UK corporation tax reliefs for the video game industry will be among the most generous in the world, the UK’s Chancellor of the Exchequer George Osborne said today.
Under these reliefs, qualifying companies will be able to choose between an additional deduction at a rate of 100pc of enhanceable expenditure or a payable tax credit at a rate of 25pc of qualifying losses surrendered.
“Budget 2012 announced that the Government will introduce corporation tax reliefs from April 2013 for the video games, animation and high-end television industries, subject to state aids approval,” Osborne said in his Autumn statement today.
“Following consultation on their design, the Government will ensure that the reliefs are among the most generous in the world by offering a payable tax credit for all three reliefs worth 25pc of qualifying expenditure,” he said.
