QUESTION:
Zakat question, if you have a business that sells online. Do you have to pay zakat on every item you have?
Do you pay zakat on its wholesale price or retail?
For example I sell flour, I sometimes sell this flour wholesale to shops. Sometimes retail to customers and sometimes I use the flour to make cakes and sell the cakes.
How do I pay zakat with different selling areas?
ANSWER:
Yes, Zakah is Wajib (obligatory) upon all trading goods (Mal al-Tijarah). This means that whatever trading stock you possess, it is necessary to pay Zakah on all of it. However, if there is trading stock for which you have not yet made payment and its amount is still a debt upon you, then that amount will be deducted. Zakah will be paid on the remaining balance.
For example, if you have trading goods worth ten lakh, and from that amount five lakh has not yet been paid and is still outstanding as a debt upon you, then this five lakh will be subtracted from the total. You will then pay Zakah on the remaining five lakh.
Regarding the payment of Zakah on trading goods, the market value is معتبر (considered), meaning the selling price is taken into account. That is, at the time of paying Zakah, you must calculate 2.5% according to the price at which the goods are being sold in the market.
Therefore, when your Zakah year is completed, you will calculate Zakah based on the current selling value of the trading stock you possess. As for whether to consider the retail rate or the wholesale rate, you may estimate the overall value based on your dominant assumption (Zann-e-Ghalib). However, it is better to calculate according to the retail rate so that there remains no possibility of deficiency.
It is stated in Fatawa Shami:
“(وجاز دفع القيمـة في زكاة وعشر وخراج وفطرة ونذر وكفارة غير الإعتاق)، وتعتبر القيمة يوم الوجوب، وقالا: يوم الأداء. وفي السوائم يوم الأداء إجماعاً، وهو الأصح، ويقوم في البلد الذي المال فيه، ولو في مفازة ففي أقرب الأمصار إليه، فتح.”
(Vol. 2, p. 286, Bab Zakat al-Ghanam, Published by Sa‘eed)
Answered by: Usman Madani (Ask Mufti Scholar)
Translated answer
Date: 22nd February 2026.
