http://www.gamasutra.com/view/news/182915/UK_Government_details_video_game_tax_breaks_starting_April_2013
Today outlining its plans for video game tax breaks, the British Government has declared that "generous" tax break opportunities will be extended to the UK video games industry from the beginning of the next tax year in April 2013.
Stating earlier in the year that it's looking to make Britain "Europe's technology centre" with the planned tax breaks, it's hoped that the upcoming tax relief will attract new and existing studios to develop and grow within the UK, hopefully helping to boost the economy in the process.
The plans are expanded upon in the Autumn Statement from the HM Treasury (hit the link to read them in PDF format), which notes that the tax breaks will encapsulate video games, animation and high-end television industries. It's said that the proposed tax relief is "among the most generous in the world," with payable tax credits worth 25% of qualifying expenditure.
"Under these reliefs, qualifying companies will be able to choose between an additional deduction at a rate of 100 per cent of enhanceable expenditure or a payable tax credit at a rate of 25 per cent of qualifying losses surrendered," the statement reads.
This is a major step for the UK games industry that should ensure it flourishes and grows for years to come. The statement also reveals that the Government will match voluntary industry contributions of up to £6 million ($9.7 million) over the next two years to its existing Skills Investment Fund, in a move that builds upon increased support for development studios.
A cultural test will have to be passed by each studio to demonstrate that they deserve to receive the relief, when they commence in April 2013.
Today outlining its plans for video game tax breaks, the British Government has declared that "generous" tax break opportunities will be extended to the UK video games industry from the beginning of the next tax year in April 2013.
Stating earlier in the year that it's looking to make Britain "Europe's technology centre" with the planned tax breaks, it's hoped that the upcoming tax relief will attract new and existing studios to develop and grow within the UK, hopefully helping to boost the economy in the process.
The plans are expanded upon in the Autumn Statement from the HM Treasury (hit the link to read them in PDF format), which notes that the tax breaks will encapsulate video games, animation and high-end television industries. It's said that the proposed tax relief is "among the most generous in the world," with payable tax credits worth 25% of qualifying expenditure.
"Under these reliefs, qualifying companies will be able to choose between an additional deduction at a rate of 100 per cent of enhanceable expenditure or a payable tax credit at a rate of 25 per cent of qualifying losses surrendered," the statement reads.
This is a major step for the UK games industry that should ensure it flourishes and grows for years to come. The statement also reveals that the Government will match voluntary industry contributions of up to £6 million ($9.7 million) over the next two years to its existing Skills Investment Fund, in a move that builds upon increased support for development studios.
A cultural test will have to be passed by each studio to demonstrate that they deserve to receive the relief, when they commence in April 2013.
