How to pay the zakat on two thousand for the past twelve years

Question

I gave Zayd two thousand rupees so that he would buy land for me; he was unable to buy the land. Now, after twelve years, Zayd is returning the said two thousand rupees to me. The question is: is zakat on this money wajib upon me after twelve years or not, and in what way will the zakat be wajib?

Answer

According to the rules of the Sacred Law, zakat on this returned money is wajib. Pay one fortieth for the first year (50 rupees), then pay one fortieth of 1950 rupees; in the same way, deducting the amount that became due for each year, pay one fortieth of the remainder.

Source: Fatawa Mahmudiyya

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