Germany's offerings of additional games
German Games Industry Set for Stronger State Support
The German games industry is gearing up for increased state support, as negotiations for tax incentives are underway. This move comes amidst a boom in the global games industry, with visual possibilities improving thanks to new technology.
Politicians from various factions and states have signaled their approval for the plan to relieve German developer companies of taxes. The federal government, led by Federal Research Minister Dorothee Baer (CSU), is working "at full speed" on this, aiming to provide game manufacturers with the ability to claim certain costs and pay less tax, to stimulate investments.
Malte Behrmann, an industry expert, views the federal government's plans positively but calls for a change in funding policy in the future. Behrmann suggests that the scope of tax incentives should be determined based on whether game companies tax their profits in Germany. He also criticizes that international game conglomerates have so far pocketed German funding while taxing their profits abroad.
Joachim Ebmeyer, a CDU Bundestag MP, considers tax incentives for the games industry a "very good instrument to increase the attractiveness of the location Germany." Similarly, NRW Minister of Culture Nathanael Liminski (CDU) sees such a system as a promising investment in the games location Germany, as it could attract foreign developer studios and create jobs, potentially leading to positive effects on tax revenues.
The Greens support tax incentives for games companies, seeing them as a "targeted investment in the future of the economic location Germany." Green Bundestag MP Andrea Lübcke views gaming as "one of the central innovation and growth industries of the 21st century."
The current Federal Minister negotiating with the Federal Ministry of Finance and the federal states on the introduction of tax exemptions for the German games industry is not explicitly named in the provided search results. However, SPD Bundestag MP Holger Mann calls for speed in implementing tax incentives for games companies.
The German games industry is currently facing a cost disadvantage of around 30 percent compared to other countries. Less than five percent of the money spent on games in Germany goes to games from the Federal Republic. This trend is expected to change with the proposed tax incentives, which aim to level the playing field for domestic game developers.
Successful games from German studios include "Anno 1800" by Ubisoft, "Enshrouded" by Keen Games, and "Hunt Showdown" by Crytek. As these games demonstrate, German studios have the potential to compete on a global scale. With stronger state support, they may be able to realise this potential more fully.
In conclusion, the German games industry is set for stronger state support, with negotiations underway for tax incentives. This move is seen as a positive step towards levelling the playing field for domestic game developers and boosting the German games industry's global competitiveness.
