FatwaSelangorZakat
Pandangan Hukum Syarak Berkaitan Status Zakat Bagi Pemilikan Ekuiti (Syarikat) Yang Digadaikan Dan Akaun Rezab Perkhidmatan Hutang (Debt Service Reserve Account/ DSRA)
Is zakat payable on pledged company equity and on funds held in a Debt Service Reserve Account (DSRA)?
Short answer
A public listed company (PLC) must pay business zakat using the working capital or growth capital method, even when all shares held by substantial owners have been pledged, as long as the assets remain in full ownership.
A reference, not a fatwa. First sentence of the summary below — read the original fatwa and consult your state authority before acting.
- Authority
- Selangor State Mufti Department
- Status
- Fatwa committee decision
- Series
- Keputusan Fatwa Tidak Diwartakan
- Topic
- Zakat
No evidence of gazettement in the source — this is not a gazetted fatwa.
Summary
A public listed company (PLC) must pay business zakat using the working capital or growth capital method, even when all shares held by substantial owners have been pledged, as long as the assets remain in full ownership. Funds in a DSRA are not subject to zakat because they are not in full ownership. However, a Roll-Over Fixed Deposit (ROFD) is subject to zakat because it is in full ownership.
Written in our own words from the original fatwa — check the source before acting on it.
Wang Debt Service Reserve Account (DSRA) tidak dikenakan zakat kerana bukan milik sempurna (الملك الناقص).
Read the full fatwa on the Selangor website (new tab)
How to cite
Cite the original fatwa and its authority. Rujuk Fatwa is only where you found it.
Selangor State Mufti Department. “Pandangan Hukum Syarak Berkaitan Status Zakat Bagi Pemilikan Ekuiti (Syarikat) Yang Digadaikan Dan Akaun Rezab Perkhidmatan Hutang (Debt Service Reserve Account/ DSRA)”, date not stated. https://www.muftiselangor.gov.my/2023/10/27/pandangan-hukum-syarak-berkaitan-status-zakat-bagi-pemilikan-ekuiti-syarikat-yang-digadaikan-dan-akaun-rezab-perkhidmatan-hutang-debt-service-reserve-account-dsra/. Found via Rujuk Fatwa: https://rujukfatwa.com/en/fatwa/zakat-on-pledged-equity-and-dsra/