Jordan (JO)
Jordan is a stable, welcoming Hashemite Kingdom at the crossroads of the Middle East — home to Petra, one of the Seven Wonders of the World, the legendary Wadi Rum desert, and the mineral-rich Dead Sea.
Tax & Payslip Guide
Understanding your taxes in Jordan — tax year January 1 – December 31.
📊 Income Tax Brackets
| Income from | Income to | Rate | Notes |
|---|---|---|---|
| 0 | 5,000 | 5% | First JD 5,000 of taxable income (after personal exemption). NOTE: Jordan grants a personal income exemption of JD 9,000/year for individuals (JD 18,000 for families) before the brackets below apply. These brackets are on net taxable income after the exemption — e.g., a single individual must earn over JD 14,000 gross before paying any tax. Rates per Income Tax Law No. 34 of 2014 as amended (2026). |
| 5,001 | 10,000 | 10% | JD 5,001–10,000 of taxable income (after personal exemption). |
| 10,001 | 15,000 | 15% | JD 10,001–15,000 of taxable income. |
| 15,001 | 20,000 | 20% | JD 15,001–20,000 of taxable income. |
| 20,001 | 1,000,000 | 25% | JD 20,001–1,000,000 of taxable income. The wide span of this bracket means most high-income earners (professionals, managers) pay a maximum marginal rate of 25%. |
| 1,000,001 | ∞ | 30% | Top rate on taxable income above JD 1,000,000/year. Effectively a wealth surtax applicable only to very high earners. |
🏛️ Social Contributions
Mandatory for all employees (Jordanian and expat) working in Jordan. Covers pension, disability, work injury. Income ceiling applies. Expats from countries with bilateral social security agreements may be exempt from double contributions.
Applies to private-sector employees enrolled in the National Health Insurance Fund. Coverage is limited — most expats supplement with private health insurance.
🛒 VAT Rates
Jordan imposes a 16% General Sales Tax (GST, locally called "Sales Tax" or Daribat al-Mabi'at) on most goods and services. Hotels add a further 10% tourism tax + 4% municipality fee, bringing hotel bills to a total of 30% in taxes. Some free zones (Aqaba Special Economic Zone) apply 0% GST.
🧾 Sample Payslip Decoder
🌍 Special Expat Tax Rules
Jordan does not offer a formal expat tax regime (no equivalent to the Netherlands 30% ruling or UAE zero-tax). However, if your employer is a registered foreign company paying you from abroad and you are not providing services to Jordanian clients, income may not be subject to Jordanian income tax — this is a complex area requiring a local tax adviser. Most employer-sponsored expats pay Jordanian income tax. The Aqaba Special Economic Zone (ASEZ) offers preferential 5% flat income tax rate for qualifying businesses and their employees.
📋 Double Tax Treaties
Jordan has double taxation agreements (DTAs) with approximately 40 countries including UK, France, Germany, Italy, Egypt, Lebanon, Syria, Iraq, Kuwait, Qatar, UAE, Pakistan, India, Canada, Romania, Bulgaria, and others. Check the Income and Sales Tax Department (ISTD) website for the current treaty list.
Tax & Payslip
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