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Company Formation · Levant · MENA

Set up a company in Jordan.

The Levant logistics and services hub — stable Hashemite Kingdom, USD-pegged dinar since 1995, and the unusual combination of US FTA, EU Association, EFTA, and Pan-Arab free-trade access. Sector-tiered CIT from 5% (zones) and 14% (industrial) to 20% (general). Coordinated through senior local Jordanian counsel.

20% CIT (general)
14% CIT (industrial)
5% CIT (ASEZ)
16% GST/VAT
Capital
Amman
Currency
Dinar (JOD)
USD Peg
0.708 since 1995
Population
~11 million
FTAs / BITs
7 / 48
US FTA
Since 2001 (2nd)
Quick Answer
How do you set up a company in Jordan?

To set up a company in Jordan, you choose a legal structure (most commonly a Limited Liability Company — sharikat that mas’uliyyah mahdudah, equivalent to a UK Ltd or German GmbH), prepare the Articles of Association, register with the Companies Control Department (CCD) at the Ministry of Industry, Trade and Supply, deposit the minimum capital, and register with the Income and Sales Tax Department (ISTD) for corporate tax and GST/VAT, plus the Social Security Corporation (SSC) for any employees.

Standard formation takes 3 to 5 days at CCD; up to 14 days for foreign or complex setups. Minimum capital for a foreign-invested LLC is JOD 50,000 (~€65,000). Since April 2024, 50% of declared capital must be paid at incorporation with the balance due within 60 days. CIT rates vary by sector: 20% general, 14% industrial, 24% telecoms/insurance/mining, 35% banks. GST/VAT is 16%, with zero-rating for exports and supplies into ASEZ and development zones.

Grant & Graham coordinates the engagement through senior local Jordanian counsel and accountants — structure advice, CCD filing, banking introductions, ISTD tax and VAT registration, SSC employer registration, sector licensing, e-invoicing setup, and ongoing compliance.

The Jordanian Tax Position

Sector-tiered CIT. Materially lower in zones and industry.

Jordan operates a deliberately tiered corporate tax structure rather than a flat rate — favouring industrial manufacturing (14%), free zones and ASEZ (5–10%), while taxing banks, telecoms and extractives at the higher end (24–35%). On top of CIT, a National Contribution Tax of 1–7% applies depending on sector. The system rewards the activities Jordan wants to anchor — manufacturing, exports, technology — and is meaningfully better for those activities than headline numbers suggest.

20%
General CIT
Default rate for trading, services, professional and most commercial activities. Stable rate — no change announced for 2026. Plus 1% National Contribution Tax for most general business sectors.
14%
Industrial CIT
Lower rate for industrial/manufacturing companies — one of the most competitive industrial CIT rates in MENA. Designed to anchor production in Jordan. Combines well with QIZ status for US-export manufacturing.
5-10%
Zone / ASEZ CIT
Aqaba Special Economic Zone (ASEZ) 5%; development zones (KHBTDA, Mafraq, Irbid, Maan, Dead Sea) and free zones 5–10% depending on activity. Customs duty exemptions also apply within zones.
16%
GST / VAT
General Sales Tax operates like VAT. Zero-rated for exports, ASEZ supplies, development-zone supplies. Mandatory e-invoicing phased in from 2025. Banking and certain financial services VAT-exempt.

Other notable items: Higher CIT bands: 24% for telecoms, insurance, financial intermediation, electricity and mining; 35% for banks. National Contribution Tax adds 1–7% on top of CIT. Branch profits taxed at 10% net branch income (effectively a remittance-style tax). Social Security: 14.25% employer / 7.5% employee on salary up to the cap. Withholding tax 7% on services, 10% on royalties. Capital gains generally exempt within Jordan except for depreciable assets and certain share types — capital gains on IT-company shares exempt for the first sale within 15 years of registration or 1 January 2019 (whichever is earlier). Approximately 30 tax treaties in force.

Why Jordan

Nine reasons businesses choose Jordan.

A genuinely under-rated Levant gateway — stable monarchy, currency-pegged macro framework, deeper Western treaty access than most GCC peers, and a sector-tiered tax system that rewards the activities you most often want to anchor.

01

USD-pegged dinar since 1995

The Jordanian Dinar has been pegged to the USD at 0.708 JOD/USD since 1995 — one of the longest-standing pegs in MENA, maintained through significant regional volatility. For USD-revenue businesses, FX risk is effectively eliminated.

02

Seven FTAs & 48 BITs

Jordan has Free Trade Agreements with the US (since 2001 — the second-ever US FTA after Israel), EU (Association Agreement since 2002), EFTA, Turkey, Canada, Singapore, plus Pan-Arab Free Trade Area access. ~1.5 billion consumers under preferential terms.

03

14% industrial CIT

One of the most competitive industrial corporate tax rates in MENA. Designed specifically to anchor manufacturing in Jordan. Combines with QIZ (Qualifying Industrial Zone) status for duty-free US market access on qualifying goods.

04

Aqaba Special Economic Zone

ASEZ offers 5% CIT, 0% customs on imports, 0% sales tax on goods/services for export, and streamlined licensing. Jordan’s flagship free zone — deep-water port, international airport, hotel and tourism infrastructure all within the zone.

05

Stable Hashemite monarchy

Constitutional monarchy under King Abdullah II. Decades of macroeconomic and political stability in a region where neither is given. Long-standing security alliance with the US, UK, and EU. AAA-rated diplomatic position.

06

Pharmaceuticals & industrial base

Jordan is the second-largest pharmaceutical producer in MENA (after Egypt by volume) — major global generic and specialty manufacturing. Strong industrial base across textiles (QIZ-driven), packaging, fertilisers, and engineering.

07

ICT & tech hub

Amman has Arab MENA’s strongest English-speaking tech talent pool per capita. Major IT outsourcing destination. The Income Tax Law specifically exempts capital gains on IT-company shares (first sale, 15-year window) — a deliberate technology-anchoring measure.

08

GCC bridge without GCC complexity

Jordan is the natural bridge into GCC markets without the higher capitalisation requirements of UAE mainland or Saudi Arabia. Many international businesses use Jordan as the regional services hub for GCC client work — lower cost base, deep talent.

09

English commercial environment

English is widely used in commercial and legal practice. Most senior business and professional contracts are bilingual. Anglo-Saxon-style company law foundations (Companies Law of 1997). Most senior advisers speak fluent English.

Choose a Business Structure

Eight legal structures — one usually fits.

For most foreign investors, the LLC is the practical default. The Private Shareholding Company offers more flexibility for growth and share classes. Branch and Representative Office are foreign-presence forms with specific restrictions.

RECOMMENDED · LIMITED CO.

Limited Liability Company

Sharikat That Mas’uliyyah Mahdudah (LLC)

The standard structure for trading and operating businesses. Separate legal entity, limited liability. Minimum 1 shareholder. Minimum foreign capital JOD 50,000 (50% paid at incorporation since April 2024). 100% foreign ownership in most sectors.

PRIVATE SHAREHOLDING CO.

Private Shareholding Company

Sharikat Musahamah Khassah

Private joint-stock company. Flexible share classes and governance. May be formed by one or more shareholders. Minimum capital JOD 50,000. Used by growth-stage and PE-backed businesses needing share-class flexibility without public-listing burdens.

PUBLIC SHAREHOLDING CO.

Public Shareholding Company

Sharikat Musahamah Ammah

Public joint-stock company. Shares can be listed on the Amman Stock Exchange (ASE). Minimum authorised capital JOD 500,000, with at least JOD 100,000 subscribed. Heavier disclosure, governance and audit requirements. Required for banks and insurers.

LIMITED PARTNERSHIP IN SHARES

Limited Partnership in Shares

Sharikat Tawsiyah bil-Ashum

Hybrid structure combining partnership and shareholding elements. At least 2 general partners (unlimited liability) and 3 limited partners. Minimum capital JOD 100,000. Used in some specialist contexts — less common for foreign investors.

SOLE TRADER

Sole Proprietorship

Mu’assasah Fardiyyah

Single owner, no separate legal personality, full personal liability. No minimum capital. Generally limited to Jordanian nationals or residents with specific status. Used for freelance and small-scale local trading.

PARTNERSHIP

General Partnership

Sharikat Tadhamun

Two or more partners with unlimited joint and several liability. No minimum capital. Tax-transparent. Used in some Jordanian professional services contexts. Less common for foreign investors.

FOREIGN PRESENCE

Branch

Far’

An operating branch of a foreign company. Can conduct commercial activities. Parent retains full liability. Subject to CCD registration as a foreign company. Branch net income taxed at a flat 10%. Used where the parent must remain the legal entity.

FOREIGN PRESENCE

Representative Office

Maktab Tamthili

Liaison office of a foreign company — limited to representational, marketing and research activities. Cannot conduct commercial transactions or generate revenue in Jordan. Income tax-exempt. Useful for market exploration before fuller commitment.

NOT SURE?

Talk to us first

LLC is the workhorse for most foreign investors. Private Shareholding for growth/PE structures. ASEZ for export-focused manufacturing or services. Branch where the parent must remain the legal entity. A 25-minute call usually settles it.

Book a call →
Formation Process

From decision to live entity.

The end-to-end registration sequence for a Jordanian LLC — coordinated by Grant & Graham through senior Jordanian legal and accounting counsel.

01

Trade name reservation

Submit proposed trade name(s) to the Ministry of Industry, Trade and Supply (MITS) for approval via the Commercial Register Department. Submit 2 to 3 alternatives. Names must be unique and comply with Jordanian naming regulations. Approval typically within 2 to 3 working days.

02

Mainland vs zone decision

Decide between mainland LLC and ASEZ/development-zone incorporation. ASEZ (5% CIT, 0% customs, 0% GST on exports) is administered by the Aqaba Special Economic Zone Authority (ASEZA), not CCD — different registration track. Most service businesses go mainland; export-focused manufacturing and tourism often go ASEZ.

03

Articles of Association & founder documentation

Draft the Articles of Association (in Arabic, with English translation for foreign founders) under Companies Law No. 22 of 1997. Define shareholders, share capital, business objects, signatory authority, manager appointment. Apostilled good-standing certificate and constitutional documents required for foreign corporate shareholders.

04

Capital deposit (50% at incorporation)

Since April 2024, 50% of declared share capital must be paid into a Jordanian bank account at incorporation, with the balance due within 60 days. For a foreign LLC: minimum JOD 50,000 declared, so minimum JOD 25,000 paid at registration. This is a meaningful change from the prior regime.

05

CCD registration

Submit the incorporation file to the Companies Control Department (CCD) at the Ministry of Industry, Trade and Supply. CCD review typically takes 1 to 2 working days; total formation 3 to 5 days for straightforward cases, up to 14 days for foreign or complex setups. Certificate of registration issued with the Commercial Registration number.

CCD →
06

ISTD tax & VAT registration

Register with the Income and Sales Tax Department (ISTD) for the Tax Identification Number (TIN). Register for GST/VAT if the activity qualifies or if voluntary registration is required. Mandatory e-invoicing phased in — integration with the ISTD e-invoicing platform required from the relevant phase covering the company’s sector/size.

ISTD →
07

Social Security Corporation enrolment

Register with the Social Security Corporation (SSC) as an employer. Required before paying any salaries. Contributions: 14.25% employer, 7.5% employee on insurable salary up to the cap (JOD 4,000/month as of 2026). Covers pensions, disability, maternity, unemployment and work-injury cover.

SSC →
08

Sector licensing & municipality permits

Sector-specific licensing where required (Central Bank of Jordan for financial services; TRC for telecoms; JFDA for pharmaceuticals/medical devices; Ministry of Tourism for tourism). Municipality licences from the Greater Amman Municipality (or relevant local authority) for physical premises. Investment incentives under the Investment Environment Law administered by the Ministry of Investment.

09

Ongoing compliance

Monthly or bi-monthly VAT returns. Quarterly CIT advance instalments. Monthly SSC and payroll filings. Annual CIT return due within 4 months of year-end, filed electronically in Arabic via the ISTD portal. Annual financial statements per IFRS. Audit required for nearly all companies. E-invoicing real-time reporting from the relevant rollout phase.

Indicative Costs

What it costs to incorporate & run.

All figures are indicative for a standard mainland LLC setup with one or two foreign shareholders. Jordan is mid-priced in MENA — cheaper than Bahrain or UAE mainland, broadly comparable to Egypt for setup, more expensive ongoing than Egypt because of mandatory audit.

One-time setup

CCD registration fees
JOD 400–700
Trade name & gazette publication
JOD 150–300
Notarisation & translation
JOD 400–900
Apostille for foreign documents
€300–700
Jordanian legal counsel
JOD 1,500–3,500
Banking onboarding support
JOD 400–800
G&G advisory & coordination
from €1,800
All-in setup: from €4,800–7,800

Excludes the JOD 50,000 minimum foreign capital (of which JOD 25,000 must be paid at registration; balance within 60 days). ASEZ or development-zone setup adds zone-specific fees but no professional CCD route. Sector licensing fees separate.

Ongoing monthly / annual

Accounting & bookkeeping
from JOD 350/mo
VAT & e-invoicing compliance
from JOD 250/mo
SSC & payroll filings
from JOD 180/mo
Registered office
JOD 1,200–3,500/yr
Annual accounts & CIT return
from JOD 1,800/yr
Statutory audit (mandatory)
from JOD 2,500/yr
Typical monthly run-rate: from JOD 950–1,400

Audit is mandatory for nearly all Jordanian companies regardless of size. E-invoicing integration with ISTD platform is a one-time setup; ongoing compliance reporting is real-time. Sector licences and municipality permits add their own annual fees.

Laws & Regulations

The legal framework to know.

A summary of the core legislation governing companies in Jordan — substantive work is delivered through senior Jordanian counsel.

Corporate Law

  • Companies Law No. 22 of 1997 (as amended)
  • Investment Environment Law No. 21 of 2022
  • Civil Code (contracts & obligations)

Tax Law

  • Income Tax Law No. 34 of 2014 (as amended)
  • General Sales Tax Law No. 6 of 1994
  • National Contribution Tax provisions

Employment Law

  • Labour Law No. 8 of 1996
  • Social Security Law No. 1 of 2014
  • Work permit regulations for foreign employees

Data & Cyber

  • Personal Data Protection Law No. 24 of 2023
  • Cybercrime Law No. 17 of 2023
  • National Cybersecurity Centre oversight

Free Zones & ASEZ

  • Aqaba SEZ Law No. 32 of 2000
  • Development & Free Zones Law No. 2 of 2008
  • Investment incentives regulations

Intellectual Property

  • Patents Law No. 32 of 1999
  • Trademarks Law No. 33 of 1952
  • Copyright Law No. 22 of 1992
Frequently Asked Questions

Jordan, answered.

How long does it take to set up a company in Jordan?
A standard LLC is typically incorporated in 3 to 5 working days at the CCD; foreign or complex setups can take up to 14 days. Bank account opening for foreign-owned companies typically adds 2 to 4 weeks. Sector-specific licensing (banking, telecom, pharmaceutical) timelines vary materially. Full operational readiness is typically 6 to 10 weeks end-to-end including capital deposit, ISTD/SSC registrations and licensing.
What is the minimum share capital for a Jordanian LLC?
For a foreign-invested LLC, the minimum capital is JOD 50,000 (approximately €65,000). Since April 2024, 50% of declared capital must be paid at the bank at registration (JOD 25,000 minimum), with the balance due within 60 days. There is no fixed minimum capital for a wholly Jordanian-owned LLC. Sector-specific minimums apply to regulated activities (banks, insurance, telecoms have materially higher requirements).
What is the corporate tax rate in Jordan in 2026?
Jordan operates a sector-tiered CIT system: 20% for general commercial activities (most businesses), 14% for industrial/manufacturing, 24% for telecoms, insurance, financial intermediation, electricity and mining, and 35% for banks. ASEZ and development/free zones apply 5%–10% depending on activity. Foreign branches are taxed at a flat 10% on net branch income. A National Contribution Tax of 1%–7% applies in addition to CIT, depending on sector.
What is the GST/VAT rate in Jordan?
16% standard General Sales Tax (operates like VAT). Zero-rated for exports of goods and services, supplies into the Aqaba Special Economic Zone, supplies into development zones, and certain free-zone supplies. Goods exempt from GST include bread, water packed in containers under 5 litres, tea, sugar, gold, electricity. Banking and certain financial services are GST-exempt. Mandatory e-invoicing has been phased in from 2025; rollout extends through 2026 and 2027.
Can a foreign citizen or foreign company own 100% of a Jordanian LLC?
Yes — in most sectors. The Investment Environment Law No. 21 of 2022 permits 100% foreign ownership across the majority of business activities. Certain sectors retain Jordanian-ownership requirements or specific approvals (commercial agency, retail trade in some categories, transport, construction, security services). Sector-specific verification is part of our scoping work.
Is the Jordanian Dinar pegged to the US Dollar?
Yes. The JOD has been pegged to the USD at 0.708 JOD/USD (equivalently 1 JOD = ~USD 1.41) since 1995, maintained by the Central Bank of Jordan. This is one of the longest-standing and most stable currency pegs in MENA, held through significant regional volatility. For USD-revenue businesses, FX risk is effectively eliminated.
What is the Aqaba Special Economic Zone (ASEZ)?
ASEZ is Jordan's flagship special economic zone, established by Law No. 32 of 2000, covering the city of Aqaba and surrounding area on the Red Sea. Key incentives: 5% CIT on profits from registered activities, 0% customs duty on imports of goods for use in the zone, 0% GST on goods/services for export from the zone, streamlined licensing through ASEZA (a single regulatory authority for the zone). Aqaba also has a deep-water port, international airport, and tourism/hotel infrastructure within the zone.
What free trade agreements does Jordan have?
Jordan has 7 FTAs and 48 bilateral investment treaties (BITs), giving preferential access to approximately 1.5 billion consumers. Key FTAs include: the US (since 2001 — the second-ever US FTA after Israel), the EU Association Agreement (since 2002), EFTA (since 2002), Turkey, Canada, Singapore, and Pan-Arab Free Trade Area (PAFTA) covering Arab League members. Jordan also benefits from QIZ (Qualifying Industrial Zone) status, allowing duty-free US market access for qualifying manufactured goods.
What are Jordanian employer social contributions?
Social Security Corporation (SSC) contributions: 14.25% employer and 7.5% employee on insurable salary, capped at JOD 4,000/month as of 2026. The contribution covers old-age pension, disability, maternity, work-injury, and unemployment cover. Foreign employees on Jordanian payroll are generally insured on the same basis as Jordanian nationals unless a totalisation agreement provides otherwise.
Does Jordan have e-invoicing requirements?
Yes. The Income and Sales Tax Department (ISTD) has been rolling out mandatory e-invoicing in phases from 2025. Companies must integrate with the ISTD e-invoicing platform and submit electronic tax invoices in real time. The rollout is sequenced by sector and taxpayer size — large taxpayers and specific sectors first, expanding through 2026 and 2027 to cover all VAT-registered taxpayers. Non-compliance triggers fines and may affect input VAT recoverability.
Can Grant & Graham manage the whole process?
Yes. Grant & Graham coordinates the engagement end-to-end through senior Jordanian legal and accounting counsel — structure advice, mainland vs ASEZ decision, CCD filing, capital deposit, ISTD tax and VAT registration, SSC employer setup, e-invoicing integration, banking introductions, sector licensing, and ongoing accounting and compliance. Indicative all-in setup from approximately €4,800 to €7,800 depending on engagement complexity and zone vs mainland choice.
How We Work

Four steps from enquiry to live entity.

01 · CONSULT

Discovery call

30-minute conversation to understand your business, sector, mainland vs ASEZ choice, shareholder structure, capital deposit options, and what you actually need from the Jordanian entity.

02 · SCOPE

Recommendation

Senior advisory on the right structure (LLC, Private Shareholding, ASEZ, Branch), sector licensing pathway, banking partner, and tax regime. Fixed quote in EUR or JOD.

03 · INCORPORATE

End-to-end formation

CCD filing, capital deposit, ISTD tax and VAT registration, SSC employer setup, e-invoicing integration, banking introductions, sector licensing where needed.

04 · OPERATE

Ongoing support

Retained accounting, VAT and e-invoicing compliance, payroll, annual filings, mandatory audit coordination, and structural changes as you scale.

Start the Conversation

Ready to incorporate in Jordan?

Tell us in 25 minutes what you need. We’ll tell you honestly whether Jordan is the right Levant base — mainland or ASEZ — and if it is, we’ll handle the setup end-to-end through senior local counsel.