Zakat on money waiting to receive
In the name of Allah, the most Beneficent, the most Merciful.
Answer
One of the conditions for zakat to be compulsory is that the money has to be in one’s own possession. Zakat is not compulsory upon that wealth, which is not in one’s in ownership or possession or which is in one’s possession but not in one’s ownership. (Ilmul Fiqh p.21 v.4)
From the above principle we can establish that as long as you have not received money from the client zakat would not be obligatory on that amount at this particular time. (Fatawa Darul Uloom Deoband p.99 v.6)
If a person is in such a business or trade where money is outstanding to him, then such a person will have to give zakat on this money only after it has been received by him. (Apke Masail p.373 v.3)
Only Allah Knows Best
Mohammed Tosir Miah
Darul Ifta Birmingham.
