A paper presented to the Second Session of the International Islamic Fiqh Academy
This document is about the various views among jurists regarding the payment of zakat on debts in Islamic law.
According to Ibn Ḥazm, zakat is not obligatory on a debtor unless they possess an amount equal to the niṣāb and it has been with them for a year.
Zakat is not obligatory on the creditor unless they possess the debt and it remains with them for a year.
The preferred view, according to Ibn Ḥazm, is that zakat on debt is obligatory on the creditor, but they will not be asked to pay it from their existing wealth unless they are sure of receiving the debt.
There is disagreement among jurists regarding zakat on debt, with some believing there is no zakat on debt and others believing it should be paid by either the debtor or the creditor.
The Hanafi, Shafi’i, and Hanbali schools have different rules for zakat on debt, categorizing debt and determining when zakat should be paid.
