthaymeen, 18/205, 236
Note:
It should be noted that the year for reckoning zakaah on trade goods does not begin from the time one bought the land or other product, rather it begins from the time when the wealth with which you bought those goods reached the nisaab (minimum threshold).
Based on this, the year for this land is the year for the money with which you bought it.

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Zakaath, - Dought&clear, - * Is the value of trade goods based on the selling price or the purchase price?

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When working out the zakaah on trade goods, is it based on the purchase price or the selling price?.
Praise be to Allaah.
The value of trade goods is worked out at the end of the year, based on the price for which the owner would sell them.
This is what is fair, for the value to be based on the selling price, which may be lower or higher than the purchase price, because at the end of the year, a person pays zakaah on the wealth that he has.
Ibn Qudaamah said inal-Mughni(4/249)
Whoever owns trade goods and one year has passed, and they reach the nisaab, should work out their value at the end of the year. If they reach the nisaab, he should pay zakaah, which is one-quarter of one-tenth of their value. End quote.
It says inal-Mawsoo’ah al-Fiqhiyyah(13/171):
The trader should not work out the value of his trade goods on the basis of the price of one who is forced to sell his products. Rather he should base it on the price which he would get if he sold it without being under great pressure. End quote.
So the values should be based on the selling price at the end of the year.
Shaykh Ibn ‘Uthaymeen (may Allaah have mercy on him) said:
In the case of land which is bought in order to be sold, the owners usually wait for the price to increase. These are trade goods, and the value of trade goods should be worked out when one year has passed, then one-quarter of one-tenth should be paid.
It makes no difference whether the value of the land is the same as the price you bought it for or not. If we assume that a man bought some land for one hundred thousand, and when one year has passed it is worth two hundred thousand, then he must pay zakaah on two hundred thousand. If the opposite happened, and he bought it for one hundred thousand and after one year has passed it is worth fifty thousand, then he only has to pay zakaah on fifty thousand, because what matters is the value at the time when zakaah becomes due.
Majmoo’ Fataawa Ibn Uthaymeen, 18/205; see also 18/240
The Standing Committee was asked: In the case of land that has been bought for trade, how should the zakaah be worked out? Is it based on the purchase price or on the market value at the time when one year has passed and the zakaah is due?
They replied:
Land which has been bought to sell comes under the heading of trade goods, and the general principle in Islamic sharee’ah is that the value of trade goods should be worked out after one year has passed, according to their market value, regardless of the purchase price, and regardless of whether the market price at the time when zakaah becomes due is more or less. The zakaah should be paid on their value, and the rate of zakaah is one-quarter of one-tenth. In the case of land that is worth one thousand riyals, for example, the zakaah is twenty-five riyals, and so on. End quote.
Fataawa al-Lajnah al-Daa’imah, 9/324
It also says inFataawa al-Lajnah al-Daa’imah(9/319):
The shar’i way is to evaluate the trade goods that one has at the end of the year according to their market value at the time when zakaah becomes due, regardless of the purchase price. End quote.
Based on this, if the trader sells wholesale or retail, the value of the goods that he has should be based on the price for which he sells them.
Shaykh Ibn ‘Uthaymeen (may Allaah have mercy on him) was asked: It is known that what matters is the value of the goods at the time when zakaah becomes due. But even at the time when zakaah becomes due, the price varies between wholesale and retail. Should we look at the wholesale price or the retail price?
He replied:
If the trader deals in wholesale, he should look at the wholesale price, and if he deals in retail, he should look at the retail price. End quote.
Majmoo’ Fataawa Ibn ‘Uthaymeen, 18/233








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Zakaath, - Dought&clear, - * Are printing materials subject to zakaah?

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There is a man who owns a printing press. Is zakaah due on the materials and equipment in the printing press and on what he produces, or is zakaah due only on the products?.
Praise be to Allaah.
Firstly:
In the answer to question no. 74987we have stated that manufacturing equipment, materials and tools which are intended for use and not for sale are not subject to zakaah. Rather zakaah is due on the profits that result from using these tools and equipment, if it reaches the nisaab and one full hijri year has passed.
Based on that, these materials in the printing press are not subject to zakaah.
Shaykh Ibn Baaz (may Allaah have mercy on him) was asked a similar question and he replied:
Zakaah must be paid by the owners of printing presses and factories etc on the things that are prepared for sale; as for the things that are prepared for use, no zakaah is due on them. The same applies to cars, furniture and vessels that are prepared for use; no zakaah is due on them, because of the report narrated by Abu Dawood (may Allaah have mercy on him) with a hasan isnaad from Samurah ibn Jundub (may Allaah have mercy on him) who said: The Messenger of Allaah (peace and blessings of Allaah be upon him) used to command us to pay zakaah on that which we had prepared for sale. End quote.
Majmoo’ Fataawa Ibn Baaz, 14/186-187
Shaykh Ibn ‘Uthaymeen was asked about a man who had a laundry, and some people said to him: You have to pay zakaah on the equipment that you have. Is this correct?
He replied: Zakaah is to be paid on trade gods, which are things that a person buys and sells, and whenever he thinks he can earn something he sells it and whenever he thinks he will not earn anything he does not sell it. Laundry materials are not regarded as trade gods, because the owner of the laundry wants to keep them with him, so they come under the same heading as what a man keeps in his house such as furniture, vessels and so on. So zakaah is not due on them. Whoever told him that zakaah is due on them is mistaken.
Majmoo’ Fataawa Ibn ‘Uthaymeen, 18/207
Secondly:
Zakaah is due on the profits of this printing press if they reach the nisaab and one full hijri year passes; one quarter of one tenth must be paid, i.e., 2.5 %.
Thirdly:
There are some of the goods owned by the printing press that are regarded as trade goods; this includes everything that the printing press buys with the aim of re-selling it after making some changes to it, such as paper, ink, materials used for binding books, and books owned by the printing press which they print in order to sell, etc.
All of these things are regarded as trade goods, so their value should be calculated at the end of every year, and zakaah paid at a rate of 2.5 per cent.
SeeMajallat al-Majma’ al-Fiqhi, 4/1/735, article by Dr. Wahbah al-Zuhayli.

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