How can I calculate the zakat on money in stock market?
If I owe people money, & people also owe me money but are not paying it and I have money in the stock market. How do I calculate what I have to pay?
• Zakat on money
Calculate the money that is actually in your possession, deduct the value of your debts and pay zakat on the remaining sum. Zakat is obligatory if it meets the following conditions:
- It has reached nisab (i.e. minimum amount on which zakat is due). Nisab equals the value of 85 grams of 21 carat gold according to the market price.
- It is surplus to your basic needs.
- One lunar year has passed over its possession.
According to the opinion of Maliki scholars, it is obligatory to pay zakat on the debts owed to you for only one year after you recover them.
Zakat becomes obligatory on commercial shares according to their market value on the day they complete one lunar year after their purchase if they meet the above mentioned conditions of zakat. There is no zakat on service, production and industrial shares.