In The Name of Allah, The Most Gracious, The Most Merciful.
Fitr means to break fast or to refrain from fasting. Hence the `Eid after the fasts of Ramadhan is called `Eid al-Fitr, as it marks the completion of fasting.
On this occasion of happiness, as a sign of gratitude one has to give a specific amount in alms, which is called Sadaqah al-Fitr. This is to purify and obtain complete blessings for the fasts of Ramadhan.
Ibn `Abbas (RA)narrates: “The Prophet (PBUH) made the charity of Fitr compulsory as a source of purification for fasts from futilities (time-wasting) and obscenities and also as source of food for the poor. (For) whoever pays it before the (`Eid) Salah it becomes an accepted purifier, and (for) whoever pays it after salah it remains a charity amongst charities. (al-Hakim, Abu Dāwūd, Ibn Mājah)
Thus it is Wajib to give Sadaqah al-Fitr. Another objective in giving Sadaqah al-Fitr on this happy occasion is also to assist the poor and needy, so that they may also rejoice with the more fortunate.
Amongst the reasons for giving Sadaqah al-Fitr are:
1. It acts as a purifier for one’s shortcomings in the fast.
2. To thank Allah (SWT) for providing us the strength to fast during the month of Ramadhan.
3. To celebrate the completion of fasting.
4. To demonstrate the auspiciousness of the day of `Eid.
5. To assist the poor in joining the atmosphere of `Eid.
Sadaqah al-Fitr can be given to a charity organisation even during if one does not give the Sadaqah al-Fitr, it still remains due no matter how much time passes after `Eid.
RULES OF SADAQAH AL-FITR
Sadaqah al-Fitr (or Fitrah) is Wajib (compulsory) upon all Muslims - men, women and children who on the day of `Eid al-Fitr possess the Nisaab of Zakaah (see Feesabeelillah publication, “Zakaah”).
The father has to pay Sadaqah al-Fitr on behalf of his young children, i.e. those who have not attained the age of puberty. It is not obligatory upon the husband to pay Fitrah on behalf of his wife, nor of his older children. If they possess the Nisaab, they shall have to pay their own Sadaqah al-Fitr. Although if one wants to pay on someone else’s behalf they can do, provided they have sought their permission first. Sadaqah al-Fitr should be paid before the `Eid Salah. It is sinful to delay the payment of Sadaqah al-Fitr later than the day of `Eid.
It is permissible (and at times Sadaqah al-Fitr in advance, any time during the month of Ramadhan. Sadaqah al-Fitr could be paid even before Ramadhan.
Sadaqah al-Fitr is Wajib upon all those who fasted as well as those who did not fast for some reason or other.
The amount that must be given is equal to 1.6 kg of wheat or 3.2 kg of barley or its like. Obviously, this does not mean that a person must buy wheat or barley to distribute, but they can also give its equal it value. (Because this fluctuates it is improper to specify a price, although it is usually between one and three pounds.)