Zakat on Trade Goods

**Definition:** 'Urud (عروض) = everything prepared for trade, any type. Called this because it "appears then goes" - the trader doesn't want the item itself, but profit from it. **Obligation:** Obligatory by Quran and Sunnah. - "In their wealth is a right for the beggar and deprived" [51:19] - "Spend from the good things you have earned" [2:267] - To Mu'adh: "Inform them Allah made obligatory a charity in their wealth" [Bukhari & Muslim] - Trade goods are undoubtedly wealth. **Conditions:** 1. Acquired by one's action (purchase, gift accepted) - not inheritance 2. Acquired with **intention of trade** 3. Reaches nisab value 4. Plus general conditions: Islam, freedom, complete ownership, hawl **Calculation:** - At year end, value goods at current market price - Calculate in gold or silver - If reaches nisab → 2.5% is due - Value at year-end, not purchase price (prices fluctuate)