Fatwa by: Former Grand Mufti of Saudi Arabia, Sheikh Ibn Baz (may Allah have mercy on him)
Question:
Some time ago, I sold the gold I was using, but I had not paid its Zakat. How should I now pay the Zakat? For reference, I sold the jewelry for 4,000 riyals.
Answer:
If you came to know about the obligation of paying Zakat on the gold after selling it, then there is no sin upon you. However, if you were already aware of the obligation before selling the gold, you must pay Zakat at the rate of 2.5% (1/40) of its value for every year it was due.
In this case, you need to calculate the Zakat based on the market value of the gold for the past years before you sold it. For each year, you should pay 2.5% of the gold's value. If you only became aware of the obligation in the final year, then you only need to pay Zakat for the last year.
The Zakat should be calculated based on the gold's current market value in recognized currency, using the formula of 2.5% (1/40) annually.
Question:
Some time ago, I sold the gold I was using, but I had not paid its Zakat. How should I now pay the Zakat? For reference, I sold the jewelry for 4,000 riyals.
Answer:
If you came to know about the obligation of paying Zakat on the gold after selling it, then there is no sin upon you. However, if you were already aware of the obligation before selling the gold, you must pay Zakat at the rate of 2.5% (1/40) of its value for every year it was due.
In this case, you need to calculate the Zakat based on the market value of the gold for the past years before you sold it. For each year, you should pay 2.5% of the gold's value. If you only became aware of the obligation in the final year, then you only need to pay Zakat for the last year.
The Zakat should be calculated based on the gold's current market value in recognized currency, using the formula of 2.5% (1/40) annually.