I will like to no ahkam,ruling on paying zakat on shares how do we pay zakat on it.ANSWER: ?
Shares are of many kinds:
a) Shares bought for resale purposes. Zakaat is compulsory to be discharged on the current market value of the shares purchased for capital gain, which is to be resold in future when the value increases.
b) If a person purchases shares in order to receive dividends and not with the intention of resale, then Zakaat is compulsory on the cash and stock of the company only and not on the buildings and other immovable attachments. Example: If 40% of the company’s full assets are in the form of cash and stock and 60% is in its structures and fixtures etc., then 2.5% must be discharged on the 40% of the full market value of the shares and not on the 60%. If it is not possible to determine the percentage due to the delay of the company’s balance sheet or others, then 2.5% of the person’s full share must be discharged as Zakaat.
And AllãhTa’ãla knows best
Attested to as correct by:
Mufti Muhammed Ashraf
13March 2011 / 27 Rabi’ul Awal 1432