KHUMS [20% TAX]
Q 860: Are gifts and Eid presents subject to khums? A: Khums does not apply to gifts or eid presents, but as a precaution khums
should be paid from their remainder after the annual expenditure. Q 861: Is khums applicable to the prizes given by the banks and interest-free
loan institutions to their customers? And what is the rule regarding cash gifts
one receives from acquaintances and relatives? A: Khums is not obligatory on awards and gifts, provided they are not a significant amount. However, the obligatoriness of khums on sizable prizes and gifts is not improbable. Q 862: Does khums apply to the excess over annual expenses remaining out of
the sums of money paid by the Martyrs' Foundation to a martyr's family? A: Khums is not obligatory on gifts paid to the honored families of the martyrs by the Martyrs' Foundation. Q 863: Is the maintenance that is paid to a person by his father, brother, or
a relative,. considered a gift or not? If the donor has never paid khums on his
assets, is it obligatory for the receiver to pay khums for the gift he receives
from the donor? A: The application of the terms 'gift' and 'present' depends on the donor's intention, and if the receiver is not certain whether the money gifted to him is subject to khums, he is not required to pay its khums. Q 864: I have given my daughter a residential flat as a parental wedding gift
{jihaz}. Is this flat subject to khums? A: You do not have to pay khums on the flat you gave to your daughter as a gift provided it is normally considered proportionate to your status. Q 865: Is it permissible for a person to give money to his wife before the
end of his fiscal year while knowing that his wife will save the money in order
to buy a house in the future or to acquire some of their necessities? A: He is allowed to do so, and he is not required to pay khums on the gift he gives to his wife, provided the amount is normal for his status and corresponds to comparable cases; but it is not allowed if his intention was to avoid khums. Q 866: In order to avoid khums from pertaining to their assets, a husband and
wife gift each other their annual gains prior to the end of their fiscal year.
Please explain the rule concerning their liability to khums. A: They are not exempted from the obligatory khums by this type of gift, which is to avoid giving khums. But if it was in fact a gift khums still has to be given unless the amount is normal for his or her status, and no more than that. Q 867: A person deposited an amount with a Hajj travel agency in order to
perform mustahab Hajj, but he died before he could visit the House of God, the
Exalted. What is the ruling concerning this money? Is it to be spent for
performance of Hajj on his behalf, and is it subject to khums? A: The value of the Hajj travel documents obtained in exchange for the money deposited with the Hajj agency is considered part of his inheritance, and it is not permissible to spend it in performing Hajj on his behalf of the deceased as Hajj was not obligatory for him. The money is not subject to khums if what he had already paid for his Hajj journey from an income exempt from khums, whether it was for the cost of Hajj or hiring someone else to perform it on his behalf at the time he paid for this journey according to the agreement between him and the Hajj travel agency, for the money was spent at the time by the deceased as part of his annual expenses. Q 868: An orchard belonging to someone was transferred to his son as a gift
or by the way of inheritance. It was not of much value at the time it was gifted
or inherited, but its market present value at the time of sale is different from
its previous value. Is the excess amount resulting from the price increase
subject to khums? A: Inheritance and gifts are not subject to khums, nor the money earned from their sale, even if their value increases. Q 869: An insurance company owes me an amount in lieu of medical expenses,
and I will receive it one of these days. Is this amount subject to
khums? A: Khums does not apply to insurance money. Q 870: Is khums applicable to the money that I have set aside from my monthly
salary to purchase wedding furniture in the future? A: If you have set aside the money from your monthly income, you must pay its khums at the end of the year, even if it is necessary to buy the wedding furniture. Q 871: It is mentioned in the Tahrir al-Wasilah that a woman's mahr {dowry}
is not subject to khums, but it does not specify whether it is for a dowry that
is prepaid or deferred. Please explain the matter. A: There is no difference between prepaid and deferred dowry, or between cash and commodities, in this case. Q 872: The government gives Eid bonuses to the employees in the form of
commodities, some of which remain unused till the year's end. Considering that
the employees' Eid bonus is not subject to khums, nevertheless, as we make
partial payments for these commodities, it implies that it is not fully a gift,
but something bought at a reduced price. Should we pay khums for the amount we
have paid for it or should we calculate its total worth on the basis of its
market value? Or is it that it is not subject to khums at all because it is an
Eid gift? A: Under the assumption in the question, it is obligatory to pay khums on the
remaining commodities, or pay khums on its actual value. Q 873: While he was alive, a person recorded the amount of khums he owed in
his diary and he was determined to pay it. After his death, his entire family,
with the exception of one daughter, declined to pay the due khums, and they are
using the legacy for their own use and the deceased's expenses, as well as other
things. Please explain your opinion regarding the following matters: A: If the deceased has provided in the will that part of his money is to be paid for khums, or the heirs were certain that the deceased owed an amount of khums, they are not permitted to dispose the legacy unless the heirs carry out the deceased's will or pay the khums he owed. Their dispositions in the legacy before fulfilling the will or paying off his debts are considered usurpation in relation to the amount of the will or debt, and they are liable in regard to their past dispositions.
Paying Khums on Loan, Salary, Liabilities, Insurance, And Retirement Pension Q 874: I possess an amount from the gains of an annual income that is subject
to khums and, at the same time, I owe some money. The question is, can I exclude
the amount I owe from the gross gains of the annual income, given that the loan
was used to buy a personal car? A: The debt pertaining to a loan acquired to buy the car is not exempt from
the gains of annual income. Q 875: Is it obligatory for employees having a surplus remaining after their
annual expenses to pay khums, considering that they owe money in the form of
cash or installments? A: If the debt incurred during the year was for annual expenditure of the same year, or to purchase on credit some necessitiesfor the same year, it is exempt from the remaining income. Otherwise, the remaining income is liable to khums. Q 876: Is a loan acquired for making Hajj al-tamattu' subject to khums? And
should one use the balance for Hajj after khums is deducted? A: One is not required to pay khums on loaned money. Q 877: I have paid an amount to a housing company over a period of five years
for the purpose of purchasing a piece of land to build a house for myself
However, till now no step has been taken to deliver the land, and so I want to
withdraw my money from the housing company. As I had obtained a part of that
amount on loan, another part came from the sale of the house rug, and the rest
from the salary of my wife, who is a teacher, please respond to the following
two questions: A: There is no khums on money donated, nor on the amount you have borrowed, nor on what you sold with gains in excess of the yearly expense, if it was sold after that year. Q 878: Some years ago I acquired a bank loan and deposited it in my account
for one year. I could not make use of the loan, but I had to pay monthly
installments towards the loan. Is this loan subject to khums? A: In the question, khums only applies to the amount of borrowed money you
have paid towards loan installments from your yearly gains. Q 879: I fixed my fiscal year to begin on June 26, right after receiving the
salary of the month of June. The khums on the remaining cash and food items in
the house was 810 tumans. As I have an outstanding debt on the house and I will
remain indebted for 12 years, please enlighten me in regard to my liability to
khums A: The loan installments for constructing a house and similar things may be
made from your yearly gains. But, if not paid, they are not exempt from the year
's gains. The gains until the end of the year are subject to khums. Q 880: Are the books bought by a student subject to khums if he does not have
any source of income and buys them with his father's money, or with a loan given
to university students, and if his father has not paid khums on the money used
to purchase the books? A: The books that he buys with the loan money are not subject to khums.
Similarly, those that were purchased with the money given to him by his father,
unless he is certain that this particular money was liable to khums, in which
case he should pay its khums. Q 881: If a person borrows an amount of money and is not able to pay off the
loan before his fiscal year, should khums be paid by the lender or the
borrower? A: The borrower does not have to pay khums on loaned money. However, in
regard to the lender, if the money loaned was from his annual gains prior to
paying khums, and he collects his money from the borrower before the end of his
fiscal year, he has to pay khums on that money If he is unable to collect the
money before his fiscal year, he does not have to pay khums now. He should wait
until he receives the money, when he will have to pay its khums. Q 882: Are those who receive retirement pensions required to pay khums on
their annual salaries? A: If the retirement pensions were deducted from monthly salary during
employment and work, and paid out later after retirement, then the annual gains
of the year of receipt are liable to khums. Q 883: Would the amount of monthly salaries of prisoners of war, paid by the
government of the Islamic Republic to their parents during the time of their
captivity, be subject to khums if it is saved in a bank, given that if the
prisoners were free they would have spent the money? A: The said money is not subject to khums. Q 884: I owe an amount of money, and at the year's end the lender has not
asked for its repayment. At the same time I have an amount from my yearly
savings, giving me the ability to pay off my debt. Is this loan excluded from
the annual saving or not? A: A debt incurred for annual living expenses, whether by borrowing or buying necessities on credit, is excluded from annual gains and there is no khums on the equivalent out of the yearly gains. But if the debt is not incurred for the sake of annual living expenses or was incurred in previous years, it may be paid out of the annual gains. However, if it is not paid off at the year's end, it is not excluded from the gains. Q 885: Is the amount left after a person's annual expense liable to khums if
he is in debt at the year's end and has the opportunity to pay off the debt in
several years? A: Whether the debt is due immediately or deferred, it is not exempt from the
annual gains, unless it was incurred for the purpose of the year's expenses,
whereat it would be exempt from khums which also does not apply to its
equivalent from annual gains. Q 886: Is insurance money paid by insurance companies to the insured as a
result of loss or injury subject to khums? A: Khums does not apply to insurance money paid by insurance companies to the insured . Q 887: Last year I borrowed some money and bought a land, anticipating the
value of the land to appreciate and planning to sell it along with my present
house, to be able to solve my housing problem in the future. Now, at the year's
end, can I exclude that loan from the last year's gains and is khums applicable
to it? A: On the assumption that the money borrowed is used to buy a land with the
intent of selling it in the future, the borrowed sum is not exempt from the
annual gains of the year in which it is borrowed. The entire amount of the
yearly gains after deducting living expenses is liable to khums. Q 888: I borrowed from a financial institution an amount of money whose due
date is after my fiscal year. I am apprehensive that if I do not pay off that
money this year, I will not be able to do it next year. What is my obligation in
regard to paying khums at the year's end? A: If you spent the annual gains to pay off the debt before the year's end,
and the loan was not for a capital increase, it is not liable to khums. But if
the loan is for increasing the capital or you want to keep the annual gain to
pay off the loan after the end of the year, then you must pay its
khums. Selling a House, Means of
Transportation, and Lands Q 889: Is khums applicable to a house constructed some time ago by the money with unpaid khums? Assuming that its khums is obligatory, does the appropriate khums correspond to its current value or to the value of the money spent on its construction? A: If it is not a house one lives in, and was built with money liable to
khums and spent to purchase building materials and pay wages, then it is
obligatory to pay its khums according to its fair current price. But if it was
built with loan money and credit, and he paid off the debt with money liable to
khums, then he is not liable to khums except on the amount spent to pay off his
debt. Q 890: I had sold my apartment in order to purchase another. Later, I learnt
that the price of the apartment was liable to khums. However if I pay its khums
I will have no means to buy another apartment, and moreover before selling the
apartment I needed money to furnish it. What is the ruling in regard to this
matter? A: If the price of the apartment sold is spent in the same year that the
needed house is purchased or spent on other necessary expenses, it will not be
subject to khums. Q 891: Recently, I sold my residential apartment and this transaction took
place at the end of my khums fiscal year. While I see that I am liable to
fulfill my religious obligations, I face a problem in the present circumstances.
Please enlighten me regarding this matter. A: If the house was originally purchased with money exempt from khums, the
money from its sale is not liable to khums. Also, if the money from its sale is
spent for living expenses of the same year, such as buying a house one needs to
live in or one's necessities and supplies, then it is not liable to
khums. Q 892: I own an unfinished house in a town, but I do not need it since I am
living in government provided housing. I want to sell it to buy a car for
personal use. Is its price liable to khums? A: If the mentioned house was bought or built from the annual gains in the
same year from the account pertaining to living expenses and housing, there is
no khums on its sale proceeds. Q 893: I had purchased some exterior doors for my house, and as I did not
like them I sold them two years later, and I put the money in an aluminum
company account for assembling new aluminum doors at the same price to replace
those I had sold. Is khums applicable to that money? A: If the proceeds from the sale of the doors mentioned in the question were
spent in the same year to purchase new doors for the house, it is not liable to
khums. Q 894: I paid 100,000 tumans to an agency for acquiring housing land in the
future. One year has elapsed on that money, part of which is mine and the rest
was obtained through a loan, some of which I have paid off. Is khums applicable
to this money and to what extent? A: If the purchase of the land to build the house one needs is not feasible
without making deposits in advance, then you are not required to pay khums on
the money you have already paid, even if it was from your annual
gains. Q 895: If a person sells his house and deposits the money in a bank to profit
from its dividends, what is the ruling at the year's end if this money is saved
until he acquires a house? A: If the house is built or bought with the annual gains during the year in
order to live there and from his annual expense account, it is not liable to
khums if he spends the sale proceeds. Q 896: 1) Does khums apply to the deposit that is paid to rent a house
through mortgage {rahn)? A: The money saved for the purchase of necessities of life if it is from one's annual gains at the year's end, is subject to khums. But as for the money that is paid to the owner of the house from one's annual gains as a loan, it is not liable to khums as long as is not received from the borrower. Q 897: A person has a private car that he bought from his gains in the course
of the year. He sells it a few years later during his khums fiscal year, and
uses part of its proceeds to pay off a car loan for a car purchased prior to
selling the first car. Another part of it was deposited in the bank to pay off
his tax arrears of previous years, paid in the form of monthly installments, and
he deposited another portion in the bank for investment purposes. In this
case: A: If the money obtained from the sale of the car is spent in the same fiscal year to pay off one's debts etc., then it is not liable to khums. But the money deposited in the bank for investment purposes or to pay off tax arrears in the future, is liable to khums at the year's end, as per precaution. Q 898: I bought a car several years ago, and at the present time it might
sell for a price several times more than what it was purchased for. As khums was
not paid on the money spent to acquire it, and I am planning to buy with its
proceeds a house to live in, does khums apply to the entire amount once I
receive it, or does it apply only to the money that I paid to buy the car?
Furthermore, would the balance, that is, the difference of the sale value over
the original price of the car, be considered at the year's end as part of the
gains of the same year the car is sold, if the money was not spent on living
expenses subject to khums? A: If the car was a part of your necessities {ma'unah} and purchased out of the annual gains during the year from the expense account, then there is no khums on its sale price if it is spent in the same khums year for ma'unah, including the needed house and so forth. Otherwise, as per precaution, you are required to pay khums on the proceeds at the end of your fiscal year. But in case the car was used for work and acquired on credit or bought with a loan and then you paid off its debt from the gains of annual earnings, then you have only to pay khums on the money spent to pay the debt. But if you had bought it with the gains of your annual earnings, then you have to pay khums on its entire price on the day of the sale. Q 899: I owned a very modest house, but for some reason I decided to buy
another house. Due to debts I was forced to sell the car which I use and borrow
some money from the provincial bank and interest-free loan institution in our
city to pay for the house. As the sale of the car occurred before the beginning
of my khums fiscal year, and I spent the money obtained from its sale to pay off
a part of my debts, does khums apply to the money obtained from the sale of the
car? A: Under the assumption in the question, you do not have to pay khums on the
money obtained from the car 's sale. Q 900: When a house, car, and other necessities that a person or his family
needs and which were purchased from the annual gains are sold on account of a
necessity, or to replace them with items of superior quality, what is the ruling
in regard to khums? A: If the money from the sale of one's necessities of life is spent as part of one's living costs in the same khums year, it is not liable to khums. Otherwise, as per precaution, one has to pay its khums at the start of his fiscal year, unless the remainder that he wants to spend in the next year for living expenses is not sufficient; in which case it is not liable to khums. Q 901: A pious person sells his private car or house in order to replace them
with better ones, but he had to put in more money for the new purchase. What is
the ruling in regard to its khums? A: If the sale proceeds of his necessities of life were spent as part of his living expenses in the same khums year, he is not liable to its khums. But if there is any money left until the end of the year, then as per precaution, he has to pay its khums, unless, after paying khums, the balance is not adequate to meet his living needs for the next year. Q 902: If a house, car or other necessities, bought with money whose khums
was paid, for personal use, not for the sake of business or making money, are
later sold for some reason, is the increase in the market value subject to
khums? A: There is no khums on the profit resulting from increase in value under the assumption in the question. Treasure, Spoils, and the Halal property which is mixed with a haram one Q 903: What is your opinion concerning a treasure that someone finds in his
own land? A: If he does not suspect that the treasure found belonged to the previous owner of the land, it belongs to him, and he must pay khums on that if it exceeds 20 golden dinars or 200 silver dirhams, which are equivalents in respect of value. This is if no one prevents him from retaining what he has found. But if the government or others prevent him and forcibly seize it, and what remains with him out of what he had found is equal to the value of the aforementioned nisab {the minimum shar `i quantity} then khums applies only to that. Otherwise he is not liable to khums for what was seized from him. Q 904: If a number of silver coins one hundred years older than the time of
their burial are found in a building owned by someone, do these coins belong to
the owner of the building or to his legal successor, for example the
purchaser? A: Its rule is the same as the one pertaining to treasure, mentioned under the previous question. Q 905: We have a question and it is as follows: A: Among the conditions for the minerals liability to khums is that mining
should be done by a person, or persons in partnership, and that every person 's
share should reach the nisab, so that he may own what he has extracted. As the
minerals which are extracted by the government are not privately owned by any
person or persons, though they are property in a sense, the condition for
liability to khums is absent. On this basis, there are no grounds for the State
and the government to be liable to their khums. Of course, the minerals that are
extracted by a private person, or persons in partnerships, are liable to khums
when the share of each one them, after deducting the extraction and refining
expenses, reaches the nisab, which is 20 dinars or two hundred 200 dirhams or
equivalent. Q 906: If haram money gets mixed with a person's own money, what is the rule
concerning such money and how can it be made halal? And what must he do if he
knows it was haram or does not know it? A: If he is certain of the existence of haram wealth within his assets, but does not know the precise amount and cannot identify its owner, the way to make it halal is to pay its khums. But if there is any doubt that his money is mixed with haram, then he is not liable to anything. Q 907:Before the beginning of the shar `i fiscal year, I loaned someone some
money, and the said person intends to invest that money and its profits will be
split between us. As this money is not in my possession at the present and I
have not paid its khums, what is your opinion in this regard? A: If you have loaned the money, you are not presently liable to pay its khums, which should be paid at the time you receive it. But in this case, you are not entitled to receive anything of the profit made by the borrower, and if you demand anything from him it is usury and prohibited. But if you had given him the money to use it as a capital in a mudharabah deal, then you two would be partners sharing the profits according to the agreement. and you are required to pay khums on the capital. Q 908: I am a bank employee, and one of the prerequisites of my employment is
that I am compelled to deposit 500,000 tumans with the bank (of course, this
money is kept in my name in a long-term savings account and I receive its
interest every month). Is it obligatory to pay khums on this money, considering
that this money has been deposited with the bank for four years? A: The deposited money is not subject to khums as long as you are not able to withdraw or take possession of it. Q 909: The banks have a method for depositing money which makes it
inaccessible to the depositor. It is in fact kept in his bank account with a
particular method of computation. Is khums applicable to that money? A: If the money deposited in the bank was part of the annual gains and one is able to withdraw it from the bank at the start of his fiscal year, then its khums is obligatory at the beginning of the year. Q 910: Is khums obligatory for the house tenant or the landlord concerning
the money that the tenant places with the landlord as rahn? A: If the money is from the annual gains of the depositor then its khums is obligatory on the tenant after the landlord returns it. But the landlord, who takes it as a loan, is not liable to its khums. Q 911: Will the delayed payment of the employees' several years' salaries by
the government be considered as part of the same year's annual gains (i.e., the
year of receipt) and be liable to khums at the start of the fiscal year?
Basically, does khums apply to this money? A: On receipt, this money would be considered as part of the annual gains of
the year of receipt, and its excess over the year's expenditure is liable to
khums. Q 912: Someone has a personal library whose books he uses occasionally.
However, several years pass before he uses it again, but it is likely that he
may use it in the future. Does khums apply to it in the period that he did not
use its books? Is there a difference in respect of liability to khums whether
the original purchaser of the books is he himself or his father? A: If he needs them for future reference, and their quantity is normal for a
person like him, then khums does not apply to the books, even if he does not use
them for long periods. They are not liable to khums, irrespective of whether
they were inherited or received as gift from parents or others. Q 913: Is the gold a husband buys for his wife liable to khums? A: If it is in a quantity normal for his status, it is not liable to khums. Q 914: Is khums applicable to the advance payment made for purchasing books
at the International Book Fair, as the books have not been delivered
yet? A: If the books are needed by him, and in a quantity normal for a person like him, the advance paid is not liable to khums if their acquisition depends on prepayment. Q 915: A person owns a second piece of land, which is normal for his status
and needs, as he has a large family, though he would not be able to build on it
during his khums year or to complete the construction in one year. Does he have
to pay khums? A: There is no difference between needing to build one house or several
houses for one's needs in respect of exemption from khums. The criterion is a
person's need in accordance with his circumstances and status and his financial
ability for gradual construction. Q 916: If one has a complete service of house utensils, is it sufficient to
use one of them for the whole set to be exempt from khums? A: The criterion for exemption from khums for household necessities is the
need for them in accordance with what is normal for one's status, even if they
are not used for the entire year. Q 917: If a household service or rug is not used for the entire year, but is
necessary for guests, is it liable to khums? A: It is not not liable to khums. Q 918: With reference to Imam Khomeini's verdict concerning the bride's jihaz
which she takes to her husband's house at the time of wedding, what is the rule
if it is customary in a certain region that the groom's family is responsible
for providing the household furnishings and other necessities, which are
procured gradually over a year? A: If the procurement of furniture and future necessities is normally
considered a part of their expenditure {ma 'unah}, and there is no other way of
acquiring them apart from gradual purchase, it is not liable to
khums. Q 919: Does the use of one volume out of a several volume set, such as
Wasa'il al-Shi'ah, exempt the entire set from khums, or one is required, for
instance, to read a page out of each volume? A: If the whole set is needed, or if obtaining one volume requires buying the
entire set. then it is not liable to khums; otherwise khums is obligatory on
volumes that are not presently needed, and the mere reading of a page out of
each volume does not exempt them from khums. Q 920: The medical insurance company has reimbursed the cost of medicines
bought in the middle of the year from annual earnings, and if the medicines
remain until the end of the khums year without becoming unusable, are they
liable to khums? A: If they were purchased for use at the time of necessity and might be
needed again, they are not liable to khums. Q 921: If a person does not own a house for living, and he saves money in
order to pool sufficient funds for purchasing a house, is it liable to
khums? A: The money which is saved from annual earnings is liable to khums at the
year's end even if it is intended for future living expense. Q 922: My wife weaves rugs and the capital involved in rug weaving belongs to
us. For this purpose we obtained a part of the funds through loan, and only a
part of the rug has been woven till now when my khums year has already ended.
Would khums be applicable to the portion that has been woven when the rug is
completed and sold, if I intend to use its sale proceeds for household
necessities? What is the rule regarding the capital? A: After excluding from the sale price of rug the portion of the capital
acquired on loan, the rest would be considered part of the earnings in the year
it is sold. However, if it is spent for living expenses in the year the rug is
completed and sold, it will not be liable to khums. Q 923: My sole possession is a three-story house and each floor consists of
two rooms. I reside on one floor and the other two are occupied by my children.
Is this building liable to khums during my lifetime? Would it be liable to khums
after my death, so that I may direct the heirs in my will to pay it after my
death? A: You are not liable to khums on the building, under the assumption in the
question. Q 924: What is the procedure for calculating the khums on household
items? A: The items that endure despite use, like rugs etc., are not liable to
khums. But the surplus of daily consumable goods, such as rice, oil, etc., that
remains at the year 's end is liable to khums. Q 925: Someone owns a piece of land, but he does not have his own house to
live in. He acquired a land with the intent to build a house for himself but did
not have sufficient funds to build it. A year has passed and it has not been
sold. Is it liable to khums? If it is, should he pay khums on its purchasing
cost or on its present value? A: If he acquired it from the annual gains of the same year that he bought it
to build his needed house, he is not liable to pay its khums. Q 926: In the preceding question, if he starts the construction but it is not
completed until the end of his khums year, is the money spent on the building
materials liable to khums? A: It is not liable to khums, under the assumption in the question. Q 927: Someone adds an additional floor to his house for the future
accommodation of his children. He occupies the first floor and he would not need
the second floor until some years later. Is he liable to khums on the amount
spent in constructing the second floor? A: If building the second floor is for the future accommodation of one's
children, and is normally considered part of annual expense in accordance with
his status, the money spent is not liable to khums. Q 928: You have stated that khums is not obligatory on anything which forms
part of one's expenditures {ma'unah}. On this basis, if a person who does not
own a house for living, possesses a piece of land for the past year or more, and
he does not have adequate funds for its construction, why is it not considered
part of his annual expenditure? Please explain, may God reward you. A: If the land is intended for building the needed house, it is indeed
considered part of the annual expenditure and does not require khums. But if it
is intended for sale and for using its proceeds to build a house, it is liable
to khums if it is part of the annual gains. Q 929: The beginning of my khums year coincides with the beginning of the
sixth month of the solar year, and the university and school exams are usually
held in the second or third month of the year. We receive an overtime payment
for conducting the tests six months later. Is the compensation for work
performed prior to the start of the khums year and received after the end of the
khums year liable to khums? Please explain. A: It is considered part of the gains of the year of receipt, not of the year
of work. If it is spent for living expenses of the year of receipt, it is not
liable to khums. Q 930: At times we purchase house appliances, such as a refrigerator, at a
lower price than its market value. These appliances will be necessary in the
future, after marriage. Considering that these things will cost us many times
their current cost if bought later, after marriage, and they are now kept unused
in the house, are they liable to khums? A: If you have purchased them for the future use with the money from annual
gains, and they are not needed in the year of purchase, they would be liable to
khums at their fair market value at the year's end. But if it is a normal
practice to purchase them gradually and store them until needed, due to the
inability to acquire them all at once when needed, and it is to an extent that
is normal for your status, then it is considered part of the annual expenditure
and is not liable to khums. Q 931; Is the money donated to charitable causes, like helping schools, flood
victims, and the people of Palestine and Bosnia, considered part of the annual
expenditure? Should one first pay the khums on these donations, or they are not
liable to khums? A: These charitable donations are considered part of the annual expenditure
for the year of contribution and do not require khums. Q 932: Last year, we saved some money to buy a carpet. Near the last year's
end, we visited shops. One of the stores promised to procure a suitable carpet
to meet our requirement and taste. This continued until the second month of this
year. As my fiscal year begins with the solar Hijri year, would this amount be
subject to khums? A: Khums is obligatory on the saved amount mentioned, as it was not spent to
buy the needed carpet prior to the end of the khums year. Q 933: Several people have collectively established a public school. After
the capital investment, some of the partners decided that the founding committee
should take a bank loan to cover other expenses. The founding committee also
decided that each partner should pay a certain amount every month to complete
the investment capital and to pay off the bank installments. Considering that
the institution has not yet entered its profit bearing stage, is the amount paid
by each of the partners liable to khums? Does khums apply to the entire capital
(the value of the institution)? A: Khums is obligatory on each member in respect of his monthly payments
towards contribution to the capital of the partnership, as well as on the
initial share in the school's foundation. Once each member has paid khums on his
share of the partnership's capital, the total capital is not liable to
khums. Q 934: For some years my employers are indebted to me. Would this amount be
liable to khums on its recovery, or at the year's end? A: If the money is not receivable during the khums year it is considered part
of the gains of the year of receipt. And if the amount is spent on the annual
expenses in the year of receipt, it is not liable to khums. Q 935: What is the criterion for exemption from khums of possessions that
pertain to annual expenditure and which are acquired from the year's gains? Is
it their being used during the year or their being needed during the year, even
if they remain unused? A: For items like clothing, rugs, etc. that are not consumable items, the
criterion is need. But for consumable items that are daily necessities, such as
rice, oil, etc., the criterion is their consumption, and any surplus of these
over the year's consumption is liable to khums. Q 936: A person buys a car for his family's comfort and needs with money
whose khums has not been paid, along with the gains made during the middle of
the year. Is he liable to pay khums on that money? And if he purchases the car
to use for work-related purposes, or both, what would be the rule in that
case? A: If the car was intended for purposes related to his work and business, then the rule applicable to it is that of tools of trade in respect of liability to khums. But if it is meant for his daily living needs, and is considered a normal need for such a person, it is not liable to khums.
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