Q: 37 – Title: I have invested R30 000 of my personal savings in the Albaraka Equity Fund. This investment was made in July 2007. I would like to know if I am required to pay zakaah now on this amount.

Question

As-salaam-u-alaikum

I have invested R30 000 of my personal savings in the Albaraka Equity Fund. This investment was made in July 2007. I would like to know if I am required to pay zakaah now on this amount. Jazaakallah

Answer

In the name of Allah, Most Gracious, Most Merciful

Assalaamu `alaykum waRahmatullahi Wabarakatoh

Hereunder are some basic rules of Zakaat:

Zakaat will be wajib (compulsory) upon a person who possesses the amount of nisaab, over and above his basic needs, and this wealth remains in his possession for a complete lunar year. The fluctuation of nisaab during the course of the year will not be taken into consideration. Zakaat will be calculated on the wealth he possesses at the end of the year.

If a person possesses the full nisaab and also has debts which are equal to the nisaab, zakaat will not be wajib upon him. Similarly, if the debts are such that if he were to fulfil his debts the remainder of the wealth will be less than the nisaab, then too zakaat will be wajib upon him.

( وسببه ) أي سبب افتراضها ( ملك نصاب حولي ) نسبة للحول لحولانه عليه

( قوله : نسبة للحول ) أي الحول القمري لا الشمسي

( قوله : لحولانه عليه ) أي لأن حولان الحول على النصاب شرط لكونه سببا ، وهذا علة للنسبة

(Radul Muhtar Vol. 2 Pg. 259 – H.M. Sa’eed Company)

هي تمليك مال مخصوص لشخص مخصوص فرضت على حر مسلم مكلف مالك لنصاب من نقد ولو تبرا أو حلييا أو آنية أو ما يساوي قيمته من عروض تجارة فارغ عن الدين وعن حاجته الأصلية ولو تقديرا . وشرط وجوب أدائها حولان الحول على النصاب الأصلي وأما المستفاد في أثناء الحول فيضم إلى مجانسه ويزكي بتمام الحول الأصلي

(Hashiyat-u-Tahtawi ‘ala Maraqil Falah Pg.715 – Darul Kutub Al Ilmiyyah)

Bahishti Zewar Pgs: 22-27 (Maktabah Thanvi Deoband)

Under the light of the above-mentioned, you are required to pay zakaat on the R30000 you have invested in the equity fund, if this amount is over and above your basic needs and you don’t have debts that engulf this amount.

We have not commented on the amount acquired from the equity fund as it was not asked in the query. However, find attached our views regarding the Al Baraka equity fund.

And Allah knows best

Wassalam

Ml. Abu Yahya,
Student Darul Iftaa

Checked and Approved by:

Mufti Ebrahim Desai
Darul Iftaa, Madrassah In'aamiyyah