This section applied to Muslim only.
There are several types of monetary items on which Zakat must be paid . They are namely: Cash, Gold, Silver, Trade and Merchandise, Livestock, Plowed Land Produce, and Buried Treasures. In addition, the amount of Zakat to be paid on each monetary item and its due date will be presented. In general, Zakat is mandatory when two conditions are simultaneously satisfied: Nisab and Due Date.
Gold is one of the precious metals that is zakatable. The obligation of zakat on gold is explained in Al’Quran as follows.
“…And (remember) those who hoard up gold and silver and do not spend it in the Path of Allah - proclaim to them a painful punishment. (That is) on that day their gold and silver (their treasures) will be heated in the Fire of Hell, and their foreheads, sides and backs branded with them (while it will be said to them): “These are the riches which you hoarded. Taste then (the punishment of) what you have hoarded”.” (At-Taubah: 34-35)
Gold zakat calculation not only involved jewelery but those used daily or kept and anything in the form of gold such as watch,gold bulk, locket, button, brooch and hairpin. While one of the compulsory requirements to fulfill gold zakat was individuals who possess enough calculation, reached the required time and perfect requirements for men and women. This zakat payment should be paid through the zakat institution because zakat money will be collected in which fund can be develop when given to eligible group.
Zakatable Gold
Zakatable Gold include:
- Gold in hand , Gold Saving Accounts & Gold Certificates.
- Men's gold jewelry (although unlawful Zakat still has to be paid on these items).
- Women's gold jewelry is not subject to Zakat unless its amount is excessive or unless it was acquired primarily as a way of saving.
- Gold Utensils and Tools (although unlawful for both men and women, one still has to pay Zakat on these items).
Condition of Zakat on Gold Calculation
Zakat on gold is calculated in two conditions:
- Use gold
Zakat is not obligatory on gold jewelry that is worn once or more in a year. However if the jewelry exceeds ‘uruf’ (typical or customary use in local community), the extra is zakatable by percentage 2.5%. Only the current market value of gold is considered for calculation, any other gems stones are excluded.
- Stored Gold
It refers to gold that is not used or worn even once in a year. If the value of the stored gold equals to or exceeds nisab, zakat of 2.5% is obligatory.
Zakat Nisab/Uruf & Due Date
Gold zakat rate limit are different depending on each states and the standard of living or habit rate of users.
State Kelantan | Conditions Use Gold Stored Gold | Nisab/Uruf no uruf 85 gram (nisab) | Due Date A Year | Zakat % 2.5% | Calculator Calculator | Website Zakat Page |
| Johor | Use Gold | 850 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Kedah | Use Gold | 85 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Melaka | Use Gold | 200 gram (uruf) | A year | 2.5% | N/A | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Negeri Sembilan | Use Gold | 850 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Pahang | Use Gold | 200 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Perak | Use Gold | 500 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Selangor | Use Gold | 800 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Terengganu | Use Gold | 850 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% | |||
| Wilayah Persekutuan | Use Gold | 150 gram (uruf) | A year | 2.5% | Calculator | Zakat Page |
| Stored Gold | 85 gram (nisab) | A year | 2.5% |
NOTE:
85 gram = 20 misqal = 25 mayam 2.7108 saga
Disclaimer:
All information provided is subject to the accuracy of the respective organizations from which the information is compiled. Please refer to respective Zakat Page for latest information. Links to other web sites are provided for your convenience and GoldCentro is not responsible for the information contained on those web sites.
Zakat on Gold Calculation
Zakat on gold calculation formula for stored gold is same for all states in Malaysia but not for use gold. For the accurate formula I suggest to refer to each state zakat website or just use their Calculator.
Example of calculation for Selangor:
Use Gold:
Weight of used gold = 900 grams
Gold’s uruf = 800 grams
Current Gold Price Per Gram = RM50
Total Zakat = Weight of used gold x Current Gold Price Per Gram x 2.5%
= 900 gram x RM50 x 2.5%
= RM1125
Gold’s uruf = 800 grams
Current Gold Price Per Gram = RM50
Total Zakat = Weight of used gold x Current Gold Price Per Gram x 2.5%
= 900 gram x RM50 x 2.5%
= RM1125
Stored Gold:
Weight of stored gold = 90 grams
Gold’s nisab = >=85 grams
Current Gold Price Per Gram = RM50
Total Zakat = Weight of stored gold x Current Gold Price Per Gram x 2.5%
= 90 gram x RM50 x 2.5%
= RM112.50
Gold’s nisab = >=85 grams
Current Gold Price Per Gram = RM50
Total Zakat = Weight of stored gold x Current Gold Price Per Gram x 2.5%
= 90 gram x RM50 x 2.5%
= RM112.50
Example of calculation for Wilayah Persekutuan:
- Use Gold:
Weight of used gold = 250 grams
Gold’s uruf = 150 grams
Current Gold Price Per Gram = RM50
Weight of zakatable gold = Weight of used gold - Gold's uruf
= 250 grams - 150 grams
= 100grams
Total Zakat = Weight of zakatable gold x Current Gold Price Per Gram x 2.5%
= 100 gram x RM50 x 2.5%
= RM 125
- Stored Gold:
Weight of stored gold = 90 grams
Gold’s nisab = 85 grams
Current Gold Price Per Gram = RM50
Total Zakat = Weight of stored gold x Current Gold Price Per Gram x 2.5%
= 90 gram x RM50 x 2.5%
= RM112.50
