Prohibited forms of profits
By Sherzod on Nov 18, 2008 with Comments 0
Assalamu alaykum!
This is my first post from “The Real Deal” series, inshallah. I have taken these notes while attending the course organized by Al Kuathar Institute. I posted an introduction here yesterday.
In general, profiting from a business dealing or transaction is from goals and purposes of Shariah. However, the shariah defines certain guidelines to prevent profiteering when the harm is greater than the benefit.
The following types of profits are prohibited in our Shariah:
- Profits from trading in forbidden items
Such as alcohol, pork, blood etc. - Profits from cheating and lying
For example, hiding the defects from the products or advertising in a way that deceives buyers and so on. - Profits from extreme trickery
In general, every business transaction or marketing or advertising has some form of trickery. For example, saying you are the best, or your product 100% HALAL (how would you know it is 100% halal?) etc. - Profits from monopoly or hoarding
This can be in basic foods or in other items, as long as such a monopoly adversely harms the general public.
Is there a higher limit for profits?
There is no higher limits for profits in the Shariah. Rather, the Shariah recognizes the need to make more profit in certain items rather than others due to the nature of the product or manner of sale.
And Allah knows best!!!
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Filed Under: Shariah & Business
