“And know that whatever of war-booty that you may gain, verily, one-fifth (1/5th) of it is assigned to Allaah, and to the Messenger, and to the near relatives [of the Messenger (Muhammad)], (and also) the orphans, Al‑Masaakin (the poor) and the wayfarer” [al-Anfaal 8:41]
The other four-fifths are to be shared out among the mujaahideen (soldiers) who took part in the fighting, by giving one share to each foot-soldier and three shares to each horseman (one share for him and two for his horse – this is if horses were used in the fighting). This wealth is permissible and good for the Muslim army, and has been allowed for them by Allaah, as He says (interpretation of the meaning):
“So enjoy what you have gotten of booty in war, lawful and good’ [al-Anfaal 8:69].
What is meant by al-khums (the one-fifth), is what referred to in the aayah [al-Anfaal 8:41] and this is this first share to be distributed. The way it is to be distributed is as follows:
1. A share for Allaah and His Messenger, which is to be used to serve the common interest of the Muslims, not for any specific person(s). Allaah has stated that this is for Him and for His Messenger (peace and blessings of Allaah be upon him). Allaah and His Messenger have no need of it, therefore we know that it is for the slaves of Allaah. The fact that Allaah did not state that it was for anyone in particular indicates that it should be spent to serve the common interests of all. (Tafseer Ibn Sa’di, 3/169)
2. A share for the relatives of the Prophet (peace and blessings of Allaah be upon him) from Bani Haashim and Bani al-Muttalib. They are all equally entitled to it, rich and poor, male and female.
3. Orphans – those who have lost their fathers whilst they are still young i.e., before the age of puberty.
4. The poor and needy.
5. The wayfarer, i.e. travellers who are cut off and need money in order to get back home.
Some Mufassireen said that the khums (one-fifth) of the war booty should not be given to anyone outside of these categories, and that it need not be shared out equally between these groups, but should be distributed in the manner that best suits the current circumstances. This was the view regarded as most correct by Ibn Sa’di, may Allaah have mercy on him.
For more information, see Tafseer Ibn Katheer, 2/269; Zaad al-Ma’aad by Ibn al-Qayyim, 3/100-105).
And Allaah knows best.