Zakat Expert

Are service receivables in a business Zakatable?

Receivables due from delivering services are not Zaktable whilst outstanding. The debt is in lieu of a non-Zakatable asset, namely, services. Therefore, the debt is non-Zakatable whilst outstanding. Thus, outstanding fees, accrued income, wages or payments due in lieu of a service are not Zakatable whilst outstanding.

And Allah knows best!

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