وَإِذَا هَلَكَ الْمَالُ بَعْدَ وُجُوبِ الزَّكَاةِ: سَقَطَتْ.
Translation: If the property perishes after zakat has become obligatory, its zakat lapses.
If property on which zakat has become due perishes without the owner’s deliberate destruction, the related obligation lapses or decreases in proportion to the loss. The charge was attached to the property that no longer remains.
A distinction must be maintained between unavoidable loss and the owner intentionally destroying the property. Deliberate destruction is not a way to erase an already due obligation.