I tutored someone for a college course in Math which came out to 700. The students parents promised me that I would get paid. They now said they are strapped and cant afford the payment. They have had financial difficulties in the past. Am I allowed to count the 700 as part of my misor money? Thanks!
There different opinions about this, however many poskim say that it is permitted to deduct the money that the poor person owes him from maaser, instead of collecting the money. However this only applies if it is possible for him to actually collect the money from the poor person, i.e. the person isn’t bankrupt, or didn’t die. Also if the lender gave up on receiving the money he will not be able to do this. Please see the following links that discuss similar questions. https://dinonline.org/2019/02/18/using-rental-debt-as-charity/ https://dinonline.org/2017/09/13/deducting-from-maaser-money-owed-by-yeshiva/
Rema Y:D 257-5, Shach ibid 13, R’ S. Z. Auerbach Teshuva 21 ( end of sefer B’orach Tzadakah, Yaskil Avdi Y:D 1-13 (2-2,) Bais Din Shel Shlomo Y:D 1 Hilchisa Pesikta 15, Tesuvos V’hanhagos1-560- 11, B’orach Tzedakah 11-108. See Shach ibid 12, Igros Moshe Y:D 1-153 that says differantly.