Answer
In the Name of Allah, Most Gracious, Most Merciful.
All praise and thanks are due to Allah, and peace and blessings be upon His Messenger.
In this fatwa:
If a company is operating at a loss, Zakah may still be required if its total assets—after deducting liabilities and expenses—meet or exceed the Nisab threshold.
Responding to your question, Sheikh Ahmad Kutty, a senior lecturer and an Islamic scholar at the Islamic Institute of Toronto, Ontario, Canada, states:
It all depends on the kind of business you have; if you are talking about merchandise you are selling, you need to estimate the value of the merchandise and take out Zakah on it. You are allowed to deduct the debts and expenses.
If you are talking about the factories or rental properties, etc., the Zakah is due on your net income after deducting the debts and expenses.
Therefore, if you did not pay Zakah in the past after it became due, you need to pay regardless of whether you made any profit this year or not. You may be exempt this year, but you cannot be exempt from the past dues.
👉 Explore more here:
- How to Calculate Zakah on Property Bought for Investment
Is Zakah Due on Land That Provides No Income? - Is Zakah Due on Land That Provides No Income?
- Is Land Subject to Zakah?
Almighty Allah knows best.