In: Accounting
Receptacle of Alms money calculated by subtracting liabilities which are due to be paid at that moment from alms assets. Assets which meet the conditions of obligatory alms are called Alms Assets. State the conditions of obligatory alms.
Conditions of obligatory alms are as follows:
1)The person is a Muslim or a unbeliever.
2)The person is free( and not a slave).
3) The person is a major(and not a minor).
4)The person is sane. It is not obligatory for an insane person if insanity continues for a year and lucid intervals for few days make it obligatory.
5)There is a prescribed holding, which if falls short, it will not be obligatory.
6)There is full propriety(ie possession and propriety both on the property). If either one is not there, it is not obligatory.
7)The property is more than self-requirement.The following have been exempted from obligatory alms:residential house, apparels in use,utensils,animals in conveyance,eatables of dependents,decorative artefacts other than gold and silver,books not for sale, implements of artisans in use by them. If implements are such that utility exists for a minimum holding of more than a year, it is obligatory.If cash is earmarked for personal requirements but not fulfilled during the current year, it is obligatory.If requirements are completed within one year, not obligatory.
8)The person is not a borrower or a debtor. If holding is reduced by repayment of loan to public, no obligatory alms , but if repayment of loans is not to public, no exemption from obligatory alms.If dower to wife is paid prompt, not obligatory, . If dower to wife is deferred and demanded, not obligatory. If dower to wife is deferred and not subject to demend, obligatory alms remains payable, no exemption is given.
9)The holding is increasing after its possession and control.
10)Articles like gold, silver, cash, goods of exchange, camels or animals left for rearing, are held for more than a year.If more wealth of same nature is added, obligatory alms are calculated on them during the year, if more wealth of different nature is added, fresh year is considered for them.