Condition of beggars
1-4-2003 | IslamWeb
Question:
We know that charity is very much encouraged in Islam, but nowadays beggars are coming to the doorstep and in the public transport for begging and saying that they did not eat for days or they need serious medical attention. Most of them are drug addicts and wrong doers. Now I can recall a Hadeeth that Prophet Muhammad, sallallaahu alayhi wa sallam, stated that give charity even if a man come on horseback asks for it. So is it necessary to give charity to whoever comes for whatever situation without hesitation.
Answer:
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.
If the beggar does not seem to be in need and if he seems to want charity for use in committing sins, in this case he does not deserve the charity. The Prophet 
said: "It is unlawful to give charity to a rich person or to a fit, well-built one." [An-Nasaa'ee and Abu Daawood]
In fact, if these two types of people ask for charity, it means they are either people who are used to begging despite their ability to gain what they need, or they are people who are fit and strong enough to work and satisfy their own needs but because of laziness they have chosen to remain jobless and even to indulge in bad deeds like drinking wine and using drugs. No doubt helping this latter group is strictly prohibited as it is assisting in sin and transgression. Allaah says (interpretation of meaning): {……do not help one another in sin and transgression…..}[5:2].
But, if a person has signs of poverty or who is not known for being dissolute, or for begging for no reason, then it is lawful to give him charity. But one must point out to him that the rich and the fit person who earns something have no right in charity. 'Abdullaah Ibn 'Adiyy 
said: "Two men informed me that they came to the Prophet he looked up and down at them. He found them well- built. He said to them: "If you want I will give you from it. But there is no right for the rich and strong person who earns the least necessary for his living to ask." [Ahmad]
On the other hand, the Muslim is not obliged to give charity to everybody who asks him, as charity is only a supererogatory act. What is mandatory is Zakah. As for the narration you mentioned it is reported by Ahmad and others 
from Ali Ibn Abi Taalib that the Prophet said: "The beggar has a right even if he is on a horse." Some scholars believe that this narration is weak. But some think that it is not weak. Ibn 'Abdul-Barr, al-Albaani and Shu'ayb al-Arna'oot graded it as weak. But even if it is a sound narration, it is only applicable to those who do not make begging as a profession, and beg even if they are not in need, or who beg to have something that could help them in committing sins.
Allaah knows best.