Zakaat On Dead Stock


I was told recently that I was supposed to pay zakaat on old stock?

I urgently need clarity.


All goods purchased with the intention of resale are Zakaatable even though some goods may be old and referred to as ‘dead stock’ or stock that is redundant, as it still forms part of your goods of merchandise and is  available on your shelves (for resale). 

In simple terms, such stock also forms part of your Zakaatable assets. This is what was possibly meant that Zakaat is payable on ‘old stock.’ So whatever its market value may be (it could be even less than your cost price due to it being dead stock), you should add that value to your Zakaatable assets and then deduct your liabilities (current debts, etc.) before you evaluate whether you are liable to pay Zakaat on your total Zakaatable assets or not.

Checked and Approved By:

Mufti Muhammed Saeed Motara Saheb D.B.

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