UK games industry
TIGA points out change to R&D tax credits system.
December 15, 2009
Last weeks Pre-Budget Report brought some progress in respect of Research and Development (R&D) tax credits. Developers will no longer have to own the Intellectual Property (IP) in the product of their research and development in order to qualify for the relief.
The condition requiring that any IP deriving from the R&D to which the expenditure is attributable be owned by the company making the claim will be abolished. The change will have effect for any expenditure incurred by a small or medium-sized enterprise (SME) company on R&D in the accounting period ending on or after 9 December 2009. This means that game developers no longer need to own the IP in the product of their research and development in order to qualify for R&D tax relief.
Games businesses can contact TIGA for further details.
Ends
Notes to editors:
For further information about R&D tax relief and the changes resulting from the 2009 Pre-Budget Report, please see: PBR Note 06 and http://www.hmrc.gov.uk/pbr2009/pbrn6.pdf