Question: Given that the price of gold varies, how do you pay zakat on jewelry for previous years?
Wa alaykum assalam wa rahmatullahi wa barakatuh,
Thank you for your important question.
For zakat on previous years, one would pay zakat based on the price of gold when the zakat was due.
For example, if the first time your zakat was due on was the 21st of January 2010, then you would convert that to Hijri, and use that as your Hijri date marker for each year. Then you would look at the gold values at those Hijri dates each year and calculate based on the local market (e.g. US) for those dates.
I pray this helps.
Checked and Approved by Shaykh Faraz Rabbani
Ustadh Farid Dingle has completed extensive years of study in the sciences of the Arabic language and the various Islamic Sciences. During his studies, he also earned a CIFE Certificate in Islamic Finance. Over the years he has developed a masterful ability to craft lessons that help non-Arabic speakers gain a deep understanding of the language. He currently teaches courses in the Arabic Language