Middle East · Tax guide
Jordan
Jordan taxes company profits at 20% plus a national contribution, charges general sales tax at 16%, requires invoicing through the JoFotara system, and withholds 10% on many payments abroad. Taxes are administered by the Income and Sales Tax Department (ISTD).
At a glance
- Corporate income tax
- 20%
- General sales tax
- 16%
- Registration (services)
- JD 30,000
- Withholding on payments abroad
- 10%
Plus national contribution; higher for banks and telecoms
Standard rate
Goods JD 75,000
Services, royalties and interest
Income tax
Companies pay 20% plus a national contribution; banks, telecoms, insurers and financial companies pay higher rates. Advance instalments are paid and the annual return is due within four months of the year-end.
General sales tax and JoFotara
General sales tax is 16%. Registration is required once annual sales exceed JD 30,000 for services or JD 75,000 for goods, and returns are every two months. Registered businesses issue invoices through the national JoFotara e-invoicing system.
Payments abroad
Payments to non-residents for services, royalties and interest carry 10% withholding, paid within 30 days, unless a treaty lowers it. Dividends carry no withholding.
Key dates
- Every two monthsGeneral sales tax return
- Within four months of the year-endIncome tax return
Figures and sources
5 figures- Standard corporate income tax rate (plus 1% national contribution)20%Under professional review
- General sales tax rate16%Under professional review
- Withholding on payments to non-residents (services, royalties, interest)10%Under professional review
- Annual sales of services above which sales tax registration is requiredJD 30,000Under professional review
- Annual sales of goods above which sales tax registration is requiredJD 75,000Under professional review
Indicative only. This assessment is a high-level overview of tax obligations in Jordan based on the information you provided and rules in force for 2026. It is not tax or legal advice. Consult a qualified tax adviser in Jordan (a Jordanian tax adviser) before making compliance decisions.