Short answer
Yes. Lying is haram even when it seems small or harmless, and that includes lying to make people laugh. Islam allows only narrow exceptions: to make peace between people, in war, and between spouses to keep love alive. Jokes are fine when they are true, and indirect wording (tawriya) is allowed when the plain truth would cause harm.
Lying is haram except in the situations named in the hadith, and the scholars add cases of real need such as saving a life or protecting a right. Indirect speech (tawriya) is permitted when needed. Joking with true words is permitted and sunnah in moderation; lying to amuse is haram.
The four schools agree on this.
Explanation
The Prophet ﷺ said that truthfulness leads to righteousness and righteousness to Paradise, while lying leads to wickedness and the Fire. A person keeps telling the truth until he is written with Allah as truthful. There is no category of 'harmless' lies in this. See hadith about lying.
The exceptions are narrow. The Prophet ﷺ said that the one who makes peace between people by passing on good words is not a liar. Umm Kulthum, who narrated this, added that he allowed it in three cases: war, reconciling people, and what a husband and wife say to each other. The scholars explain the last as words of affection, such as praising your spouse's cooking, not lying about money or rights.
Jokes are part of the sunnah. When the Companions said that he joked with them, the Prophet ﷺ replied that he only ever said what is true. He once told a man he would give him 'the child of a camel' to ride, and the man was confused until he realised every camel is the child of a camel. But he warned, 'Woe to the one who lies to make people laugh.'
- April Fools' and pranks: haram when they rely on lies or frighten people.
- 'Tell them I'm not home': a lie. Say 'He can't come to the phone right now' instead.
- A gift you don't like: 'Thank you, that was so thoughtful' is true and kind.
- Fake excuses to skip events: give a true reason, or politely say you cannot make it.
The four schools agree on these rules.
The evidence
Quran, Surah At-Tawba 9:119
يَٰٓأَيُّهَا ٱلَّذِينَ ءَامَنُوا۟ ٱتَّقُوا۟ ٱللَّهَ وَكُونُوا۟ مَعَ ٱلصَّٰدِقِينَ ﴿١١٩﴾
O you who have believed, fear Allah and be with those who are true.
Believers are commanded to be truthful.
Sahih al-Bukhari 6094
Sahih... إن الصدق يهدي إلى البر ...
"Truthfulness leads to righteousness."
Honesty is the path to Paradise, and lying the opposite.
Sahih al-Bukhari 2692
Sahih... ليس الكذاب الذي يصلح بين الناس فينمي خيرا ...
"The one who makes peace between people by passing on good is not a liar."
Reconciling people is one of the narrow exceptions.
Sunan Abi Dawud 4990
Graded hasan... ويل للذي يحدث فيكذب ليضحك به القوم ...
"Woe to the one who speaks and lies to make people laugh."
Lying in jokes is forbidden.
Jami' at-Tirmidhi 1990
Graded sahih... إني لا أقول إلا حقا ...
"I only say what is true."
The Prophet ﷺ joked, but always with true words.
Where the ruling is recorded
- Ihya Ulum al-Din (al-Ghazali), Kitab Afat al-Lisan, sections on lying and joking. Explains when lying and indirect speech are allowed and the limits of joking.
- al-Durr al-Mukhtar, Kitab al-Hazr wa al-Ibaha. Lists the cases in which lying is permitted.
This answer is pending review by the scholars on our team. Quran translation by Sahih International. Hadith Arabic from the standard editions of the six books and the Muwatta, with gradings as recorded there; the English is our own rendering. Spotted a mistake? Tell us.