Grand Theft Auto V is one of the best-selling videogames of all time, but despite the game’s success, reports suggest that developer Rockstar Games’ UK studios have not paid corporation tax in the country for ten years.
According to a report from The Scotsman, an investigation by think tank TaxWatch claimed that the studio, which was founded in Dundee before moving to Edinburgh, has not paid corporation tax in ten years, despite allegedly benefitting from a relief fund at the expense of the UK taxpayer.
Set up five years ago, the British Film Institute’s cultural test for video games is a points-based test in which studios need to score at least 16 points out of a possible 31 in order to qualify for a tax break. Points are awarded based on gameplay factors including the game’s setting and original dialogue language, whether the title “reflects British creativity,” the location of the development process, and the citizenship of key members of staff. Studios that apply must be registered in the UK, and exist within the UK corporation tax net in order to qualify.
Original source: https://www.pcgamesn.com/grand-theft-auto-v/rockstar-taxes