Aussie R&D tax credit could help its games sector become "one of the top three territories in the world"

Tony Reed, CEO of the Game Developers Association of Australia, feels the Australian Government's proposed R&D tax credits is the best deal it has come up with to date, as it will provide the gaming sector with a 45 percent refundable tax credit if a firm's turnover is less than $20 million.

If passed through Parliament, the $1.8 billion ($1.89 billion US) R&D tax credit will help the country's industry "become one of the top three territories in the world," for game development in t he next five years, said Reed.

"No matter how big or small a studio is, this is the kind of thing that will encourage development," he said. "It is designed with our own independence, creativity, and innovation in mind.

"Our goal at the GDAA is to prepare Australia to become one of the top three territories in the world for game development within the next five years. I think this can be achieved--the industry is doing really great right now and we seem to have gone back to our roots in generating amazing content.

"From a contract point of view this is really attractive because it really does help offset the really high Aussie dollar."

You can watch the video with Reed speaking of the tax credits with Gamespot, below.