Digital Media Fund extended until 2012, tax credits for larger firms rises to 25 per cent
The Government of Ontario, Canada has enhanced its tax breaks for game production as part of its 2008 budget.
Interactive Media firms in the province now have more time to take advantage of the Ontario Interacitve Digital Media Tax Credit, with the scheme extended until 2012 for small companies. Eligibility for claiming the credit has been extended by two to three years also.
At the same time, larger companies can now benefit from an increased 25 per cent rebate on fee-for-service work, up from 20 per cent.
Plus, the region's Interactive Digital Media Fund wil receive an additional $7m over the next four years to help boost the number of games companies in the region.
“The McGuinty government has sent a clear signal that they are bullish about the opportunities for the Ontario interactive media industry” says Ian Kelso, President & CEO of Interactive Ontario, the trade association representing about 200 Interactive Media companies in the province.
“Sectors like video games, mobile and e-Learning are poised for rapid growth and require this kind of support to fuel the massive demands of innovation and growth.
“Ontario has a real opportunity to build a world class creative cluster that is tuned to the massive economic transformations occurring globally in media and content industries,” added Kelso.
“We have the talent, the infrastructure and the entrepreneurial acumen. With this announcement we are pleased to enhance our toolkit that can leverage investment.”