Free Zones
0% Income Tax on Exported Services & Transit Trade
100% Customs & Sales Tax Exemption on Equipment & Inputs
Free Zones in Jordan
The free zones in Jordan are specialized economic areas, specifically designed to boost
business and investment. These zones stand out by offering an attractive package of
incentives and privileges aimed at attracting both local and foreign investments.
Governed by independent legal frameworks, free zones provide a flexible and favorable
business environment conducive to growth.
benefits of establishing businesses in jordan's free zones
A Registered Entity carrying on an Economic Activity in the Free Zone shall enjoy the
following:
a. Exemption from income tax on profits derived from:
1. Exporting services outside the Kingdom.
2. Transit trade.
3. The sale or assignment of goods within the boundaries of the Free Zone.
4. The provision and supply of services within the Free Zone.
b. Exemption from income tax on the salaries and allowances of non-Jordanian
employees working in projects established in the Free Zone.
c. Exemption from customs duties and all other taxes and fees on:
• Goods exported from the Free Zone to destinations other than the local market.
• Imported materials used in constructing, furnishing, and equipping all types of
projects established by a Registered Establishment in the Free Zone, including
equipment, machinery, fixtures, building materials, infrastructure materials, and spare
parts for continuous maintenance.
This exemption does not include service charges and fees related to international trade
protection measures applied by the Kingdom.
d. Exemption from general sales tax on services rendered by a Registered
Establishment when sold for consumption within the Free Zone.
e. Permission for the Registered Establishment to transfer foreign currencies and profits
in accordance with the provisions of the legislation in force.
f. Permission to take out of the Kingdom the machinery, equipment, materials, goods,
and supplies required for establishing, operating, or expanding any project in the Free
Zone, and the profits arising therefrom, in accordance with the applicable legislation.
Zarqa Free Zone was established in 1983 based on a cross-border road network connecting Jordan with the neighboring countries, and its current area is approximately 5200 dunums. It has been renovated with appropriate and modern infrastructure to become a hub to draw different investment activities, such as commercial activities that include storage of goods and vehicles of all kinds and transit, and industrial trade such as food industries, clothing industries, spare parts, boats, truck bodies, agricultural equipment, construction materials, waste recycling, solid materials, and services such as clearance services: vehicles
The Al-Karameh Free Zone was established in 2004 on the Jordanian-Iraq border, with an area of 500 dunums as the first phase, and it is exploited as both public and private free zones, with a total area of about (15) thousand dunums for expansion in both types of zones.
In 1997, the Sahab Free Zone was opened with an area of (70) dunums to serve investors and industrialists in King Abdullah II Industrial City to provide them with storage services for raw materials and industrial products, in which industrial, commercial, and service activities are practiced.
The Karak Free Zone was established in 2001 with an area of (143) dunums to provide storage services to investors in Al-Hussein Bin Abdullah II Industrial City and to practice industrial, commercial, and service activities and to organize and supervise the activities of private free zones in the southern region.
The Muwaqqar Free Zone was established in 2011 on an area of (122) dunums to meet the increasing demand by investors for the services of the Sahab Free Zone, which could not be expanded due to the lack of adjacent land, and like other free zones in which activities are carried out.
Free Zone Queen Alia International Airport was established in 1998 with an initial area of (20) dunums to provide storage services for goods passing through the airport. It also organizes and supervises the activities of private free zones in civil airports. Due to the increased demand for their services, their area was expanded in 2003 to 35 dunums. In 2019, the free zone was inaugurated at Queen Alia International Airport under royal patronage, with an area of (1000) dunums according to the master plan to be the model free zone.
