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Preferential Treatment Systems to Promote Establishment of New Business Facilities Preferential treatment systems to promote establishment of new business facilities *2: Examples of growth industry fields（For more details, please contact us.） Tax Reduction System for Promoting Investment in Sakai City ・ ICT-related field: Products and services utilizing advanced digital technologies, including AI, big data and the IoT, and robotics ・ Next-generation healthcare-related field: Pharmaceuticals, medical devices, long-term-care devices, welfare devices, and products and services related to health maintenance and enhancement Sakai City Ordinance for Promoting Innovative Investment ・ Environmental and energy-related field: New energy technologies, including fuel cells and storage batteries, and products and services related to environmental impact reduction and environmental improvement ・ Next-generation transportation-related field: Aircraft, drones, electric vehicles, autonomous vehicles, and products and services related to space A tax reduction system under this ordinance aims to attract new investment to sites suitable for manufacturing as well as urban business sites in order development to increase employment and business opportunities and contribute to the sustainable development of industries in Sakai City and improvement of ・ Disaster management-related field: Products and services related to disaster management, disaster risk reduction, and the provision and citizens’ lives. collection of information in the event of emergencies *3: Target areas are outlined by solid lines in the respective maps below. For details,please contact us. ■ Investment in sites suitable for manufacturing Urban area Nakamozu area Izumigaoka area 【Eligible investment projects】 Construction, extension or relocation of the following designated business facilities, etc.（buildings and their ancillary facilities below） ● Plants and offices（limited to those used for conducting business in the manufacturing, and information and communication industries） Nakamozu Station ● Research institutes and advanced logistics facilities*1（without industry limitations） Sakai Station *1: Advanced logistics facilities: Facilities with advanced logistics functions utilizing ICT, equipment for streamlining freight handling, distribution processing equipment, etc. 【Target areas】 Sakaihigashi Station ●Industrial zones ●Exclusive industrial zones ●Light industrial zones Izumigaoka Station 【Subsidy details】 <Type of tax reduction> ●Fixed property tax (buildings, depreciable property) ●Urban planning tax (buildings) ●Business office tax (asset proportion) Contact Innovative Investment Promotion Office, Commerce, Industry and Labor Department, Industrial <Period> Maximum: 5 years Promotion Bureau, Sakai City TEL：+81 (0)72 228 7629 FAX：+81 (0)72 228 8816 Requirements Tax reduction rate Basic requirements Investment in fixed property: ●Small- and medium-sized business with an investment of ¥100 million or more Industrial Promotion Tax System ① ●Large business with an investment of ¥ 1 billion or more １／２ *Investment in fixed property: Total amount of the cost of construction, extension or reconstruction of To promote industrial accumulation in Osaka Prefecture through the tax system, preferential measures are offered which reduce the real estate designated business facilities, etc. and the cost of acquisition of depreciable property for business use acquisition tax levied on purchases of land and buildings (factories, research institutions, etc.) in industrial promotion areas. Head offices and/or research institutes of companies entering growth industry fields.*2 【Target businesses】 【Target real estate】 Requirement ① and condition A or B below must be met. Small- and medium-sized companies approved under Sakai City Buildings and land for plants, research facilities, and warehouses that ② A: Investment by a company that will enter a growth industry field, involving the relocation of the company’ s ２／３ Ordinance for Promoting Innovative Investment were purchased during the target period (until March 31, 2024) (Note: Such buildings must be located in the waterfront area or an head office from outside Sakai City 【Target zones】 B: Investment in the establishment of a research institute in a growth industry field area designated by the Port Management Body.) Industrial zones and exclusive industrial zones in Sakai City 【Amount of reduction】 ■Investment in urban business sites Half of the amount of real estate acquisition tax imposed on the purchase of the target real estate (Maximum:¥200million) 【Eligible investment projects】 Construction, extension or relocation of the following designated business facilities, etc. Contact International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce, ●Offices and research institutes（without industry limitations） Industry and Labor, Osaka Prefectural Government ＴＥＬ：+81 (0)6 6210 9406 ＦＡＸ：+81 (0)6 6210 9296 【Target areas*3】 ●Urban area ●Nakamozu area ●Izumigaoka area Osaka Prefecture Investment Promotion Subsidy 【Subsidy details】 To complement the industrial development measures of Sakai City and facilitate investment and the establishment of new facilities by small- and medium-sized companies committed to maintaining a business presence in Osaka Prefecture, the Osaka Prefectural Government will cover part <Type of tax reduction> ●Fixed property tax（buildings, depreciable property） of the necessary costs incurred in constructing or reconstructing factories or research institutions. ●Urban planning tax（buildings） ●Business office tax（asset propotion） <Period> Maximum: 5 years 【Target businesses】 Small- and medium-sized companies that will construct, extend or reconstruct factories or R&D facilities Requirements Tax reduction rate 【Target facilities】 Basic requirements ① Factories and R&D facilities that are expected to be proved under Sakai City Ordinance for Promoting Innovative Investment Investment in fixed property: 1 billion or more ② R&D institutions in cutting-edge industries ① １／２ （¥100 million or more in the case of the construction, extension or relocation from outside Sakai City 【Target areas】 of the head office and/or a research institute） ① Industrial zones and exclusive industrial zones in Sakai City ② Entire area of Sakai City Head offices and/or research institutes of companies entering growth industry fields in the urban area 【Subsidy details】 Requirement ① and condition A or B below must be met in the urban area. [Subsidy for investment] ② A: Investment by a company that will enter a growth industry field, involving the relocation of ２／３ 5% of the costs incurred in building facilities and installing equipment (If headquarters, factories or research institutions are located the company’ s head office from outside Sakai City within the prefecture, 10% will be covered.) (Maximum: ￥30 million) B: Investment in the establishment of a research institute in a growth industry field *There are certain conditions that must be met: e.g. investment of ￥100 million or more required. [Subsidy for corporate enterprise tax] Investment in specified growth industry fields in the Nakamozu or Izumigaoka areas 50% of the amount of corporate enterprise tax levied on business activities for two years following the year when operations start Requirement ① and condition A or B below must be met. (Maximum: ￥20 million) ③ ３／４ A: Investment by a company that will operate in an ICT-related field in the Nakamozu area *To be eligible, companies must be granted the“subsidy for investment” mentioned above and meet the requirements. B: Investment by a company that will operate in a next-generation healthcare-related field in the Izumigaoka area Contact International Business and Investment Division, Growth Industry Promotion Office, Department of Commerce, Industry and Labor, Osaka Prefectural Government TEL：+81 (0)6 6210 9406 FAX：+81 (0)6 6210 9296 9 10.
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