Is it permissible to transfer Zakat funds from their collection locality to another locality where there is a shorter prayer distance (Masafat al-Qasr)?
Chapter on Zakat on Sheep
Al-Mughni
Book of Zakat
Primary text
It is not permissible to transfer Zakat funds from the town where they were collected to another locality if that locality is at a distance that permits shortening the prayer (Qasr). The majority of scholars advise against transferring Zakat from its place of origin. The evidence for this restriction lies in the Prophetic command to Mu'adh: 'Inform them that a charity is taken from their wealthy and returned to their poor,' which implies distribution within the local poor community. This is further supported by the report that 'Umar rebuked Mu'adh for sending Zakat from Yemen to 'Umar, stating that the funds must be returned to the local poor.
Supporting text
Some scholars, including Al-Hasan and Al-Nakha'i, held that transferring Zakat from one town to another is disliked unless the recipient is a relative. However, the prevailing opinion among most scholars is that if the transfer occurs contrary to the prohibition, the payment is nevertheless valid (Yujzi'), as the right has been delivered to its rightful recipient, similar to settling a debt. A dissenting view maintains that the payment is invalid because the Zakat was given to someone other than whom one was commanded to give it to, akin to giving it to a non-specified category.