Zakat on bank account balances in Pakistan is deducted at 2.5% on the first day of Ramadan from savings and profit-and-loss sharing accounts with a balance at or above the government nisab, which was Rs 503,529 for 2026. Current accounts are not deducted. To stop the deduction and pay zakat yourself, you submit a notarised CZ-50 declaration to your bank at least 30 days before Ramadan.
Last updated: 2 November 2026 by Ahmed.
The bank deduction only covers one account on one day. To work out zakat on everything else you hold, use our free Zakat Calculator Pakistan.
How Zakat on Bank Account Balances Is Deducted
| Question | Answer |
|---|---|
| When? | On 1 Ramadan, on that day’s balance |
| Which accounts? | Savings, PLS and similar deposit accounts, term deposits |
| Which are exempt? | Current accounts; accounts with a valid CZ-50 on file |
| Threshold | Balance at or above the nisab (Rs 503,529 in 2026) |
| How much? | 2.5% of the whole balance, not only the part above the nisab |
| Under which law? | Zakat and Ushr Ordinance 1980 |
So, as an example of zakat on bank account deduction, if your savings account holds Rs 6,00,000 on 1 Ramadan, the bank deducts Rs 15,000. If it holds Rs 5,00,000, just under the 2026 nisab, nothing is deducted at all.
How to Stop Zakat on Bank Account Deduction (CZ-50)
You may want to stop the deduction if you follow a fiqh that does not accept the bank’s deduction as your zakat, or simply prefer to calculate and give your zakat yourself, for example to needy relatives.
- Get the CZ-50 form from your branch or bank website.
- Fill it in with your name, CNIC, account number and fiqh.
- Have it attested by a notary public. Banks accept only the original or a notarised true copy; photocopies are rejected.
- Submit it to your branch at least 30 days before the expected deduction date. Ramadan 1448 is expected around early February 2027, so aim to submit by early January.
- Keep a stamped copy as proof.
Filing a CZ-50 is a legal declaration. It does not remove your duty: you must still pay zakat on that money yourself.
What If Zakat on Bank Account Was Already Deducted?
Count it as paid. If the bank took Rs 15,000 from your savings account, subtract Rs 15,000 from the zakat the calculator shows. If zakat was deducted by mistake, for example after you had filed a CZ-50, contact your branch for a refund review.
Zakat on Bank Account, Cash and Savings: Counting It Yourself
Add up everything you hold on your zakat date:
- Cash at home, in your wallet or in a safe.
- All bank accounts, including current accounts and accounts the bank did not deduct from.
- Digital wallets such as JazzCash, Easypaisa, SadaPay or NayaPay.
- Foreign currency, converted at today’s rate. Overseas Pakistanis with a Roshan Digital Account count that balance too.
- Committee (BC) money you have paid in and not yet received back.
- Money saved for Hajj, a wedding or a house that is still yours on your zakat date.
Then subtract debts that are due now, such as an unpaid credit card bill or rent owed.
What About Interest (Riba)?
Interest earned in a conventional account is not considered your wealth. Scholars advise giving it away to the poor without expecting reward, and calculating zakat only on your original amount. Profit from an Islamic bank account is your wealth and is included.
Worked Example
| Item | Amount |
|---|---|
| Savings account | Rs 8,00,000 |
| Current account | Rs 4,00,000 |
| Cash at home | Rs 50,000 |
| Credit card bill due | − Rs 30,000 |
| Net zakatable cash | Rs 12,20,000 |
| Zakat at 2.5% | Rs 30,500 |
If the bank deducted Rs 20,000 from the savings account on 1 Ramadan (2.5% of Rs 8,00,000), this person still owes Rs 10,500.
Common Mistakes
- Thinking zakat on bank account deduction is your full zakat. It ignores current accounts, cash, gold and investments.
- Moving money to a current account before Ramadan and then forgetting to pay zakat on it.
- Filing a CZ-50 too late. Branches process it in advance; a late form usually means deduction goes ahead.
- Counting salary received during the year. Zakat is on what you hold on your zakat date, not on income you earned and spent.
Related guides: Read our guides on Islamic banks in Pakistan and conventional banks.
FAQ
Is zakat on bank account deducted from current accounts?
No. Current accounts are exempt from automatic deduction, but the money is still zakatable and you must include it in your own calculation.
How do I stop zakat on bank account deduction?
Submit a notarised CZ-50 declaration to your branch at least 30 days before Ramadan. You then pay zakat on that account yourself.
Is zakat on bank account taken on the full balance?
On the full balance. If your balance is at or above the nisab, 2.5% of the entire amount is deducted.
Do I pay zakat on money saved for my daughter’s wedding?
Yes. If the money is still yours on your zakat date and your wealth is above the nisab, it is zakatable.
Is zakat due on committee (BC) money?
Yes, on the instalments you have paid in and not yet received back. Once you receive the committee, count what you still hold.
Related Guides
- Zakat Calculator Pakistan 2026
- Zakat nisab 2026 in Pakistan
- Zakat on gold in Pakistan
- Saving accounts in Pakistan
- Bank profit rates in Pakistan 2026