Home › Free Zones › DMCC business setup › DMCC vs DAFZA
Two respected Dubai free zones with very different strengths. Compare location, VAT treatment, activities and cost before you choose.
Get Free ConsultationWhatsApp UsDMCC vs DAFZA comes down to how your business moves. DAFZA, the Dubai Airport Free Zone, sits next to Dubai International Airport and suits companies that live on air freight. DMCC, in Jumeirah Lake Towers, is Dubai's largest free zone, with the deepest commodities ecosystem and the widest range of activities. Here is how they compare.
| Factor | DMCC | DAFZA |
|---|---|---|
| Location | Jumeirah Lake Towers, on the Dubai Metro between Dubai Marina and Jebel Ali | Next to Dubai International Airport (DXB) |
| Signature strength | Commodities (gold, diamonds, coffee, tea), trading, services, crypto, gaming, AI | Air-freight trade, logistics, aviation, high-value goods |
| VAT treatment of goods | Not a VAT designated zone: standard 5% rules apply | VAT designated zone: special treatment for qualifying goods movements |
| Entry workspace | Flexi desk accepted, up to 3 visas | Desk and small-office packages |
| Published entry price | Official packages from AED 29,205 | Check DAFZA's current package list |
| Mainland access | DMCC–DET dual licence for eligible services | Dual licence options with Dubai mainland |
| Corporate tax | Both: 0% on qualifying income for a Qualifying Free Zone Person, otherwise 9% | |
DAFZA is on the UAE's list of VAT designated zones; DMCC is not. Designated-zone treatment only affects certain movements of goods under specific conditions; services are standard-rated in both zones. For a consultancy or tech firm this makes no practical difference. For a goods trader moving stock through the airport, it can. Read more in our guide to VAT for DMCC companies.
DMCC publishes its fees: AED 12,055 one-time, plus AED 20,285 a year for a standard trading or service licence (general trading AED 50,265). Packages bundle the workspace: Basic Biz AED 35,484, Jump Start AED 43,780. Get your exact estimate from the DMCC cost calculator and compare like for like with a written DAFZA quote.
Comparing more zones? See DMCC vs JAFZA, DMCC vs IFZA, DMCC vs Meydan and DMCC vs DIFC. Prefer the airport zone? We also handle DAFZA company setup.
Tell us what you sell and how it moves. We'll recommend the zone that fits and show both costs side by side.
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