Finance Act 2024

Transition of video games from European expenditure condition to UK expenditure condition

24 (1) Sub-paragraphs (3) and (4) apply if—

(a) a company makes an election under section 1179B(1) in relation to a video game in its company tax return for an accounting period (“the opt-in period”),

(b) no earlier accounting period was the completion period, and

(c) in an earlier accounting period, the company was entitled to, and claimed, special video games relief in respect of that video game.

(2) In this paragraph, “special video games relief” and “completion period” have the meanings given by section 1217E(1) of CTA 2009.

(3) Subsections (3) and (4) of section 1217EB of CTA 2009 apply as if the video game had been completed at the end of the accounting period preceding the opt-in period (and, accordingly, as if that period were the completion period).

(4) In section 1179FH of CTA 2009 as it applies in relation to the video game, the references to core expenditure are to be read as limited to core expenditure incurred in or after the opt-in period.