What are the objectives of the Aqaba Special Economic Zone?

What are the assignments, responsibilities and the authorities of the Aqaba Special Zone Authority and who administrates it?

How can you benefit from the privileges and the exemptions in the Zone?

Who can do business in the Aqaba Zone?

What fees and duties can the investor be exempted from at Aqaba Zone?

What is taxable in the Zone?

What are your tax obligations at the zone?

What can be exempted from the income of registered enterprise in the zone

Are sales tax and services taxes applicable in the zone?

Conditions of selling and leasing lands from the authority in the preemption ?

What are the conditions of entering the zone for non-Jordanian?

What is the role of the board protecting the environment?

1-What are the objectives of Aqaba special economic zone?

To enhance economical capabilities in Jordan through attracting foreign and local investments and economical activities, by encouraging them to benefit from the privileges and exemptions provided in this free trade zone.





2-what are the assignments, responsibilities and authorities of the Aqaba Special Zone Authority and who administrate it?

Authority's assignments:

A-Develop and qualify the Zone to attract investments and create an advanced investment environment to stimulate industry, trade, tourism and services in the Zone.

B-Increase job opportunities for Jordanians, and coordinate and cooperate with investing entities in the Zone to train, qualify and enhance the capacity of Jordanian manpower and accord it priority in employment.

C-Enhance the role of the private sector in participating in the developnient of the Zone, including providing infrastructure services and any public services.

D-Encourage competition and prevent monopoly in the various economic activities within the Zone.

E-Plan, design and execute projects for the development of the Zone in various fields, directly or through other parties.

F-Protect the environment in the Zone.

G-Encourage Registered Enterprises to conduct and support research and development.


The Authority's responsibilities:

1.Administer the Zone and oversee its affairs according to its authorities in accordance with this Law.

2.Prepare the necessary plans and programs for developing the Zone.

3.Establish the applicable basis for investment in the Zone.

4.Register and license enterprises to conduct their activities in the Zone.

5.Promote the Zone in coordination and cooperation with the relevant bodies


The Authority's authorities:

I.Zoning of cities, villages and buildings.
2.Municipal affairs.
3.Protecting the environment, water resources, natural resources and biological diversity.
4.Health inspection procedures at the international borders of the Kingdom within the Zone.
5.Customs procedures.
6.Collecting the taxes and fees stipulated in this Law.
7.Labourers’ affairs.
8.Any powers entrusted to other official bodies accorded to the Authority by the Council of Ministers.

In addition to its duties in the Zone, the Authority shall be responsible for developing the Region economically and socially and preparing the necessary plans and programs for such. For this purpose, the Authority shall assume any authority accorded thereto pursuant to this Law as required for developing the Region in accordance with a Regulation issued for this purpose.

Administration of the Authority: The Authority shall be administered and supervised by a Board known as the “Board of Commissioners”, which shall be composed of six full-time members, including the Chief Commissioner and the Vice-Chief Commissioner who shall be appointed by a decision of the Council of Ministers upon the recommendation of the Prime Minister for a renewable four-year term, provided that such decision shall be endorsed by a Royal Decree.





3 - How can you benefit from the privileges and the exemptions in the Zone?

Whoever is conducting any economic activity in the Zone and is willing to benefit from any privileges and exemptions as stipulated in the Law, shall apply to the Authority for registration as a Registered Enterprise and for licensing to conduct such activities.




4-Who can do business in the Aqaba Zone ?

The right of registering and licensing with the Authority according to the provisions of the Regulations shall be limited to the following:

A-Companies registered with the Companies Controller according to the provisions of the enacted Companies Law and in compliance with the prevailing legislation in the Customs Territory.

B-Offshore companies and regional offices stipulated in the Companies Law in force.

C-Non-Jordanian companies register with the authority

D-Companies registered with the Companies Controller according to the provisions of the Companies Law and this Regulation, whose objectives are to conduct an Economic Activity as a Registered Enterprise in the Zone or in the Zone and outside the Kingdom.

E-Sole proprietorships registered in the commercial register according to the provisions of the Trade Law and in compliance with the prevailing legislation in the Customs Territory.

F-Professional Institutions operating in the Customs Territory according to the provisions of the pertinent legislation.

G-Non-commercial associations operating in the Customs Territory according to what does the Board decide.




5- What fees and duties can the investor be exempted from at Aqaba Zone?


A-The following fees and duties shall not be collected in the Zone:

I.Customs duties, importation duties and other taxes and duties on imports into the Zone.
2.The general sales tax or any other tax that substitutes it, on imports into the Zone or sales of goods and services therein.


B-Subject to what is stipulated in the Law. Registered Enterprises shall be exempted from all taxes and duties, including the following:

1.Income tax, social services tax and tax on distributing dividends of Company stocks and shares on the income of Registered Enterprises accrued from their activities in the Zone or outside the Kingdom.
2.Land and buildings tax for any buildings and land necessary for it to Conduct its activities.


C- The exemption stipulated in this Article shall not include the following:

I.Fees and service charges collected by other governmental bodies from Government departments for services that do not fall under the functions,Responsibilities and authorities of the Authority.
2.Tax on sale and transfer of land and property, which shall be collected For the account of the Treasury.
3.Any taxes or fees to be imposed or collected as stipulated in this Law. 4. Taxes and fees imposed on vehicles.





6- What is taxable in the Zone?

A-The income of Registered Enterprises accrued from its activities in the Zone or directly accrued from such activity outside the Kingdom shall be subject to a (5%) income tax on its total taxable income. The basis of calculating such and all other related matters are determined in accordance with the Regulations.

B-Notwithstanding what is stated in Paragraph (A) of this Article, income accrued for banks, financial institutions, insurance and re-insurance companies and land transport companies operating in the Zone shall be subject to the provisions of the Income Tax Law in force, whether or not such entities are Registered Enterprises.

C-The income of any person. other than Registered Enterprises, accrued from his business in the Zone shall be subject to the provisions of the Income Tax Law including what any’ natural person earns as salaries, wages, allowances, bonuses and the like.

7-What are your taxes obligation at the zone?

Subject to the provisions of the Income Tax Law, the regulations and instructions issued pursuant thereto, every person, Registered Enterprise or investor in the Zone shall abide by the following: A-Deduct the income tax due on payments made to any natural person whether salaries, wages. Al1owances, bonuses or allocations and remitting such to the Authority. B-Deduct (10%) of any amount from a taxable income paid to a non-resident person. except what is paid by a Registered Enterprise to an investor who invests in not less than (20%) of its capital and remitting such to the Authority.




8- What can be exempted from the incom of registerd enterprise in the zone ?


Any income of the Registered Enterprise shall be deemed as income accrued from the Zone, with the exception of the following:

A- Income accrued from its activities in the Customs Territory and indicated as follows:-

1-Income accrued from the sale of its goods that are delivered in the Customs Territory.
2-Income accrued from providing its services by effecting the following:
- If the beneficiary from the service resides in the Customs Territory.
- If the service provider, the service or the means of providing such is moved to the Customs Territory.
3- Income accrued from exploiting intellectual property rights of any Registered Enterprise if such exploitation takes place in the Customs temtory

B- Income accrued from its activities outside the Kingdom and indicated as follows:

1- Income accrued from the sale of its goods that are exported outside the Kingdom.
2- Income accrued from providing its services by effecting the following: - If the beneficiary from the service resides outside the Kingdom.
- If the service provider, the service or the means of providing such is moved outside the Kingdom.
3- Income accrued from exploiting intellectual property rights of any Registered Enterprise if such exploitation takes place outside the Kingdom.




9-Are sales tax and services taxes applicable in the zone ?

Sales tax shall be imposed on goods sold and services rendered in the Zone as follows:

1.A (7%) sales tax of the value of selling goods and services when sold into consumption in the Zone to be determined pursuant to a Regulation. 2 2.A tax on sales of goods and services from the Zone to the rest of the Kingdom or abroad according to the provisions of the General Sales Tax Law in force.
3.The seller of the good or service shall collect the tax stipulated in Subparagraphs (1) and (2) of this Paragraph and shall remit it to the Authority.

B-The Council of Ministers shall impose a special tax on sales of tobacco and its products. alcohol, liquor and beer when sold into consumption in the Zone according to Instructions issued for this purpose.




10-Conditions of selling and leasing lands from the authority in the zone?

1- Ownership of lands registered in the name of the Public Treasury, which fall within the perimeters of the Zone, shall be transferred to the Authority according to the Council of Ministers’ decision. The Authority’ shall not in any circumstances sell any of these lands except for purposes of establishing hotels. educational, health and therapeutic institutions and residential and commercial buildings according to the basis and conditions determined pursuant a special Regulation issued for this purpose, taking into account the principle of reciprocity and that the laws of the purchasers country allow ownership of property by Jordanians.

2-The Authority shall be entitled to dispose of the State’s lands, which are not registered with the Treasury by leasing or investing such according to Instructions issued by the Council of Ministers.

3-the Authority may conclude lease contracts with others for a period not exceeding fifty years. Upon the recommendation of the Board, the Council of Ministers may extend such period, as it deems appropriate, in certain circumstances if the lease is related to an investment activity in the Zone.

4- Registered Enterprises shall be entitled to hold, own and dispose of immovable properties within the Zone necessary for its activities pursuant to the Regulation issued in accordance with this Law.

5- The provisions of the laws relevant to the right of preemption and priority shall exclusively apply to residential areas in the Zone.

6- According to the regulation, w The provisions of the laws relevant to the right of preemption and priority shall exclusively apply to residential areas in the Zone. hoever purchases Land from the Authority to establish any project thereon shall undertake to complete such project within the period specified by the Authority, provided that such period does not exceed three years from the date of purchase, unless the Board approves the extension thereof for the period deemed necessary, provided that the extension shall not exceed two years, for one time, and is on a case-by-case basis.






11-What are the conditions of entering the zone for non-Jordanian?

1-The Authority shall issue the following for non-Jordanians pursuant to instructions Issued by the Board:
1- Visit visa.
2- Transit visa.
3- Work visa.
4- Work permit
5- Residency permit.

2-Any resident in the Zone or employer therein, whether a Registered Enterprise or not, may apply to the Authority for issuance of a work visa for bringing any non-Jordanian worker into the Kingdom to work for him in the Zone;.
-The work visa issued by the Authority shall be for periods of three, six or twelve months, or for the period of the employment contract, provided that such period does not exceed five years. Such visa shall be renewable.
-The work visa shall be considered as a residency permit for the period of the visa. The holder of such shall be given (15) days to leave the Zone upon the expiration or revocation of the work visa.
-The Authority shall collect for the issuance of a work visa or permit in the Zone a (40) dinars fee for every three months of the visa’s or permit’s period.
-If the period of the visa or permit exceeds three months, the fee shall be collected once at the rate of (40) dinars for every three months of the period of such.





12- W hat is the role of the board protecting the environment?
For implementation of the provisions of the Law, the aqaba Board shall be responsible for protecting and maintaining the environment in the Zone and for ensuring sustainable development according to the basis and standards determined pursuant to a Regulation, provided that such shall not be below the adopted levels in the Kingdom. For this purpose, the Authority shall assume the powers of the Public Corporation for Environmental Protection. The Chief Commissioner shall assume, as the case may be, the powers accorded to the Minister and the Director General stipulated in the Environment Protection Law in force.