Is zakat due on goods I hold for my business to sell?

Yes — merchandise held for trade (urud al-tijarah) is zakatable by the consensus of scholars, grounded in the general command to give zakat from one's wealth (9:103). A report from Samurah ibn Jundab that the Prophet ﷺ used to command zakat on goods prepared for sale is often cited in this connection (Sunan Abu Dawud 1562), though hadith scholars consider its chain weak (da'if) and the ruling rests primarily on consensus. To calculate it, value your entire trading inventory — raw materials, work-in-progress, and finished goods meant for sale — at current market resale value on your zakat due date, not at the price you paid. Add this to your business cash and any money customers owe you that you expect to collect, then subtract short-term business liabilities like supplier invoices due, following the view that permits deducting immediate debts. Pay 2.5% of the net result. Fixed assets not meant for sale — shop fittings, delivery vehicles, machinery, the premises itself — are not zakatable; only stock intended for resale counts. This applies whether you run a shop, an online store, or any commercial trade. Sole proprietors and partners calculate their own share; companies may calculate at the entity level and apportion it among owners, or leave it to individual shareholders, depending on structure and local scholarly guidance.

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