Incentive Measures

Incentive Measures(The following is an overview of each scheme. Please check with each administrative agency for details, as there are various conditions.)

Support measures through Act for Strengthening the Management of Small and Medium Enterprises,

Business persons whose management capability improvement plans have been approved are eligible to receive support (tax measures, financial support) in implementing those plans.

The Small and Medium Enterprise Agency Website: 　http://www.chusho.meti.go.jp/keiei/kyoka/pdf/tebiki_zeiseikinyu.pdf

Tax Measures	Special measures for taxes such as fixed asset taxes or corporate taxes may apply to fixed facilities acquired through approved plans may be available.
Financial Support	Support in fundraising such as credit or loan guarantees for low-interest loans from governmental financial institutions or loans from private financial institutions may be available.

Support based on the Regional Future Investment Promotion Act

Private businesses can receive support from the national government and other bodies, including tax incentives, by formulating a "plan of a leading project for invigorating the regional economy" based on the basic plan and obtaining approval from the governor of Hokkaido.

Website: 　https://www.meti.go.jp/policy/sme_chiiki/chiikimiraitoushi.html

　

Hokkaido

Summary of Financial Aid Arrangements to Promote Industrial Sites based on the Hokkaido Industrial Development Ordinance

Website:　http://www.pref.hokkaido.lg.jp/kz/ssg/sgr/yugu/sinhojoseido.htm

(Revised on April 1, 2022)

Type	Category	Applicable Industry Type (Business)		Applicable Region	Support Conditions Investment Amount / Increased Employment	New Facility Expanded Facility	Remarks
							Subsidy Amount	Limit Amount	Total Limit Amount
Type I	Expanding Industry Areas	Automotive-Related Aerospace-related manufacturing Aircraft-related manufacturing industries High-functional material/composite material manufacturing industries		All of Hokkaido (Except Sapporo) (Vegetable factories apply for industrial parks and suitable factory sites(Except Sapporo) )	At Least 500 million yen At least 20 people	New Facility	10% of investment amount	1.5 billion yen	2 billion yen throughout a corporation
						Expanded Facility	5% of investment amount	500 million yen
		Electronics & Electronic Device Manufacturing Pharmaceutical Manufacturing Food-Related Manufacturing Vegetable Factories New Energy-Related Manufacturing				New Facility	10% of investment amount	1 billion yen	1.3 billion yen throughout a corporation
						Expanded Facility	5% of investment amount	300 million yen
		New Energy Supply Industry ※Must be applicable for municipal support.			At least 1 billion yen At least 1 person	New Facility	5% of investment amount	100 million yen	150 million yen throughout a corporation
						Expanded Facility	2.5% of investment amount	50 million yen
		Data Center Business			General type: At least 1 billion yen At least 5 people Environmentally-Friendly Type: At least 2 billion yen At least 5 people	New Facility	10% of investment amount	General type: 300 million yen Environmentally-Friendly type: 500 million yen	General Type: 450 million yen Environmentally-Friendly type: 750 million yen throughout a corporation
						Expanded Facility	5% of investment amount	General type: 150 million yen Environmentally-Friendly type: 250 million yen
		Fundamental Technology Industry			At least 25 million yen At least 5 people	New Facility	10% of investment amount	300 million yen	1.3 billion yen throughout a corporation
						Expanded Facility	5% of investment amount
		Headquarter Function Relocation Industry	(Capital investment)	All of Hokkaido (Except Sapporo)	At Least 100 million yen At least 20 people	New Facility	10% of investment amount	100 million yen	―
			(Rental)	All of Hokkaido	(no investment conditions) At least 20 people (At least 30 people in Sapporo City)	New Facility	Half a year’s rent each year for 3 years (for 1 year in Sapporo City)	10 million yen/ year	―
	Development Base Facilities Areas	Natural Science Research Stations ※ Limited to types related to expanding industry areas.		All of Hokkaido	At least 1 billion yen At least 5 research personnel	New Facility	10% of investment amount	1 billion yen	1.3 billion yen throughout a corporation
					At least 500 million yen At least 5 research personnel	Expanded Facility	5% of investment amount	300 million yen
		Advanced Distribution-Related Business ※ Limited to businesses related to expanding areas of industry.		All of Hokkaido (Except Sapporo)	At least 2 billion yen At least 20 people	New Facility	10% of investment amount	500 million yen	650 million yen throughout a corporation
						Expanded Facility	5% of investment amount	150 million yen
Type II	Municipality Affiliated Promotion Areas	•Manufacturing Industry •Natural Science Research Facility •Advanced Distribution-Related Business •Information Technology industries (software, information processing & provision, internet-related services) •Call Center Business •Vegetable Factory ※ Must be eligible under site subsidy measures enacted by a municipality.		Special Measure Regions	At least 25 million yen At least 5 people	New Facility Expanded Facility	4% of investment amount	100 million yen	Investment subsidy 300 million yen throughout a corporation
							For increased employment: 500,000 yen per person (if employment is increased by 6 people or more, this is paid from the 6th person.)	50 million yen
				Areas of overlap between Special Measure Regions and Areas to which the Regional Future Investment Promotion Act applies		New Facility	8% of investment amount	100 million yen
							For increased employment: 500,000 yen per person (if employment is increased by 6 people or more, this is paid from the 6th person.)	50 million yen
				Areas where the Regional Future Investment Promotion Act applies		New Facility	4% of investment amount	100 million yen
							For increased employment: 500,000 yen per person (if employment is increased by 6 people or more, this is paid from the 6th person.)	50 million yen
				Industrial park (excluding Sapporo City) (limited to manufacturing industries or plant factories) (The eligible plant factories should be in the industrial park or in an area that is designated by the government as “land lots suitable for factories”.(Except Sapporo))	At least 50 million yen At least 5 people (It can include an increase in employment (up to 2 people) for facilities that operate integrally with facilities that are eligible for the subsidy.)	New Facility	8% of investment amount	100 million yen
						Expanded Facility	4% of investment amount

Tomakomai City

Incentive Measures based on City of Tomakomai Corporate Location Promotion Ordinance

Website: https://www.city.tomakomai.hokkaido.jp/kigyoritchi/yugusochi/josei.html

Applicable Type of Industry	Incentive Measures	Applicability Conditions		Details of Subsidy, Etc.
				Subsidy, Etc.		Limit Amount	Total Limit Amount
(Factory, Etc) Factory Distribution Facility Resource Recovery Facility International Distribution-Related Facility Mechanical Repair Facility Vegetable Factory	Business Place Establishment Subsidy	New Facility	•Acquired land area (including lease) at least 2,000 m² •Fixed asset acquisition value at least 20 million yen	At least 10 new employees	Amount corresponding to 3 years’ fixed asset tax	200 million yen	1 billion yen throughout a corporation
				Same as above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
		Expanded Facility, Etc.	• Area pertaining to expansion at least than 300 m² •Fixed asset acquisition value at least 20 million yen	At least 5 new employees	Amount corresponding to 2 years’ fixed asset tax	200 million yen
				Same as above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
	Employment Subsidy	New Facility	Acquired land area at least 2,000 m² •At least 5 new employees	300,000 yen per new employee		10 million yen	-
		Expanded Facility, Etc.				100 million yen
	Greening Subsidy	New Facility	•Acquired land area at least 300 m² •Greening of at least 10% of the acquired land •Greening completed within 2 years of operation commencement date	Amount corresponding to 30% of greening project costs		10 million yen	-
		Expanded Facility, Etc.	•Acquired land area at least 300 m² •Greening of at least 10% of the acquired land •Greening completed within 2 years of operation commencement date			10 million yen
Information Communication-Related Facility (Data Center Business, etc.) Experiment and Research Facility	Reduction of Initial Investment	New Facility	•Acquired land area at least 2,000 m² •Fixed asset acquisition value at least 20 million yen •Commence operation within 3 years of contract execution date •Limited to city-owned land	10% discount of land price		-	-
		Expanded Facility, Etc.※
	Business Place Establishment Subsidy	New Facility	•Fixed asset acquisition value at least 20 million yen	At least 5 new employees	Amount corresponding to 3 years’ fixed asset tax	200 million yen	1 billion yen throughout a corporation
				Other than above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
		Expanded Facility		At least 5 new employees	Amount corresponding to 2 years’ fixed asset tax	200 million yen
				Other than above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
	Employment Subsidy	New Facility	•Fixed asset acquisition value at least 20 million yen •At least 5 new employees	300,000 yen per new employee		100 million yen	―
		Expanded Facility, Etc.				100 million yen
	Greening Subsidy	New Facility	• Acquired land area at least 300 m² •Greening of at least 10% of the acquired land •Greening completed within 2 years of operation commencement date	Amount corresponding to 30% of greening project costs		10 million yen	-
		Expanded Facility				10 million yen
Renewable Energy Electrical Generation Facilities	Initial Investment Reduction	New Facility	•Acquired land area at least 2,000 m² •Fixed asset acquisition value at least 20 million yen •Commence operation within 3 years of contract execution date •Limited to city-owned land	10% discount of land price		-	-
		Expanded Facility, Etc.※
	Business Place Establishment Subsidy	New Facility	•Fixed asset acquisition value at least 500 million yen	At least 5 new employees	Amount corresponding to 3 years’ fixed asset tax	200 million yen	1 billion yen throughout a corporation
				Other than above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
		Expanded Facility		At least 5 new employees	Amount corresponding to 2 years’ fixed asset tax	200 million yen
				Other than above	Amount corresponding to 2 years’ fixed asset tax	100 million yen
	Employment Subsidy	New Facility	•Fixed asset acquisition value at least 20 million yen •At least 5 new employees	300,000 yen per new employee		100 million yen	-
		Expanded Facility, Etc.				100 million yen
	Greening Subsidy	New Facility	•Acquired land area at least 300 m² •Greening of at least 10% of the acquired land •Greening completed within 2 years of operation commencement date	Amount corresponding to 30% of greening project costs		10 million yen	-
		Expanded Facility				10 million yen

※ The above subsidies apply for business places which have made specified applications from July 1st 2015 onwards.
※ Fixed asset acquisition values and fixed asset tax amounts are both excluding land.
※ Excludes business places which have expanded facilities by discontinuing existing facilities.

Fund Loan System

●Foundation for Advancement of Industrial Technology in Dohoh Area（http://dohgi.tomakomai.or.jp/）
Loan Guarantee / Advanced Technology Development Promotion Project

●Development Bank of Japan Inc.（http://www.dbj.jp/）