Zakat on money in banks

Al-Zakaat for Al-Waseea'a at banks. How should it be? 2.5% can be calculated after Arbaah then paid from it? Or should al-Zakaat be paid from both, original amount and the benefits?

All perfect praise be to Allaah, The Lord of the Worlds. I testify that there is none worthy of worship except Allaah, and that Muhammad is His slave and Messenger. We ask Allaah to exalt his mention as well as that of his family and all his companions.

 

The money deposited (saved) in the bank is of two kinds:

1) Money deposited in Islamic banks: The Zakat has to be paid on the capital money and on the profit. So when a whole lunar year elapses on the capital money which reaches the minimum amount liable for Zakat by itself or with other money added to it in another place, then the Zakat has to be paid on all the money, the capital and the profit. So you have to pay the Zakat on all your money when a whole year elapses on the first amount you possessed which is liable for Zakat. However, it is permissible for you to set a particular time for the payment of Zakat for each independent money. As regards the time for the payment of Zakat on the profits, its time is the same as its capital money.

2) Money deposited in banks which deal with interest and usury: The Zakat is due on the capital money only, and there is no Zakat on interest, as it is forbidden and impure money which is not the property of its owner. It is an obligation to get rid of this money by giving it to the poor and the like, and it is not permissible to deduct this money from the due Zakat.

It should be noted that this kind of saving money [with interest] is forbidden even if one gets rid of the profit obtained with interest as saving money in such banks is helping them in dealing with usury and interest.

Allaah knows best.