Zakat on Money Given in a Salam Transaction and on Land

Question

Should the owner of the nisab pay zakat by valuing the land he has, or only zakat on the accumulated money? And [further]: money that is with people as a loan (qard) on this condition — it was lent in the month of Shawwal, and in the month of Rabi‘ al-Awwal one maund (a unit of weight, ≈ 37 kg) or half a maund of paddy (unhusked rice) must be given for each rupee; in this way sixty rupees have been lent. Must zakat now be paid on this money or not?

Answer

If the land is for cultivation and not for trade, there is no zakat on that land, however great its value; on its produce the ‘ushr (tithe) or half-tithe will be wajib, if that land is ‘ushri land. If money of the amount of the nisab is present and a year also passes over it, zakat on it is fard.

Source: Fatawa Mahmudiyya

Preview. The full text opens with JavaScript enabled.