Game developers to receive R&D tax concessions

Video game developers may receive tax concessions under new proposals being considered by the Federal Government for research and development.

The Games Developers’ Association of Australia, along with several other gaming lobby groups and development studios, have lobbied for tax concessions for some time.

GDAA chief executive Tony Reed said in a statement the R&D tax concession program will now “benefit the industry, rather than hinder”.

“In the proposed new guidelines the government is effectively encouraging innovation and fostering SME’s (small to medium enterprises) that operate in the global market,” Reed told The Age.

“The new amendments will almost certainly assist local game developers to secure new projects from overseas and are a step towards having international publishers take a pecuniary interest in the Australian industry. It’s a good first step forward and the GDAA supports the government’s initiatives,” he said.