My brother buys and fixes cars as a hobby.

Answer

If at the time of buying the car the intention was to sell it, then the car will be stock-in-trade and Zakaat is payable on it. However, if at the time when he buys a car, his intention is not to resell it for profit, but to repair and keep it, Zakaat is not payable on the car. It is therefore necessary that he makes a proper intention at the time when he buys the vehicle. The ruling depends on his intention. Even though it may be his hobby, we are sure that he will not keep on buying cars, repair them and store them some where for his own use. The stronger probability is that he buys the cars to repair and sell at a profit although it could be called his hobby. When paying Zakaat on the car, the current market value of the car should be taken and Zakaat paid on that amount.