The Morrison government is hoping that generous tax breaks announced this morning will help bolster Australia’s video game production industry.
Video game creators that spend more than $500,000 a year developing games in Australia will score a 30 per cent tax offset on expenditure of up to $20 million a year.
“The digital games tax offset will enable our local interactive entertainment sector to expand and foster skilled employment in an area in which significant numbers of young Australians are seeking to work,” Communications Minister Paul Fletcher said.
The policy was first announced last May, and brings tax offsets for the gaming industry in line with those of film and TV.
“It’s larger than film and music combined, but Australia currently generates a very small percentage of that revenue,” Ron Curry, chief executive of the Interactive Games & Entertainment Association, said of the gaming industry.
“The important thing about that revenue is it’s largely export revenue.
“There’s a number of significant global businesses looking at coming here, and they’ve just been waiting for the details of the [policy].”
