The Ruling on Zakat on Money Invested in Farming
Question
In a certain place the common people farm by investing thousands of rupees. For about six months that money remains invested in the field, and then for six months it stays with them. Is zakat obligatory on them or not?
Answer
When goods (seed and the like) were bought with the money and put into the field, the money was used up. When, after the field was ready, the grain was sold, money was received as its price. If apart from this there is no other cash, and a full year did not pass over this money — rather, it was spent on the work of the field before that — then zakat did not become obligatory…
Source: Fatawa Mahmudiyya
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