Why Some Publishers Might Fear UK Games Tax Relief

July 2, 2010 -

At least a few UK publishers may be concerned that any tax incentives invoked for developers could have a trickle down effect and cause problems in other areas of their business.

Develop details the feared repercussions, one of which centers around the “cultural” elements of tax breaks, which could lead to games being classified as audiovisual products—instead of software—possibly leading to a rise in taxes placed on the goods and higher prices for the end user.

The article calls such concerns “routinely rubbished,” but says that, despite that, such worries remain “prevalent across certain industry groups, bodies and companies.”

The apprehension goes back to a 2008 tax relief proposed in France, which was openly opposed by the Interactive Software Federation of Europe (ISFE) over fears of a reclassification of games as AV products.

As Develop further explained:

Sources explain that games are part software, part cultural product – yet ultimately undefined. A cultural tax relief measure could pin games to a category that some publishers link to more taxation, and import and export tax risks.

TIGA had previously stated that games might need to pass a cultural test in order to qualify for tax relief, which would involve “scoring against criteria of European heritage and game locations, languages, innovation, narrative, and location of development and key development staff.”


 
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CMinerI blame North Korea.12/25/2014 - 11:49pm
MechaTama31For the last few weeks, the GP site fails to load about 2/3 of the times I try.12/25/2014 - 11:13pm
MaskedPixelanteOK, is GP having trouble loading for anyone but me?12/25/2014 - 9:21pm
Matthew Wilsonits a bunch of script kiddies. ddosing is one of the easiest thing to do,and most companies can not stop it sadly.12/25/2014 - 5:05pm
MaskedPixelanteI like Nintendo as much as the next person, they're pretty much the only company putting out the games I want to play, but that was pretty embarassing to have NNID go down due to overuse.12/25/2014 - 4:35pm
MaskedPixelanteSee? It's NOT a repeat of last year's fiasco.12/25/2014 - 4:22pm
PHX CorpLizard squad is responsible for The XBL/PSN shutdown https://www.youtube.com/watch?v=QSpZvsoWvig12/25/2014 - 4:17pm
IanCOh shut up bitching about Nintendo. At least they advised people to downloading updates before the big day. Sony/MS? Not a peep.12/25/2014 - 3:50pm
MaskedPixelanteBoth PSN and Xbox Live are down. Since I'm sure Sony and Microsoft have better online support than Nintendo did last year, this isn't from "everyone logging onto their new devices all at once".12/25/2014 - 3:48pm
prh99John Romero's Christmas present, a custom Icon of Sin sculpture. http://www.pcgamer.com/john-romero-gets-the-icon-of-sin-for-christmas/12/25/2014 - 3:37am
Matthew Wilsonthe interview will be on youtube/xb1/ andriod today.12/24/2014 - 1:05pm
james_fudge1900's?12/24/2014 - 12:56pm
james_fudgeYeah we could go way way back :)12/24/2014 - 12:56pm
E. Zachary KnightCopyright law in general has been broken since at least 1976. Could be even earlier than that.12/24/2014 - 12:24pm
james_fudgeWhat he said :) They want to make it worse than it already is.12/24/2014 - 12:14pm
Papa MidnightDMCA has been broken since 1998. Good luck getitng Congress to do something about it.12/24/2014 - 11:39am
Craig R.At least they owned up to the mistake. But doesn't change the fact that DMCA is thoroughly broken.12/23/2014 - 5:23pm
MaskedPixelanteSpeaking of Dark Souls OMG I'M MAKING ACTUAL PROGRESS WTH IS THIS WHAAAAAAA12/23/2014 - 10:49am
MaskedPixelantehttp://www.neogaf.com/forum/showpost.php?p=144500932&postcount=740 Yup, DSFix was part of an unrelated take down, and is being resolved.12/23/2014 - 8:04am
prh99Of course had they not done such a rush on the port we wouldn't dsfix to make the game not look and play like ass. 720 internal renders aren't so hot scaled to 1080.12/23/2014 - 7:38am
 

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