Industrial operations

Did you know that some Brazilian cities and municipalities rely on fiscal incentives to attract companies? Their goal is to develop the region, create more jobs, and stimulate the local economy. Among the main public policy instruments aimed at attracting companies are fiscal incentives that reduce their costs, such as ICMS (Tax on Circulation of Goods and Services), IOF (Tax on Financial Operations), PIS (Social Integration Program), COFINS (Contribution for Social Purposes), IPI (Tax on Industrialized Products), and ISS (Tax on Services of Any Nature).

However, fiscal incentives alone are not the only factor that influences a company's decision on where to start its operations or relocate its activities. The municipality needs to offer the necessary infrastructure for the new residents to access healthcare services, hotels, commerce, and other services such as schools for their children, for example.

A municipality may offer a reduction in property taxes (IPTU) to encourage a logistics company to set up local warehouses. However, if there are no well-maintained roads or access routes for transportation, the incentive starts to lose its attractiveness. Therefore, geographical location and the development of local infrastructure play a significant role. When combined with fiscal incentives, they help facilitate the migration of companies.

The criteria for companies to qualify for fiscal benefits may vary. In some cases, the state may require a percentage of the workforce to be composed of residents, for example. Thus, public policies aimed at developing a skilled workforce can also be a decisive factor in attracting major players in the industry, e-commerce, or other areas of activity.

At SiiLA SPOT, a platform for commercial, industrial, and logistics property listings by SiiLA, you can find numerous properties available for lease and sale. Some of them are located in municipalities that have fiscal incentive projects, such as Atibaia in the interior of São Paulo. Here, property tax (IPTU) exemptions can last for up to 20 years, and the ISS (Tax on Services) for service activities can be as low as 2%. Click here to check the available properties for establishing your business.