Proposed new tax credits for video game development in BC

The British Columbia government just announed a proposed new tax credit for the BC film and video game industries. The proposal includes:

• a credit for video game development, of 17.5% of qualifying BC labour costs
• a 33% credit on labour costs for foreign productions
• a VFX tax credit bonus of 17.5%
• a qualified BC labour expenditures cap of 60% of production costs

If passed, the credit for the video game industry would apply to game development that begins after August 31, 2010.

The purpose of the credits is to help BC compete with other provinces and countries who have actively supported the games industry.

BC government news release is here.

Our previous coverage of Ontario tax credits is here.