Question:
What is the Zakat on a Shariah-compliant investment account based on Wakalah?
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
The Answer:
Zakat on a Shariah-compliant investment account depends on the nature of the investment. If such investments are made into Shariah-compliant money market products, the entire amount in one’s account will be Zakatable. However, if investments are made into Islamic securities or Shariah-compliant unit trusts, the Zakat liability will depend on the precise underlying assets.
And Allah Ta’ālā Alone Knows Best
Mufti Faraz Adam,
Shariah Advisor
Amanah Finance Consultancy
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