Tax incentive may benefit studios such as Rez Studios, CCP Games and Tripwire
The state of Georgia has passed a law approving $25 million in tax relief for the region’s video games developers, according to a new report.
Georgia state governor Nathan Deal signed the bill into law, as reported by the Atlanta Journal-Constitution.
Georgia is home to developers including Hi-Rez Studios, CCP Games and Tripwire Interactive, among others.
More than 14,900 technology companies are based in Georgia and the industry generates $113.1 billion for the state, according to the Georgia Department of Economic Development.
Georgia enacted a tax relief incentive in 2006 to encourage digital producers, including video game developers, not based in the state to relocate there to make their products.
This new legislation package, known as House Bill 958, also includes similar tax relief for food banks and energy-efficient item vendors in Georgia.
The incentives won’t be felt by some of staff of CCP Atlanta, as the developer recently decided to lay off 56 employees and shut down production on its MMO World of Darkness, which had been in the making for almost eight years. CCP Atlanta’s remaining staff with work to support the company’s flagship MMO Eve Online.
The European Commission recently approved tax breaks for UK developers, which the trade bodies UKIE and TIGA hope with aid the country in keeping up with the competitive incentive of other nations.
Photo: Flickr/Terence S Jones