Video Games Tax Relief (VGTR)

Video Games Tax Relief is one category within Creative Industry Tax Reliefs.

Eligible video games

  • Available from 1st April 2014
  • The video game is British
  • The video game is intended for supply
  • At least 25% of core expenditure is incurred on goods or services that are provided from within the European Economic Area (EEA)

If your company qualifies to claim VGTR your company is also entitled to

  • An additional deduction in computing their taxable profits
  • Surrender losses for a payable tax credit where an additional deduction results in a loss

Both the additional deduction and the payable credit are calculated on the basis of EEA core expenditure up to a maximum of 80% of the total core expenditure by the video games company. Core expenditure is spending on designing, producing and testing the game. Your company may also be eligible for R&D tax credits.

To find out if you are eligible for Video Game Tax Relief (VGTR) or R&D tax credits, call us on 01332 477 070 or email info@randduk.com.

Category:

Video Game Tax Relief (VGTR)

R&D tax credits benefits:

  • Produce more British video games
  • Push the boundaries of video games in the UK
  • Enables exploration of new techniques & processes. E.g. virtual reality

Learn more:

HMRC’s Website

“We’re close to making significant breakthroughs in virtual reality (VR) and augmented reality (AR)… but to achieve this we need to improve studios’ access to finance by introducing a games investment fund and ensuring a favourable tax environment.”

Richard Wilson | CEO of The Independent Games Developers’ Association (Tiga)

 

Get in touch today!

Call randd uk on 01332 477 070 to find out how you can benefit from Creative Industry Tax Relief and R&D tax credits.

Menu