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Incentives

Jordan: Your Investment Opportunity Starts Here

The Ministry of Investment of Jordan welcomes investors with a wide range of competitive incentives and exemptions under a flexible legal framework.

Tax Exemptions | Customs Facilitation | Streamlined Procedures | Competitive Business Environment

Everything you need to start strong and grow sustainably.

1. Basic Incentives

Inside Development Zones

If a company chooses to invest within development zones, it is entitled to the following incentives:

  • Zero General Sales Tax

    The goods and services necessary to your activity shall be subject to zero-rate sales tax.

  • Customs Duties

    All the materials, equipment, machines, supplies and construction materials used in building, constructing, equipping and furnishing the facility, including spare parts and imported goods necessary to the manufacturer activities shall be exempted from customs duties.

  • Reduced Income Tax

    • (5%) One of the lowest in the region, available to manufacturing companies operating in development zones.
    • (10%) This rate applies to all other registered enterprises operating within development zones.

Outside Development Zones

If a company invests outside of development zones, it can benefit from:

  • Customs Duties

    The fixed assets, production requirements and inputs, and spare parts for Economic Activity shall be exempted from customs duties.

  • Zero Sales Tax (0%)

    Fixed assets, production inputs and requirements, and spare parts necessary for conducting economic activities are subject to a zero-percent (0%) sales tax, in accordance with a schedule approved by the Council of Ministers.

  • Exemption And Reduction of Income Tax

    • If the company employs at least two hundred and fifty (250) Jordanians, it shall be granted an exemption from income tax for a period of four (4) years, and a reduction of fifty percent (50%) from the due income tax for the following year.
    • The company may also benefit from an income tax exemption or reduction ranging between fifty percent (50%) and seventy-five percent (75%) for a period of five (5) years, if it operates in less developed areas.

2. Additional Incentives (Based on Specific Criteria)

These incentives are granted based on specific criteria and conditions for projects with high developmental impact or that address national economic priorities.

 

A. The Economic Activity that employs at least (350) Jordanians

  1. Exemption from the rent of the lands owned by the public treasury for the purposes of establishing the economic activity for a period of (5) years from the date of the decision at rate of 100%.
  2. Contributing in the cost of the electric energy bill or allowing it to be deducted from the receivables due on the economic activity towards the official entity at a percentage of (50%) for a period of (5) years from the date of the decision, provided that the Council of Ministers, upon the recommendation of the Incentives and exemptions committee, determines the entity that will bear this contribution, provided that the energy operating cost shall not exceed twenty percent (20%) of the total operating costs.
  3. Reducing taxes on buildings and lands as well as regulatory revenues that are due on the economic activity by a percentage of (50%) for a period of (5) years from the date of the decision.
  4. Allowing deduction of costs of establishing infrastructure services that the Investor has delivered to the economic activity from dues to the official entity within (5) years after the date of the actual operation, provided that:

a. Actual operation of the project shall be within (3) years from the date of the decision.

b. Proving the actual value of the costs of establishing the infrastructure services by means of an audited financial statement.

B. Employing ≥ 50 Jordanian Women (at least 50% of the workforce)

  1. Reducing the rent of the lands owned by the public treasury for the purpose of establishing the economic activity by 50% for a period of (5) years from the date of the decision.
  2. Contributing to the cost of the electricity bill or allowing it to be subtracted from the receivables due on the economic activity of the official entity at the rate of (50%) for a period of five (5) years from the date of the resolution, provided that the Council of Ministers upon the recommendation of the Incentives and exemptions committee determines the entity that will bear this contribution, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  3. Reducing the taxes on buildings, land, and the regulatory royalties due on economic activity by (50%) for a period of five (5) years from the date of the decision.

C. Economic activities targeting export markets by no less than (50%)

  1. Exemption from the rent of lands owned by the Public Treasury for the purpose of establishing the Economic Activity for a period of five (5) years from the date of the Resolution at rate 100%.
  2. Contributing to the cost of the electricity bill or allowing it to be subtracted from the accounts payable by the economic activity of the official entity at a rate of fifty percent (50%) for a period of five (5) years from the date of the resolution, provided that the cabinet determines upon the recommendation of the Incentives and exemptions committee the entity that will bear this contribution, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  3. Reducing the buildings and land taxes and regulatory royalties due on the economic activity by fifty percent (50%) for a period of five (5) years from the date of the Resolution, provided that at least twenty (20) Jordanian workers are employed.
  4. Exemption at the rate of fifty percent (50%) from land registration fees and real estate sale tax on which the economic activity will be established, provided that at least twenty (20) Jordanian workers are employed.

D. Projects with Local Added Value ≥ 50%

  1. Exemption from the rent of lands owned by the Public Treasury for the purpose of establishing the economic activity for a period of five (5) years from the date of the resolution at rate 100%
  2. Contributing to the cost of the electricity bill or allowing it to be deducted from the accounts payable by the economic activity of the official entity at a rate of fifty percent (50%) for a period of five (5) years from the date of the resolution, provided that the Cabinet shall determine the entity to be borne by the Incentives and exemptions committee upon the recommendation of the Incentives and exemptions committee, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  3. Reducing the buildings and land taxes and regulatory royalties due on the economic activity by seventy-five percent (75%) for a period of five (5) years from the date of the decision, provided that at least ten (10) Jordanian workers are employed.
  4. Exemption at the rate of fifty percent (50%) from the fees of land registration and the real estate sale tax on which the economic activity will be established, provided that at least ten (10) Jordanian workers are employed.

E. Knowledge, Technology Transfer, and Digital Transformation Projects

  1. Contribute to the cost of the electricity bill or allow it to be subtracted from the accounts payable by the economic activity of the official entity at the rate of fifty percent (50%) for a period of five (5) years from the date of the resolution, provided that the Cabinet shall determine upon the recommendation of the Incentives and exemptions committee the entity that will bear this contribution, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  2. Reducing the buildings and land taxes and regulatory royalties due on economic activity by seventy-five percent (75%) for a period of five (5) years from the date of the decision, provided that at least ten (10) Jordanian workers are employed.

F. Projects in Peripheral or Poverty-Stricken Areas Focused on Development and Local Community Service

  1. Exemption at the rate of fifty percent (50%) from the sale price of the lands owned by the public treasury for the purpose of establishing the economic activity, provided that the project is operated within three (3) years from the date of the decision, and may be extended if the nature of the project so requires.
  2. Exemption from the rent of lands owned by the Public Treasury for the purpose of establishing the economic activity for a period of five (5) years from the date of the decision.
  3. Contributing to the cost of the electricity bill or allowing it to be deducted from the accounts payable on the economic activity to the official entity at a rate of fifty percent (50%) for a period of five (5) years from the date of the resolution, provided that the Cabinet, upon the recommendation of the Incentives and exemptions committee, determines the entity that will bear this contribution, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  4. Exemption from buildings and land taxes and regulatory royalties due on the economic activity for a period of ten (10) years from the date of the decision, provided that at least twenty-five (25) Jordanian workers are employed.
  5. Exemption at the rate of fifty percent (50%) from registration fees and the sale tax of the real estate on which the economic activity will be established, provided that at least twenty-five (25) Jordanian workers are employed.
  6. Allow the costs of constructing the infrastructure services delivered by the Investor to the economic activity to be deducted from the accounts payable by the Investor to the official entity within five (5) years after the date of actual operation.

G- Strategic Economic Activities:

  1. Exemption by a percentage of (75%) on the charges of selling the lands owned by public treasury for the purposes of establishing the economic activity, provided that the project is operational within (3) years from the date of the decision, and it is permissible to extend the same if the nature of the Project so requires.
  2. Exemption from the rent of the lands owned by public treasury for the purposes of establishing the economic activity and for a period of (5) years from the date of the decision.
  3. Contributing to the cost of the electric energy bill or allowing it to be deducted from the receivables due on the economic activity towards the official entity at a percentage of (50%) for a period of (5) years from the date of the decision, provided that the Council of Ministers, upon the recommendation of the Incentives and exemptions committee, determines the entity that will bear this contribution.
  4. Exemption from taxes on buildings and lands as well as the regulatory revenues that are due on the economic activity for a period of (10) years from the date of the decision, provided that not less than (25) Jordanian employees are employed therein.
  5. Exemption by a percentage of (50%) on the fees for registering the lands and tax on selling the real estate on which the economic activity will be constructed, provided that not less than (25) Jordanian employee are employed therein.
    1. Allowing the deduction of costs of establishing the infrastructure services that the investor has delivered to the economic activity from the dues to the official entity within (5) years after the date of the actual operation, provided that:
      a- Actual operation of the project shall be within (3) years from the date of the decision.
      b- Proving actual value of the costs of establishing the infrastructure services by means of an audited financial statement.

H. Public-Private Partnership Projects (Registered in National Registry)

  1. Exemption at the rate of fifty percent (50%) of the sale price of the lands owned by the Public Treasury for the purpose of conducting the economic activity, provided that the project is operated within three (3) years from the date of the decision, and the extension may be granted if the nature of the project so requires.
  2. Exemption from the rent of lands owned by the Public Treasury for the purpose of establishing the economic activity for a period of five (5) years from the date of the decision.
  3. Contributing to the cost of the electricity bill or allowing it to be deducted from the accounts payable by the economic activity of the official entity at the rate of fifty percent (50%) for a period of five (5) years from the date of the resolution, provided that the Cabinet, upon the recommendation of the Incentives and exemptions committee, determines the entity that will bear this contribution, and provided that the total energy operating cost shall not exceed twenty percent (20%) of the overall operating costs.
  4. Exemption from the buildings and land taxes and the regulatory royalties due on the economic activity for a period of ten (10) years from the date of the decision, provided that at least twenty-five (25) Jordanian workers are employed.
  5. Exemption at the rate of fifty percent (50%) from the fees of land registration and the tax on the sale of the real estate on which the economic activity will be established, provided that at least twenty-five (25) Jordanian workers are employed.
  6. Allow the costs of constructing the infrastructure services delivered by the Investor to the economic activity to be deducted from the accounts payable by the Investor to the official entity within five (5) years after the date of actual operation.

Electronic Submission of Applications

Investors can submit applications electronically through the Ministry of Investment’s E-Services Portal via the following link:

Access E-Services Portal