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Zakat on Business Calculator

Enter your business's current assets and liabilities and the Muslim ownership share to estimate zakat on business using the working capital method.

RM

Cash, stock, trade receivables and similar assets at the end of your financial year.

RM

Debts and payables due within the year that your zakat authority allows to be deducted.

%

The share of the business owned by Muslims. Use 100 for a business wholly owned by a Muslim.

RM

Use the gold price your zakat authority publishes. The RM400 default is only an example.

Source: Pusat Zakat Wilayah Persekutuan – Zakat Perniagaan ↗ · Lembaga Zakat Negeri Kedah – Zakat Perniagaan ↗

This result is an estimate only. Check with your bank or the relevant authority before making decisions.

How it is calculated

  • Working capital = current assets − current liabilities (never below 0)
  • Amount assessed = working capital × Muslim ownership %
  • Nisab = 85 g × gold price per gram
  • Zakat = 2.5% × amount assessed, if the amount assessed is at least the nisab

For zakat on personal savings, see the zakat on savings calculator.

Worked example

Current assets RM300,000, current liabilities RM100,000, 100% Muslim ownership, gold at RM400 a gram:

  • Working capital: 300,000 − 100,000 = RM200,000
  • Nisab: 85 × 400 = RM34,000, and RM200,000 is above it
  • Zakat: 2.5% × RM200,000 = RM5,000

With 60% Muslim ownership: RM200,000 × 60% = RM120,000, so zakat is RM3,000.

Why your number may differ

Authorities differ on which assets and liabilities count and on the method (working capital, growth or net assets). The accounting year end, stock valuation and the gold price also change the result. Ask your state zakat authority before you pay.

Frequently asked questions

How is business zakat calculated?

With the working capital method it is (current assets − current liabilities) × the Muslim ownership share × 2.5%, if the result reaches the nisab and the business has run for a full year.

Who can use the working capital method?

It suits companies and traders that keep accounts with current assets and current liabilities, such as Sdn Bhd, enterprises and co-operatives. Other methods exist, so check which one your authority uses.

What is the nisab for business zakat?

It is the value of 85 grams of gold, the same as for savings. Enter the gold price your zakat authority uses.

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