Zakaat - Rules and modern issues

Zakaat of advance rent

In business transactions, it sometime happens that the deal is finalized and the buyer hands over the price in advance, and the seller is now in possession of both the money and the goods.  The question is in such a situation, who should pay the Zakaat, the buyer or the seller.

The buyer has already given the price, but has not yet gained possession of the goods and the seller has received the price of the goods.  The Jurists opine that now the owner of the price is not the buyer but the seller as he/she has gained possession of it as well.  Thus, the Zakaat of this amount must be paid by the seller.