Sections

TIGA seeks 30 per cent flat-rate for UK tax relief

Consultation report stresses importance of helping projects of all sizes and the impact of new business models

The UK trade body TIGA has asked for a flat-rate of 30 per cent tax relief for UK companies as part of its consultation process with the government.

Both TIGA and UKIE have been working with the government as part of its "Consultation on Creative Sector Tax Reliefs", which will help to shape the promised tax breaks for UK game companies.

In total, TIGA polled more than 100 developers and publishers, and a single rate of 30 per cent was the favoured option. As a secondary option, the government could award 30 per cent to projects budgeted at less than 250,000, and 25 per cent for projects budgeted at more than 250,000.

TIGA has stressed the importance of providing assistance to both large and small projects, reflecting the needs of the large community of independent developers in the UK. Any tax relief should also recognise the way that online connectivity and new business models have changed the way games are funded, and the growing number of post-launch costs like DLC and patching.

"Games are increasingly being developed as a service, with a large amount of the content being created and released post-launch, and the game evolving over time," said TIGA CEO Richard Wilson. "So it is important that studios are able to claim relief on costs arising after the release of a game.

"A well designed Games Tax Relief will power the industry forward and contribute to economic growth."

Related stories

Scotland now home to more than 4,000 games staff

Local industry grew by 27 per cent last year, with almost 100 companies based within the nation

By James Batchelor

TIGA publishes guide to forthcoming changes in data protection law

The General Data Protection Regulation to replace the Data Protection Act on May 25

By Haydn Taylor

Latest comments

Sign in to contribute

Need an account? Register now.