Jebel Ali Free Zone
JAFZA Company Setup, Accounting & Audit Services
JAFZA is the UAE's oldest and largest industrial free zone, built around Jebel Ali Port — the logistics, manufacturing and trading backbone for companies moving physical goods through the region.
Key facts
After setup, plan for corporate tax registration, monthly bookkeeping and the annual free zone audit, and check whether your income can qualify under the free zone corporate tax regime.
| Authority | Jebel Ali Free Zone Authority (part of DP World) |
| Typical activity | Manufacturing, logistics, trading, warehousing |
| Location | Adjacent to Jebel Ali Port, Dubai |
| Audit requirement | Required annually |
| Offshore option | JAFZA also offers offshore company formation |
| Liquidation timeline | Typically 5–8 weeks; longer where a JAFZA lease notice period applies |
Accounting, audit & tax services in JAFZA
JAFZA's manufacturing and logistics tenants typically carry more complex inventory and fixed-asset accounting than a services company — costing that correctly matters for both audit and corporate tax purposes.
Setting up and running a company in JAFZA
Jebel Ali Free Zone (JAFZA) sits next to Jebel Ali Port, the region's largest container port, and is home to thousands of trading, logistics and manufacturing companies, many of them regional subsidiaries of multinational groups. JAFZA entities typically carry inventory, customs activity and related-party transactions — which makes their accounting, VAT and corporate tax more demanding than a simple service company.
| Company setup | FZE, FZCO or branch registration with JAFZA; warehouse, office or land lease depending on activity |
| Customs code | Dubai Customs registration for import and re-export activity |
| Tax registration | Corporate tax registration on EmaraTax; VAT registration if above the AED 375,000 threshold |
| Monthly accounting | Inventory, landed cost, customs and intercompany reconciliations every month |
| Annual audit | Audited IFRS financial statements submitted to JAFZA for licence renewal |
| Corporate tax and transfer pricing | CT return within 9 months of year-end, with transfer pricing disclosures for group transactions |
Corporate tax & VAT for JAFZA companies
JAFZA is a VAT designated zone. Movements of goods within and between designated zones can fall outside the scope of UAE VAT, while services and supplies into the mainland are taxed normally. Getting this distinction right on every invoice is the single biggest VAT risk for JAFZA traders.
For corporate tax, distribution of goods from a designated zone to resellers can be a qualifying activity, but sales to end consumers and most mainland service income are not. Group companies must also price intercompany transactions at arm's length and keep transfer pricing documentation.
More services for JAFZA companies
Related guides from our team
Practical explanations of the rules behind this service, written by our chartered accountants.
Questions about operating in JAFZA
Does JAFZA offer offshore companies too?+
Yes — JAFZA Offshore is a distinct structure from a standard JAFZA free zone licence, aimed at holding and international structuring rather than physical operations.
How does port proximity affect accounting for JAFZA companies?+
Import/export documentation, customs duty and freight cost allocation become material line items — worth setting up your chart of accounts to track these separately from day one.
Is warehousing inventory audited differently than trading inventory?+
The verification approach is similar, but valuation methodology (especially for manufacturing work-in-progress) needs more scrutiny than a simple resale trading model.
Is JAFZA a VAT designated zone?+
Yes. Qualifying supplies of goods within designated zones can be outside the scope of VAT, but services and goods consumed in the zone are generally taxable. Each transaction needs to be assessed.
Do JAFZA companies need an annual audit?+
Yes, JAFZA requires audited financial statements for licence renewal, and an audit is also a condition of 0% Qualifying Free Zone Person status.
What is the difference between JAFZA and JAFZA Offshore?+
A JAFZA free zone company operates from the zone with premises and visas; a JAFZA Offshore company is a holding or asset-owning vehicle that cannot trade in the UAE. See RAK ICC vs JAFZA Offshore.
How long does JAFZA company liquidation take?+
Typically 5–8 weeks for a solvent company with clean records; a JAFZA lease adds its own notice period. See our JAFZA liquidation page.
We work directly with businesses across JAFZA and 10+ other UAE free zones.
Operating in JAFZA and need accounting or audit support?
Tell us your licence type and current filing status — we'll confirm exactly what JAFZA requires and quote a fixed fee within 24 hours.