Khums: Khums on Business Profits Funded by Religious Tithes: What’s the Ruling?

Practical Laws of Islam as per the teachings of Imam Khamenei

Khums: Khums on Business Profits Funded by Religious Tithes: What’s the Ruling?

English:

Question #1028:

There is a cultural institution in which a shop for business has been opened and its capital is obtained from religious tithes so as to provide for the institution’s future expenditures. Is it necessary to pay khums on the profits which the business makes? Can the khums be used for the development of the institution?

Answer #1028:

Trading — without the permission of authority in charge of khums — with religious tithes which are allocated to special cases in shar‘ and refraining from spending them in deserving cases is problematic, even when one intends to use the proceeds for a cultural institution. If it happened, the profit has the same rulings as the principal and should be used for the same case. The profit is not subject to khums. Of course, there is no objection to investing the gifts donated to the institution in a trade. The income and the profit are not subject to khums when the institution is the owner of the principal.

-Imam Khamenei, Practical Laws of Islam, Importance and Conditions of Khums