Question:
Is it permissible to sell dolls?
Answer:

It is not permissible to sell dolls if their heads, eyes, ears and other limbs are apparent.

Refer to Durr Mukhtaar:

( اشترى ثورا أو فرسا من خزف ) للأجل ( استئناس الصبي لا يصح و ) لا قيمة له

(الدر المختار 5:226 سعيد)

(The following is) mentioned in ‘Fatawa Hindiyah’:

اشترى ثورا أو فرسا من خزف لاستئناس الصبي لا يصح ولا قيمة له ولا يضمن متلفه كذا في القنية

(الفتاوى الهندية 3:215)

(The following is) mentioned in ‘Fatawa Mahmoodiyah’:

“If the doll or other toy is not in the form of an animate object, then there is no problem. To make an animate object and to keep one in the home is prohibited. Don’t keep it for the children and do not sell such animate objects.” (فتاوى محموديه 19:503 مبوب ومرتب)

(The following is) mentioned in ‘Idhahul Masail’:

“It is not permissible to make animate objects from clay, cloth and plastic etc. when they have eyes, ears, a nose etc. nor is it permissible to buy and sell them.” (ايضاح المسائل ص157 نعيميه)

And Allah Subhanahu wa Ta’ala knows best

(Hazrat Mufti) Radha-ul-Haqq (May Allah preserve him)

Fatawa Darul Uloom Zakariyah Vol.5 Pg.141-2