QUESTION:
If we have a retirement annuity and it will only be accessible in about 5 years time, do we have to take out Zakaat on the annuity?
ANSWER:
If the policy is an involuntary policy which was enforced upon by one’s employer, then Zakaat will only be due upon maturity. However, if the policy was a voluntary policy which the subscriber voluntarily subscribed to, then Zakaat will be due on a yearly basis on one’s stipulated Zakaat date.
ALLAH TA’ALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST!
ANSWERED BY:
Mufti Mohammed Desai Saheb
Date: 12 Dhul Qa’dah 1445 / 21 May 2024
