Items That Fall Under the Scope of Zakat

Jewellery and Precious Metal – Gold and Silver. Both come under Zakat even if they are used merely for decorative purposes. The reason behind it is simple; they contribute towards your cumulative wealth.

Bank Accounts – Any cash, bonds, stock one might have in their savings account. The amount should be in the bank for one year. Loans given or funds received are also part of the Zakat process.

Cattle and Crops – Cattle and crops that are in excess of one’s needs.

General Conditions of Zakat

Recipient’s Eligibility: It is absolutely imperative that every shred of aid given reaches only those who need it most. As such, recipients of Zakat must be sufficiently poor to receive it. 

Paying Zakat In Advance: People who wish to pay for Zakat for future years can certainly do so. Keep in mind that the prepaid amount can be offset against the actual zakat liability incurred in future years.

Payment in Kind: Zakat can be paid in many ways. The ideal way for today’s fast paced world is cash or if some people prefer, they can pay in kind as long as the value of goods are equal to the cash amount and furthermore, the recipient has agreed to accept the goods in kind.