Buloogh al-Maram – The Book of Zakah, Lesson 12- Hadeeth 501

share this pageShare Page
Tim Humble

Channel: Tim Humble

Series:

Episode Notes

Episode Transcript

© No part of this transcript may be copied or referenced or transmitted in any way whatsoever. Transcripts are auto-generated and thus will be be inaccurate. We are working on a system to allow volunteers to edit transcripts in a controlled system.


00:00:00--> 00:00:01

Kamala Harris

00:00:43--> 00:00:44

come roll cases.

00:00:59--> 00:01:07

hamdu Lillahi Rabbil alameen wa Salatu was Salam ala de la he was solely Nabina Muhammad wa ala alihi wa sahbihi ajmeri.

00:01:11--> 00:01:47

So we continue inshallah, to Allah with our discussion on ruled a tiara, the Zakah, that is due upon business goods. And what remains for us to talk about is to talk about some of the Messiah, that are related to road at ijarah some things that we hadn't yet discussed, or maybe we discussed them briefly, but we didn't get into the details of them, or we weren't able to cover all of the aspects of them.

00:01:49--> 00:02:04

So, the very first thing that we have to cover is, do you pay Zakah on business goods in cash, according to their value? Or do you pay out of the business goods themselves,

00:02:05--> 00:02:10

this is a matter that the scholars differed over

00:02:12--> 00:02:14

and the Hanafi year

00:02:15--> 00:02:32

and then Mr. Musharraf, he in one of the opinions, that is Nord from him, they held the opinion that it is permissible to pay visakha out of the

00:02:33--> 00:02:35

business goods themselves.

00:02:38--> 00:02:39

And the majority

00:02:40--> 00:02:42

from the molokhia

00:02:43--> 00:03:04

and the chef Maria, in one opinion, and from the HANA Villa, they held the opinion that it is not permissible you have to pay in cash. And they use the evidence of the Hadith called women from at DISA Cata. co We

00:03:05--> 00:03:08

value your goods, then pay the worker

00:03:09--> 00:03:19

and the evidence of value, they value your goods, how we make for them a cleaner make for them a cash value, then pay this a car on them

00:03:21--> 00:03:22

in cash,

00:03:24--> 00:03:29

a cash value, then pay the car on them in cash.

00:03:32--> 00:03:49

And it seems to me and ally xojo knows best that arogya the more correct of the two opinions is that it is permissible. And that is what she was saying to me or him allowed to Allah He said, Yeah, Jules mirages, Mirage, Zachary Taylor ruled

00:03:51--> 00:03:55

out, then it is permissible for you.

00:03:56--> 00:04:11

It is permissible for you to pay the Zakah on business goods, it is permissible for you to pay that Zakah on business goods out of the goods themselves.

00:04:14--> 00:04:56

However, what we would say is that the safer opinion for the one who is able is that the person should pay in cash. But let's say they don't have that cash available to them, which it could be the case, they don't have the cash available to them. Then in this case, they have to pay from the goods that they have available to them. Or they can sell the goods and they can use the cash to pay there's a cat that is the first issue that we wanted to deal with on that issue.

00:05:02--> 00:05:03

The second

00:05:06--> 00:05:08

issue that we want to deal with

00:05:10--> 00:05:14

is the issue of joining together.

00:05:15--> 00:05:18

Money and business goods.

00:05:21--> 00:05:30

joining together money and business goods. So the business has really three things that need to be considered for soccer.

00:05:31--> 00:05:34

The first thing that needs to be considered for soccer

00:05:35--> 00:05:45

is the cash that is available to the business. The cash at what do they call in accounting cash at hand,

00:05:46--> 00:05:48

the cash at hand.

00:05:51--> 00:06:00

in accounting terms in English, they call it we're not talking about right so now we're talking about the money that is a new food,

00:06:02--> 00:06:09

the new code which is present within the company, the cash assets of the company.

00:06:10--> 00:06:25

The second thing is the old a tiara, the business goods that are available for the company. So the company has cash assets, and it has business goods.

00:06:26--> 00:06:37

That's the second thing. And the business goods we sell, it doesn't matter whether they are produced or raw materials, it doesn't matter if they are raw materials. So he bought

00:06:39--> 00:06:56

material to sew clothing. The material is also part of it. And the ready made clothing which is sewn is also part of it. And the third thing that the company has is the company has a do Yun Elmo judwaa

00:06:57--> 00:07:07

they have debts that are owed to them, that they believe will be given back.

00:07:09--> 00:07:15

And this isn't the messala of debt is a different issue that we will talk about later if we haven't talked about it already.

00:07:16--> 00:07:22

But generally, the debts which are expected to be paid back.

00:07:23--> 00:07:32

In other words, the person you know, we're confident Sharla the person is going to pay that debt back inshallah to Allah, next week, next month, and so on.

00:07:34--> 00:07:41

So those are the three things that the company has to look at. And all of them get put

00:07:42--> 00:08:24

get put together, all of them get put together when looking at the car, which is June, how much is this a car there's a car is Robert Aldershot, a quarter of a 10th 2.5% What does the minimum amount have to reach at the total of the debts which are expected to be paid back plus the cash at hand plus the value of the business goods, you add up the total if it is more than the value of 595 grams of silver, then you have to pay zakat on it and you pay two and a half percent.

00:08:27--> 00:08:40

We had already explained that there is no Zakat due upon the things that the business does not prepare for sale. So business has equipment.

00:08:41--> 00:08:55

Right. And they have fixed assets and they have things that they have bought to use not to sell. So for example, let's take the example of a factory.

00:08:57--> 00:09:02

Let's take the example of a factory. This factory produces clothing.

00:09:04--> 00:09:16

In the factory there are machines to make the clothing stitch the clothing. These machines have no the kaiju upon them because they are not more in depth.

00:09:17--> 00:09:19

Or they are not.

00:09:20--> 00:09:30

They are not something which has been like they say you I do little bear they are not something which has been prepared for sale.

00:09:31--> 00:09:42

The business has the factory that they bought but the factory is not prepared for sale right the factory is not ready for sale. The factory is just for putting the machines in.

00:09:43--> 00:10:00

Will they sell it later on maybe but that doesn't matter does it? We said it doesn't matter if they sell it later on. Because for something to be from around the tiara from the business goods. It has to be we bought for the entire

00:10:00--> 00:10:02

tension of selling is

00:10:04--> 00:10:30

not something that you happen to sell later on. Someone says, oh, maybe they will sell the factory in two years, maybe. But they didn't buy the factory for the price to go up so that they could sell the factory. So there is no record you upon their factory, there is no as a kaiju upon their machinery, there is no Zakah do upon the things that they are using, but they're not selling.

00:10:32--> 00:11:07

They are using them, but they're not selling them. But they do have raw materials, it's a clothing factory. So they have war material, whether it is silk, or cotton, or polyester, they have raw material, and they have finished goods, the goods are coming off the line. And they are coming into you know the boxes and they're ready finished goods. So the finished goods are a part of that. And likewise, the

00:11:08--> 00:11:10

raw materials are a part of that.

00:11:12--> 00:11:53

Now remember here, that the whole, the time to start starts when the money is prepared for purchasing those things. So in reality, it doesn't really matter whether the business sells or doesn't sell, if they don't sell for a year, those things then they become eroded to Java which zakkai is due upon them. And if they sell them, then the profit that they make from it is also going to become accountable for the zecca except what they only invest again into something else.

00:11:55--> 00:12:13

But when you invest into something else, and this is this is the next point that I want to deal with, which is what they call an island was deferred. We mentioned it last week, but just to emphasize it, the money that you get or profit you get from the original

00:12:15--> 00:12:21

amount. So let's say here, the factory took an investment of 10,000 pounds.

00:12:23--> 00:12:29

With that 10,000 pounds, they bought clothing, they bought the raw materials, polyester, cotton.

00:12:30--> 00:12:33

And they started to make things with it.

00:12:35--> 00:12:40

And they sold some of those things. And they made a profit from it.

00:12:42--> 00:12:51

And again, later on, they use that money and they bought something and then they sold it, they made a profit from it. It's all coming from the original

00:12:52--> 00:12:57

amount, right? It's all coming from the same thing.

00:12:58--> 00:13:12

In this case, the year that is counted is the first year, not the not it doesn't get a new year, every time they buy and sell something. It continues to be due at the time of

00:13:13--> 00:13:16

the first year. That's the wealth that is gained during that year.

00:13:17--> 00:13:39

Like we said in salary, it's not like that. So in salary every month is given a new year. Does that make sense? Every month you receive your salary, you have one fully Islamic year to pay Osaka, you receive your salary one full Islamic year, every month. But here because the money is all coming from the same

00:13:41--> 00:14:17

original amount. All of the money that is jus during the year has the same time for soccer, it doesn't have another year and another year. So they sell from their clothing. Let's give the example of the clothing factory they from the clothing they sell in month 110 percent in month 210 percent in month 310 percent in month 410 percent and so on. After 10 months, they finished selling everything. All of this is due at the same time, one year from the first investment.

00:14:19--> 00:14:40

All of it is due at the at the same time. All of it is due at the same time. It's not the case that the first month gets a year and the second month gets a year and the third month gets a year the fourth month gets a year and the fifth month gets a year all of them go in the first time by the first

00:14:41--> 00:14:49

time this account was started because they are all male Mr. Fat, they are all profit gained from the same

00:14:50--> 00:14:51

from the same thing.

00:14:53--> 00:15:00

So there is no need to give each one a different year. And so the simplest way of doing that

00:15:00--> 00:15:32

Write is to look at the investment that comes into the business start the year. And then every Islamic year after that, you're going to be paying your second. And you're not going to be counting what How much money did I receive in this month, and how much did I receive in this month, you simply get to the end of the year, you look at the cash assets, you look at the stock that you have that is prepared for sale, or the raw materials that you have. And you look at the debts which are expected to be paid back and you pays a cap on all of it.

00:15:34--> 00:15:58

Every Islamic year that goes by, and if you get some more profit coming in, then that's counted as part of the the first year and so on. And every time a year goes by, that's how you take this account every time a year goes by keep doing it again, and again. And again, and so on every time that every time that the year goes, Islamic year goes by.

00:16:00--> 00:16:06

What about different investors, different investors come into a company at different

00:16:07--> 00:16:20

at different times. So as you know, like, it's not usually always the case that the three investors come into the company at the exact same time.

00:16:21--> 00:16:28

All three investors come into the company at the exact same time.

00:16:31--> 00:16:32

In fact,

00:16:33--> 00:16:34

it might be

00:16:38--> 00:16:41

it might be, there are two issues that we need to look at here.

00:16:42--> 00:16:44

There are two issues that we need to look at here.

00:16:46--> 00:16:47

The first one is

00:16:49--> 00:16:55

a situation where there's a car comes early.

00:16:56--> 00:17:03

And a situation where there's a car could potentially be delayed. So we have multiple investors more than one person is investing.

00:17:04--> 00:17:12

The first option is that each investors year is personal to them.

00:17:13--> 00:17:16

Each investors year is personal to them.

00:17:17--> 00:17:28

So because they each brought a new amount of money, right? They brought a new amount of money. So each investor has a whole and Islamic year, which is personal to them.

00:17:30--> 00:17:40

Does that make sense? I invested in Ramadan, my zakka in that portion of the money that money that I invested. miser Chi is Ramadan.

00:17:41--> 00:17:53

First of Ramadan, another brother came, he invested in villager, his car for that portion of money that he invested is June. But he, another brother came in he invested in

00:17:54--> 00:17:57

that amount of money is June in moharan.

00:17:59--> 00:18:39

That's an example where it comes late. But they could be an example when it comes early. And that is when they say that there's a car is due on those individuals, when they got the money when they got the money to purchase the shares. So as soon as they got the money to purchase the shares, their health starts. So it might be that an investor comes along in Ramadan, but he's actually had that money to invest since How long? Maybe he's had it since Robbie an hour.

00:18:40--> 00:19:04

So his whole is actually Robin, I will not run a lot because we don't look at when he actually put the money in. But we actually look at when he first had that money available to him. And that's because really all the T Java is a branch of Zakat upon money.

00:19:05--> 00:19:07

It's an example of Zakat upon

00:19:09--> 00:19:09

upon money.

00:19:10--> 00:19:30

Okay, so this is something important that we need to bear in mind that sometimes it's the case that people pay their car late, because he looks at when he bought the shares. He looks at When did I buy the shares? He doesn't look at when did I get the money to buy the shares.

00:19:32--> 00:19:47

As soon as he had the money to buy the shares, then that becomes a part of the order to Java the cycle of business goods and trade and investment and his zeca is counted from that time.

00:19:49--> 00:19:59

It is also possible if the company or this is the next issue that we need to deal with, who pays the Zakah the company or the shareholder

00:20:00--> 00:20:21

Who pays the second the company or the shareholder? And the answer, and allies, which one was best is that in reality, either of them, but what someone has to do it, either the company can pay the sucker and be clear to the shareholders that we are going to pay visakha that is due upon this.

00:20:22--> 00:21:01

We're going to pay the cost of the company. And we talked about the sicav, the company, we're going to pay it, or they leave each owner, each shareholder to calculate their own time, and they owns the car, and they are responsible for paying. But if they gather it together, if they gather it together, so if the company does it, then there's two options. Either they gather it together, or either they keep each investor separately, if they gather it all together, what has to happen, they have to gather it together, according to the first investor, not according to a third one.

00:21:02--> 00:21:14

Because the first time it's due is the first investors. time limit, right? First investor was Ramadan, he said, I got the money in Ramadan, I put it straight into my business.

00:21:16--> 00:21:17

He said I got the money.

00:21:19--> 00:21:22

in Ramadan, I got the money in Ramadan.

00:21:23--> 00:21:33

And I put it into the business in Ramadan. Okay, this is the first investor, that means that the company is going to calculate

00:21:34--> 00:21:58

completely, if it wants to calculate all together, if it wants to just have one accounting period and bring it all together, then it has to calculate it according to the time period of the earliest investment, not according to the time period of the latest one, otherwise, each one, they can keep it individual, and it's up to the person. But if the company isn't taking care of this occur,

00:22:00--> 00:22:17

then that becomes the obligation upon the individual according to the best of their ability, or according to the money that they receive as profit from their shares, the dividends they receive from their shares, the value of their shares, and so on.

00:22:19--> 00:22:23

Have we got more to talk about in shares? Because shares come under the same ruling?

00:22:25--> 00:22:26

Let's have a look.

00:22:32--> 00:22:34

Before we deal with that, we do have another issue to deal with.

00:22:47--> 00:22:48

What about companies?

00:22:52--> 00:22:53

What about companies?

00:22:55--> 00:22:58

That are service companies?

00:23:01--> 00:23:11

What about companies that are service companies? They don't sell any products they offer a service like a maintenance company. or?

00:23:13--> 00:23:47

Yeah, let's use an example of someone has no product at all. Right? Nothing, they have no product at all, they have no order to jar. So we're not talking about a garage, a garage might have some car parts ready for sale. We do have our service company, a cleaner, for example, a cleaning company, they don't have anything they sell. We don't sell you anything. We come with our machinery, we clean your mustard, we clean your house, we clean your carpet, we don't have anything to sell, how do they give them a car, they only need to look at two things. They only need to look at cash.

00:23:49--> 00:23:52

That is that comes that is coming back to them.

00:23:53--> 00:24:28

And they only need to look at the debts which are expected to be paid. Because they don't have any old tgr they don't have any products that are prepared for sale. But maybe some of these companies have some products prepared for sale. Right? Like maybe they sell you cleaning products or maybe they sell you know bottles of carpet cleaner or something they have like something they sell so they have to count that. But let's presume that they have nothing at all. Someone who does software programming, or something like that. Says I work I'm a consultant or I'm I'm

00:24:31--> 00:24:34

like someone an engineer something I come in.

00:24:35--> 00:24:39

Yeah, I come in I do the job like an accountant or whatever I come in, I do the job.

00:24:40--> 00:24:49

And I bill you for it. I don't sell you anything. So in that case, the issue here is not an issue of royalty job but the issue is an issue of profit.

00:24:50--> 00:24:59

They look at the cash that is in hand available to the business and remember when you use that same cash

00:25:01--> 00:25:08

To buy something else, then it becomes part of the same part of the same cycle.

00:25:17--> 00:25:19

Okay, that was that issue that we wanted to deal with.

00:25:26--> 00:25:34

We already mentioned that it makes no difference whether a person makes things for themselves, or whether a person,

00:25:35--> 00:25:41

it makes no difference whether a person makes things for themselves, whether a person buys and sells things that are already made, we'd already covered that.

00:26:00--> 00:26:04

And we've covered and we just want to clarify, just to make sure that this is understood.

00:26:08--> 00:26:13

If someone bought something with the same amount of wealth, right?

00:26:14--> 00:26:21

They had that initial investment. And they bought something a year ago, and they bought something a day ago.

00:26:22--> 00:26:28

So with that initial investment, something they bought one year ago, something they bought one day ago.

00:26:30--> 00:26:33

Does the thing they bought one day ago counting as a cup,

00:26:34--> 00:26:40

or do they have to wait a year for it? So they had initial investment, they had an investment amount? Okay.

00:26:42--> 00:26:43

10,000 pounds

00:26:45--> 00:26:54

8000 pounds, they spent it on the first day, or the first week. They spent it, they bought their goods, they've been selling them they've been buying them.

00:26:55--> 00:26:58

One day before there's a car is due.

00:27:00--> 00:27:02

They bought some more of those goods

00:27:03--> 00:27:04

one day before there's a cost you

00:27:06--> 00:27:13

so they spent the other 2000 and they bought some more things to sell. Is that counted? Or do they have to wait a year?

00:27:14--> 00:27:30

What do you think it's counted, because it's from the same amount. It's from the same investment amount. So it doesn't matter whether they bought it a day ago or a year ago. At the end of the day, if a years passed since that money came

00:27:31--> 00:28:06

into their possession, then that investment came into their possession. It doesn't matter whether they bought the goods a year ago or they bought the goods a day ago, they pay the Zakat upon it all at the same time. Because it's all from the same amount of wealth that the timer has been running since they took the wealth into their possession the timer has been taking the time has been going since the time that they took it into their possession The time has been taking. And it doesn't matter whether they bought those goods. They don't say I bought this a day ago. It's not it's not included. See No. So that's why make sense. From the time of that initial investment that they run a

00:28:06--> 00:28:18

year early Islamic year, Islamic history a timer. And every year they count everything regardless of whether it was bought a day ago, whether it was bought, whether it was bought

00:28:19--> 00:28:20

a year ago.

00:28:30--> 00:28:38

And we also mentioned when we talked about cash at hand, it doesn't matter whether that cash at hand is gold, or silver or currency.

00:28:40--> 00:28:47

The cash at hand that the business has, it doesn't matter if it is gold, or silver or currency. All of it comes in.

00:28:48--> 00:28:51

All of it comes in together.

00:28:56--> 00:28:58

We'd already spoken yesterday

00:28:59--> 00:29:03

or not yesterday last week. We've already spoken.

00:29:05--> 00:29:08

The about the issue of

00:29:12--> 00:29:27

we'd already spoken about the issue of intention, and the different options for intention. So we don't need to cover that one. Now. We already spoken about intention and the different options for intention like are you buying it for the purpose of selling it or buy it for the purpose or buying it with equal purpose? We're already

00:29:28--> 00:29:30

we've already spoken about that.

00:29:51--> 00:29:55

Not one we'd already covered I think many of these issues we had covered

00:30:36--> 00:30:37

The next issue that we have to deal with

00:30:41--> 00:30:43

is the issue of a whole pa

00:30:44--> 00:30:47

the issue of separate investors,

00:30:49--> 00:31:00

is each investor considered to be separate wealth? Or are they considered to be the same wealth.

00:31:01--> 00:31:08

The example of this is a company has just reached an Aesop

00:31:10--> 00:31:12

just reached any sort just reach the minimum amount,

00:31:13--> 00:31:26

and it's owned half by one person and half of the company by another person. If each person looks at what they own, they don't own enough to pay the Zakah.

00:31:28--> 00:31:31

But if the company is looked at together,

00:31:33--> 00:31:34

then there's a case.

00:31:35--> 00:31:40

So this is a matter about which the scholars different.

00:31:42--> 00:31:47

And they differ about it upon the issue of whether this mixing

00:31:48--> 00:31:59

is considered valid outside of cattle. So as for cattle like sheep, and cows, and sheep, and cows and camels, it's counted.

00:32:01--> 00:32:18

But the question is, is it we said that already in cattle, if you and your friends have, you know, share half the sheep and half the sheep in one pasture in one place? It's counted. But now the issue is, does that affect elsewhere?

00:32:20--> 00:32:21

Does that affect

00:32:23--> 00:32:23

elsewhere.

00:32:37--> 00:32:40

And this is a matter which the scholars differ about.

00:32:44--> 00:32:46

And the Roger will love who Ireland

00:32:48--> 00:32:52

is that the wealth of the company is considered to be one

00:32:54--> 00:32:56

the wealth of the company is considered to be

00:32:58--> 00:33:00

is considered to be one

00:33:01--> 00:33:14

raw rather than considering it to be separate, separate. So an example of that you could have a company that has 1000 partners, and especially in the times of shares,

00:33:15--> 00:33:18

and maybe the individual shares

00:33:20--> 00:33:29

might not add up to the nice up, maybe some people's does. For example, let's take one of these big companies. Let's take a big company.

00:33:31--> 00:33:36

Maybe there are many, many people who only own less than 200 pounds of that company.

00:33:37--> 00:33:42

They just own 50 pound, 50 pound, 50 pound, 50 pound 50 pounds of shares.

00:33:43--> 00:33:45

If we take the opinion,

00:33:46--> 00:33:56

that whole mixing up is not counted. Then all of those people that just own 50 5050 of shares, none of them pays aka

00:33:58--> 00:34:01

the only ones who pays a car the ones who own lots of shares.

00:34:02--> 00:34:11

But if we say that it affects and that was the opinion that was taken by the majority look at Islam it was the Pinochet I'm gonna say mean Rahim Allah to Allah.

00:34:15--> 00:34:24

That's all counted as one then it doesn't matter if everyone owns 50 5050 pounds. It only matters the total cash assets, the total

00:34:26--> 00:34:32

value of goods and so on. That's what matters, not the fact that as an individual I only own

00:34:34--> 00:34:39

a small amount of msls ms. ara caleffi other scholars different over it.

00:35:10--> 00:35:11

And some of them

00:35:26--> 00:35:27

what they added to this is

00:35:29--> 00:35:30

they added to it.

00:35:32--> 00:35:35

They added to it a condition.

00:35:36--> 00:35:47

The condition they added to it is for it to be one. They said, This is when they said, This is when the

00:35:48--> 00:36:04

wealth is not visibly separable. What do we mean by that, it's not easy to set, like if each one of them has separate wealth that is an separate product. For example, let's say,

00:36:05--> 00:36:14

let's say you have a business where you have a shop selling groceries,

00:36:16--> 00:36:24

and you have a meat counter selling meat. And the meat counter is owned by different person.

00:36:25--> 00:36:42

And the grocery area is owned by a different person. Here is it not possible to see the difference, you can see which one owns this and which one owns that. So here, you can count this account separately, because it's very clear that he owns the meat section.

00:36:43--> 00:36:54

And so we can take this account of the meat section separately. And we can take this out of the grocery section separately, because it's clear that this one and this one are separate.

00:36:55--> 00:37:11

However, when the wealth is not distinguishable, you can't tell the difference between this and this. You're just sharing the same thing. I don't know which cans are minor which cans are yours, then the wealth being put together is what it's the safer opinion.

00:37:13--> 00:37:21

analyzer knows best that it is the safer opinion of the two opinions even though you're more of the opinion that you keep it you keep it separate.

00:37:30--> 00:37:33

Some most of the issues that we wanted to deal with

00:37:46--> 00:37:49

relate to old a tiara

00:38:13--> 00:38:18

there was one or two other ones I wanted to see. I see this one is I wanted to deal with this one. This is important.

00:38:33--> 00:38:36

We already mentioned that the amount should be counted at the end of the year.

00:38:55--> 00:39:03

There's one more issue that I wanted to deal with. This is the last issue from the massage. There's a lot of massage but this is the one that I wanted to deal with as it relates to investment

00:39:05--> 00:39:11

as it relates to investment is the zecca due upon the

00:39:12--> 00:39:35

value of the investment and the profit or only the profit. Let me give you in an easier way shares Is this a car jus upon the value of the shares or is this a kaiju upon the dividend or is this a kaiju upon booth that's our massada here is this a car jus upon the value of the shares. So I own

00:39:37--> 00:39:39

10,000 pounds of shares.

00:39:41--> 00:39:44

Those 10,000 pounds of shares they pay me a dividend less

00:44:51--> 00:44:52

Maybe I muted

00:44:55--> 00:44:59

okay. So, as I was saying the reason we spent so long and it is

00:45:00--> 00:45:40

I see, to be honest, a lot of people are involved in this. Many of us, even if we're not full time businessmen, a little bit of investment here, a little bit of a, you know, sharing a business here, a little bit of looking to try and invest some money in this, buying a house for the purpose of selling it, you know, maybe even trading on eBay, how many people that are, who are, you know, buying and selling on eBay, just on the side, you know, like, just buy something with the intention of selling it. But as I mentioned, eBay, then you divide into two types, right? Selling your personal stuff does not fall under audit ijarah selling your own personal things, because you're not

00:45:40--> 00:45:43

selling something you bought for the purpose of trade.

00:45:45--> 00:46:06

But the people who buy things to sell, so some of the brothers they were mentioning, they what were they saying they were saying they buy things off of Facebook marketplace, and they sell them on eBay. This falls under root two jar, it falls under a rolled a tea jar. Why? Because they bought it for the purpose of,

00:46:08--> 00:46:55

of selling it. So I wanted to cover many of the issues. I don't think I covered every issue relating to arroba. To Java, there are just too many, but I just covered the ones that I think most people probably deal with who many people deal with any shout Allahu Allah, people should ask about their own situation, to make sure the main purpose of this class is not to give a threat to individual people. But it's just to educate people that this exists. So if you are buying and selling, you know, our order to Java is you are buying things with the intention of selling them, you are investing in a business that is buying things and selling them. Or you're investing in a business to

00:46:55--> 00:47:38

make profit like shares. All of this comes under the topic of an auditor job. So you need to find out what's okay you owe and how much you owe. And you need to ask for your individual situation. What I don't really want is someone says, Okay, I watched a video or I watched 10 minutes. So now I'm going to do my sucker like this. It's not really like that it's more what I'm after is that people are aware of the need to pay zakat upon all the tiara upon trade goods. And then later each individual asked about their own situation, I got a business partner he owns 50%, I own 50% This is how we did it. I invested this month he invested this month. This is how we and you look at it like

00:47:38--> 00:48:00

you get an answer for each individual person. But hopefully, inshallah we just gave you an understanding or taste of Zika that is true upon business goods, we do have other IDs that we need to deal with in Bloomerang, we have to deal with the the subsequent ahaadeeth Henrique has the issue of, of

00:48:02--> 00:48:47

treasure, and then the issue of mind goods and and more materials and things like that. So we have some more things to talk about in sha Allah as we move on through keytab zakka. But probably next lesson, we will move a little bit quicker, because we have topics which are not so common among people, so we can shell out to deal with them a little bit more quickly. But the reason we took a lot of time with this one is quite simply because so many people are involved in buying and selling and investing. And all of the different aspects of old adage Allah trade goods. So it's important to realize that the car is due upon that. And it's important to give this a car properly. We pointed

00:48:47--> 00:49:01

out some of the errors people make, one of the big errors people make is not counting that there's a car from the time that they took possession of the money, but instead counting the car from the first time they bought something with it, or the first time that they

00:49:03--> 00:49:20

you know, used it or whatever. So this is one of the mistakes people make any shout out to Allah we try to clarify these things as we move on through the course on Zika. Okay, what do we have from the questions on the live stream? Do we have any questions?

00:49:22--> 00:49:23

You sending me some?

00:49:42--> 00:49:42

I'm confused

00:49:44--> 00:49:46

to create a PC for example.

00:49:49--> 00:49:53

So someone buys parts to make a PC.

00:49:55--> 00:50:00

Is it the case that they are selling that PC or are they using that

00:50:00--> 00:50:44

PC, if they're using that PC, it doesn't come under trade goods. But if they're buying parts to sell that PC, then yes, it comes under trade goods. So as soon as the money comes in, to buy the parts with, then the cut the counter starts. And once the full Islamic year has passed, whatever parts are in your stock, your cash assets, plus the parts that you have in stock, plus any debts that are expected to be repaid, that is your zakka as it relates to that business that you're doing selling PCs. So inshallah that makes sense. At the end of the Islamic year, after you first got the money to buy those parts, then you look and you say, Okay, how many parts do I have in stock, what's the

00:50:44--> 00:51:00

value. So the value of those parts is $1,000 of parts I have in stock right now, because I haven't sold it yet. And I'm waiting for the customer to come. So I've got $1,000 or $2,000 of pots, plus I have the cash,

00:51:01--> 00:51:30

I have $3,000 in cash, and $2,000 in pots, and maybe no debt that is expected to come back. repayments are expected to come back. So in that case, the person pays the cup on that $5,000 the $2,000 apart and the $3,000 of cash that they hide in this business year, this Islamic year that went by since they got the money for the purpose of buying those pots

00:51:41--> 00:51:54

is the car jus upon the this is a kaiju upon a second home is the car jus upon a second home, or the rent that you get. So the issue of the second home here

00:51:56--> 00:52:03

is one of two issues. Either you purchase that home for the purpose of selling it.

00:52:06--> 00:52:08

Or you purchased it for the purpose of renting it

00:52:09--> 00:52:35

or you purchased it for the purpose of renting and selling it. So hey, that makes sense, actually mentioned for last time, but just simplify it into three. Either I purchased it for the purpose of renting it. And I have no intention of selling it, maybe in the future. But I mean, I didn't buy it to sell, I bought it to rent, I didn't buy it to sell, or I put or I purchased it for the purpose of

00:52:37--> 00:52:48

selling it. Or I purchased it for the purpose of renting it and selling it. In other words, I bought it to sell and I'm going to rent it in the meantime,

00:52:49--> 00:53:13

like, what's the issue on the car for each of these three, the person bought the home for the purpose of renting it. So look, I'm not going to say I'll never sell it, I might sell it in the future. But I don't have any. When I bought it my purpose was to buy a second home to rent out. So in this case, the car is due upon the profits from the rental but it's not due upon the value of the home.

00:53:15--> 00:53:33

Or the person said that I bought this house to sell, I bought it do it up wait for the price to go up and sell it in this case is a car is due upon the value of the house. Every time the Islamic year passes from the time that you've got the money to purchase the house.

00:53:34--> 00:54:17

The third situation is you bought it to sell it. But in the meantime, you're going to rent it, in which case, it's still considered roti jala business goods, you pay this account on the value of the house, as well as any cash in hand that you ended up from the profits that you made of renting it out every year. And that's why we said but where a person has to be careful. And the biggest mistake I see people making this is they think that selling something means that it's a trade good is not the case. Like I'm going to sell my house, okay, I'm going to sell my house like everyone is going to sell their house at some point will allow them anything that doesn't make it trade goods. trade

00:54:17--> 00:54:36

goods is when you bought the house for the purpose of selling the house, or for the purpose of selling and renting together and you're like I'm going to sell it and in the meantime, I'm going to rent it, but someone who bought it just to rent it out. It says I don't know maybe I mean one day if someone comes and offers me a lot of money for it, I might sell it.

00:54:37--> 00:54:59

And the fact that it's a second home or a third home doesn't really change the situation. Except that a person has to be honest with themselves about their intention. They have to be honest, if you bought that third home for the reason and the purpose of the price to go up and sell it, then it becomes a little tgr person asks, well how do I cover that sucker? That is

00:55:00--> 00:55:22

Going off of that, then the way, the way that you cover the car that is going off of that is, ideally by renting it out in the meantime, in order to bring in an income, which will offset and of course, as the price. You're taking the market price every year, the value of the house every year, and you paint two and a half percent upon the value of the house at that time.

00:55:24--> 00:55:25

Analyze which animals best.

00:55:34--> 00:55:37

Okay, you sell your own car.

00:55:39--> 00:56:00

Sell your own car. So I'm presuming you didn't buy the car to sell it. That's the question. I'm presuming your own car. You didn't buy it to sell it, you bought it to use it. And then you decided to sell your car at some point. This is not a tiara. It's not trade goods. It's part of your normal wealth

00:56:01--> 00:56:09

is part of your normal wealth. So now the person said I sold it for 15,000

00:56:10--> 00:56:12

and I have 10,000 left a year later.

00:56:14--> 00:57:05

Okay, so the money came from the car 15,000 I spent five but a year later I have 10 left is the car Jew appointment. Yes, but it's personal zeca it's not business zeca it's your personal sucker. It's because you've got an amount of money. That amount of money has been in your possession for an Islamic year. So you pay zakat on it on the grounds of personal Zakah that you've had any money that you receive salary, selling whatever it is, it's personal, I mean personal selling your personal goods, that money. If you if as rich then Aesop. And a year goes by all of the money you own gold and silver and money that you own, and a year, Islamic year passes by, you pay it as a car upon

00:57:05--> 00:57:34

that, and it doesn't matter that it came from the car that you sold or it came from something of yours that you sold. If you had money in your possession for one whole Islamic year, you pay the Zakat upon that money it's like Zakat on savings. Rather than Zakat on your car there is no Zakat on your car that you keep when people say there's noise like I do on the car, what do they mean? When someone says this noise that car join your car, they mean that the value of your car while you're driving around?

00:57:36--> 00:57:39

I'm driving around a 10,000 pound car

00:57:41--> 00:57:46

I don't have to calculate okay 10,000 every year I have to pay

00:57:47--> 00:57:53

250 pounds no you don't pay anything on your you don't pay anything on that.

00:57:55--> 00:58:31

On that 10,000 10,000 pounds because it's in it's it's stored in your car that you're using. And you don't pay the car upon the things that you are using. With the exception of jewelry which we had spoken about already. There must there must be related to the car upon the jewelry. And we said this is the reason why this call is different right? Why did the scholars differ over women's jewelry because it's used and it has value? It's gold and silver. Which has the car but it's also used

00:58:32--> 00:58:44

the woman uses it we said a shout out the correct opinion and allies will journals best is that zeca is drew upon jewelry is drew upon jewelry analyzer journals best

00:58:48--> 00:58:48

shoes.

00:58:53--> 00:58:55

Someone selling expensive shoes.

00:58:57--> 00:58:59

So it's the same principle

00:59:00--> 00:59:11

is the same principle that a person starts off with what how does a person start off this business? A person starts off the business with money.

00:59:12--> 00:59:14

When that money comes into the possession,

00:59:16--> 00:59:19

the clock starts ticking.

00:59:20--> 00:59:22

When that money comes into their possession, the clock starts ticking.

00:59:25--> 00:59:26

At the end of an Islamic year,

00:59:28--> 00:59:33

what happens the person adds together the cash at hand.

00:59:34--> 00:59:54

The value of those expensive trainers on the market price at that time. The normal not the emergency value of like look I'm just going to quickly sell to closing down sale but the normal value as according to the market at that time. I've got this pair of trainers it's worth 2000 pounds.

00:59:55--> 00:59:59

I've got this pair of trainers it's worth 5000 pounds. I've got this pair of trainers. It's worth

01:00:01--> 01:00:21

500 pounds, I've got this pair of trainers worth 200 pounds, add them all together, add together the cash, they add together any debts that are expected to be repaid, that's the total amount, and they pay the car two and a half percent upon that. And that's after a year of the US after a year of

01:00:22--> 01:00:25

having the money that they used to purchase

01:00:26--> 01:00:42

those trainers that they are selling, and that happens every Islamic year, they look at the total assets, they look at the cash in hand, they look at the debts they expect to be repaid. And they give this a cap upon it and allows the generals best.

01:00:44--> 01:00:48

That's the end of those Did anyone from here have anyone wanted to ask about?

01:01:10--> 01:01:21

It doesn't matter what their intention is? So I'll repeat the question for the purpose of the livestream. So it's really good question. Some people they have some money in the bank, they say I'm going to buy gold,

01:01:23--> 01:01:27

I'm going to buy gold. And the gold, either one of two things is going to happen.

01:01:29--> 01:01:32

Either the value goes high, I'm going to sell it

01:01:33--> 01:02:07

or either it will at least you know, retain its value, right? Like at least it will retain its value and I keep it with me. And then you know as and when I can either sell it or I can you know store it, it's better to store in gold than to store it in money. It doesn't really matter which intention they have. Because both ways there's a case do the same amount. Doesn't matter which one that intention they have because both ways there's the case do it the same a lot because there's a cat on gold. And there's a cat on trade goods is both the two and a half percent, right. So every person took the money.

01:02:09--> 01:02:25

And for the purpose of of buying the gold, there's a car that is due upon that money originally has has an Islamic timer on it, right? So the person has been saving up, the first time the money went over.

01:02:27--> 01:03:06

Like that amount, and they took that money and bought gold. So the time has started when they got the money, right? That time has been going 12 Islamic months 12 Islamic months 12 Islamic months, they bought gold with it, but it doesn't change 12 Islamic months 12 Islamic months, every one of those 12 Islamic months, two and a half percent of the value is due. And we said the reason we go back and I don't think I mentioned it in the class here because I mentioned it to people before. But the reason we go back to this in this case, because at the end of the day, the purpose of the second is an AMA is for your wealth to grow. And that's why your pins account you're not paying Zakat to

01:03:06--> 01:03:47

make your original amount go down, down, down down, the value is going up. And as the value is going up, and you're trying to get more and trying to get increase and trying to get profit. So you pay the car upon the extra that are any that that that that benefit that allies or gel is giving you of making your wealth grow. Now it doesn't really matter whether it grows or it doesn't. Because sometimes some years it might grow some years it might not. But you put it there for the purpose of growing. And that's why one of the core reasons why Zika is due. Because the words are k in itself means a number means to N it means top here one number or it means a thorough another, it means

01:03:47--> 01:04:10

purity. And it means growth. So you're intending for that wealth to grow. And that's one of the main reasons why is a cat is due upon some wealth because it's been prepared for growth. I want my wealth to grow in value, my gold used to be worth 2000 pound now it's worth 4000 pounds. That's why I'm paying soccer upon it because the purpose of it was

01:04:11--> 01:04:23

was free to grow. Or the purpose of it was to purify the wealth, to clean it and to purify it from the Haram that might have been involved when a person wasn't a person wasn't aware.

01:04:26--> 01:04:37

We stopped there inshallah. It's about time for the Asia at that. We're going to do a series of Heidi's next week a shout out to Allah, which is going to be dealing with a various number of issues, including

01:04:39--> 01:04:43

we're going to talk about really cares about treasure. We're going to talk about buried treasure. We're going to talk about

01:04:45--> 01:04:59

what is taken out from the ground, the ores and minerals and materials and things like that. Sharla we see how far we get within the Hadeeth for next week. shala that's what allies which are made easy for me to mention allies which are not best Salatu was Salam

01:05:01--> 01:05:03

While he was happy, he

01:05:05--> 01:05:11

just come along later on for watching. Please subscribe, share and you can visit Mohammed tim.com