Is it incumbent upon one who, out of ignorance, gave food items as Zakat for his money or property to re-pay the Zakat? Is it permissible to give food items to the poor if the giver fears that the poor person might spend part of the Zakat on cigarettes or luxuries? Does a food trader pay Zakat on each type of commodity he possesses, or can he pay Zakat from one of them? Is it sufficient to give Zakat from the most expensive type?

First: According to the majority of jurists, zakat on money must be paid in cash. However, it is permissible to pay it in kind if that is more beneficial for the poor, which is the choice of Shaykh al-Islam Ibn Taymiyyah. If zakat was paid in food items out of ignorance, then there is no blame on the zakat payer, but it is preferable to pay it in cash in the future. There is no zakat on real estate unless it is for trade or if the zakat is on its rent.

Second: If the poor person is foolish and does not manage money well, it is permissible to give him zakat in kind instead of cash for his benefit. This is the choice of Shaykh al-Islam and Ibn Baz.

Third: The obligation for zakat on trade is to pay it in cash, according to the majority of scholars, by appraising the goods and paying a quarter of a tenth (2.5%) of their value. The Hanafis and a view of Al-Shafi'i held that it is permissible to pay it from the trade itself, which is the more correct view. Thus, the zakat payer may pay from each type of trade commodity or from the best of them.