Should I Pay Zakat on a Gift?
Hanafi Fiqh
Answered by Ustadh Sufyan Qufi
Question
I don’t have much money in cash, but I received some gold as a wedding gift from friends and family, as is our custom. Now I’m paying zakat on that gold, despite not having the financial means to buy it in the first place, and now have no savings after paying the zakat. Is it necessary for me to pay zakat on it because it was all a gift?
Answer
In the name of Allah, Most Compassionate, Most Merciful,
I pray this finds you in the best of states. The
The gold that has been gifted to you has entered your ownership as soon as you have accepted the gift and taken physical possession of it. [Quduri, Mukhatasar]
Zakat is due on a sane adult Muslim as soon as one lunar passes after a wealth that has a value of more than the zakatable minimum (nisab) has entered the ownership of this believer. [Ibid.]
Thus, if the gold that has been gifted to you, has a value that is more than the nisab, you will have to pay zakat on it.
Please see this answer for more details:
How Do I Determine How Much Zakat I Owe?
If you prefer to avoid this situation, simply sell the gold.
Allah, Most High, says: “Establish prayer, and pay zakat. Whatever good you send forth for yourselves, you will find its reward with Allah.” [Quran, 2:110]
And Allah knows best.
Wassalam
[Ustadh] Sufyan Qufi
Checked and Approved by Shaykh Faraz Rabbani
Ustadh Sufyan Qufi is an advanced seeker of knowledge, originally from Algeria, who grew up in France. He began searching far and wide for answers to the fundamental questions of life and was disappointed at the answers he found. Then he connected with various traditional teachers and gradually connected with SeekersGuidance. He embarked on his journey of learning through the various teachers at SeekersGuidance, including his mentor Shaykh Faraz Rabbani. He studied numerous texts in Islamic Law, Theology, Hadith, and other areas with Shaykh Faraz Rabbani and other teachers, including Shaykh Abdurrahman al-Sha‘ar, Shaykh Ali Hani, and others. He is an active instructor at SeekersGuidance and answers questions through the SeekersGuidance Answers Service.