Eligibility of Zakaah
QUESTION:
We are a Zakaah organization. An applicant has approached us for Zakaah funds. This applicant has R700,000 in a fixed deposit, and receives about R5000 interest, monthly. Would this person qualify to receive Zakaah?
ANSWER:
In order for Zakaah to be correctly discharged, it must be given to someone who is eligible to receive it. A person is only eligible to receive Zakaah if they do not possess the Nisaab of Zakaah [ ]. The Nisaab is equivalent to 612.36 grams of silver, or 87.48 grams of gold, or its equivalent value in cash or trade stock.
Therefore, after deducting liabilities such as outstanding debts, unpaid rent, and other due bills, if a person does not own the Nisaab (i.e. 612.36g silver or 87.48g gold) or its equivalent in cash, trade stock, etc., nor do they own excess assets beyond their basic needs — such as an additional house, extra furniture or clothing, ornaments, etc. — then such a person qualifies to receive Zakaah.
In reference to the queried scenario, it is important to note that it is impermissible in Islam to invest one’s money in a fixed deposit that generates interest. However, assuming an individual has already done so—perhaps out of ignorance regarding its impermissibility—and the funds are currently tied up in a fixed deposit, such a person would still not be eligible to receive Zakaah.
This is because, in most cases, if not all, fixed deposits can be terminated prior to maturity, albeit with certain penalties, such as the forfeiture of further interest earnings [ ]. Therefore, despite the funds being in a fixed deposit, the individual still has access to the capital if they choose to withdraw it.
Accordingly, a person who has R700,000 in a fixed deposit does not meet the criteria of Zakaah eligibility, as they possess wealth above the Nisaab and have access to it, even if not immediately liquid. Hence, such an applicant would not be entitled to receive Zakaah.
بَابُ الْمَصْرِفِ أَيْ مَصْرِفِ الزَّكَاةِ وَالْعُشْرِ… (هُوَ فَقِيرٌ، وَهُوَ مَنْ لَهُ أَدْنَى شَيْءٍ) أَيْ دُونَ نِصَابٍ أَوْ قَدْرُ نِصَابٍ غَيْرِ نَامٍ مُسْتَغْرِقٍ فِي الْحَاجَةِ.
الفتاوى الهندية (1/ 189)
لَا يَجُوزُ دَفْعُ الزَّكَاةِ إلَى مَنْ يَمْلِكُ نِصَابًا أَيَّ مَالٍ كَانَ دَنَانِيرَ أَوْ دَرَاهِمَ أَوْ سَوَائِمَ أَوْ عُرُوضًا لِلتِّجَارَةِ أَوْ لِغَيْرِ التِّجَارَةِ فَاضِلًا عَنْ حَاجَتِهِ فِي جَمِيعِ السَّنَةِ هَكَذَا فِي الزَّاهِدِيِّ وَالشَّرْطُ أَنْ يَكُونَ فَاضِلًا عَنْ حَاجَتِهِ الْأَصْلِيَّةِ، وَهِيَ مَسْكَنُهُ، وَأَثَاثُ مَسْكَنِهِ وَثِيَابُهُ وَخَادِمُهُ، وَمَرْكَبُهُ وَسِلَاحُهُ، وَلَا يُشْتَرَطُ النَّمَاءُ إذْ هُوَ شَرْطُ وُجُوبِ الزَّكَاةِ لَا الْحِرْمَانِ كَذَا فِي الْكَافِي. وَيَجُوزُ دَفْعُهَا إلَى مَنْ يَمْلِكُ أَقَلَّ مِنْ النِّصَابِ، وَإِنْ كَانَ صَحِيحًا مُكْتَسَبًا كَذَا فِي الزَّاهِدِيِّ
ALLAH TA’ALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST!
ANSWERED BY:
Mufti Abdur Rahman Abdur Razak
Date: 13 Safar 1447 / 07 August 2025
CHECKED AND APPROVED BY:
Mufti Yacoob Vally Saheb