Georgia gov't extends tax credit to developers same day that made-in-Georgia World of Darkness MMO is canceled

HB 958 extends tax credit for video game production companies based in the state that meet certain criteria.

Image credit: Governor Nathan Deal / Office of the Governor

Georgia governor Nathan Deal on Monday signed a bill that extends the state's $25 million tax credit to local video game developers. Deal signed the bill, HB 958, on the same day that CCP Games' Georgia-based development studio canceled its World of Darkness MMO and laid off dozens of staffers as a result. It's unknown if the bill could have helped save the game or its developers.

To be eligible for the tax break, "qualified entertainment production companies" need to maintain a business that is physically located in Georgia, have a total aggregate payroll of $500,000 or more, and have gross income of less than $100 million for the taxable year. Companies must also be primarily engaged in production activities that are "related to interactive entertainment which have been approved by the Department of Economic Development."

HB 958 goes on to state that the maximum credit for any qualified interactive entertainment production company can be $5 million for a taxable year. When the $25 million cap is reached, the tax credit for such qualified companies will expire. You can read HB 958 in full at the state of Georgia's website.

This is not the first time Georgia has attempted to lure developers to its state with a tax break package. In 2008, the state adopted a new law called the Entertainment Industry Investment Act that would give eligible companies a 20 percent tax credit.

While Georgia may not be considered a hot-bed for video game development, the state currently is currently home to more than a dozen game and digital media companies. Some of these include CCP North America (World of Darkness), Tripwire Interactive (Killing Floor), and Xaviant (Lichdom: Battlemage).

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Eddie Makuch

Eddie Makuch is a news editor at GameSpot, and would like to see the Whalers return to Hartford.
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28 comments
tonytones21
tonytones21

Soooooooooooo.... is this a good thing or a bad thing?

Megavideogamer
Megavideogamer

Atlanta could be a good place to create games. but the state tax break came to late for this studio. World of Darkness MMO may not have been a viable investment. Hopefully the developers will find new work. 


Hopefully the videogame developers in Georgia will become healthy and stable. The videogame industry needs to remain somewhat healthy. At least the state of Georgia is trying. 

Thanatos2k
Thanatos2k

So did they learn from Rhode Island?

Steveb106
Steveb106

With Georgia's film industry seemingly booming over the past few years it's no wonder the government is trying to get a slice of that $15 Billion video game sales pie.


By offering tax breaks to potential developers, they're trying to attract more businesses to Georgia. More business, more workers, more revenue, more taxes, more funding for state projects.

staticsnake87
staticsnake87

Hey Georgia, why don't you consult Rhode Island about investing in gaming first before you go too far and publicly support a company.

playstationzone
playstationzone

another mmo in one month got shut down and i getting worried about future gameing because they have to pay tax more.

Crzy1
Crzy1

Didn't realise World of Darkness got canned.  Was wondering what had happened to it the other day.  Has been vaporware for a while now, never really expected it to get released.  Well, at least I know now.

olddadgamer
olddadgamer

Another wonderful irony is how politicians seem to hate video games.... unless they're made in their state. 

ExtremePhobia
ExtremePhobia

Eddie, you might want to spend more time editing next time.

Tigerbite2
Tigerbite2

Dear Georgia Government,

FIX YOUR FUCKING ROADS BEFORE TRYING TO ATTRACT NEW BUSINESSES.

Sincerely yours,

Angry every day Atlanta driver.

StHapns247
StHapns247

Talk about a butchered headline.. and all for not as you admitted they were not related.

EasyComeEasyGo
EasyComeEasyGo

I'm from Atlanta GA, and I didn't know Deal made this bill but I wouldn't trust him so be weary of him to any Game Developers out there.

Shelledfade1
Shelledfade1

yes, but eddie, they're not related lol...  "It's unknown if the bill could have helped save the game or its developers."  

then why are you misleading more readers ? They have nothing to do with each other yet your title implies otherwise. You've been doing this consistently now, and frankly I'm getting a little pissed off.

Your title should have been "
HB 958 extends tax credit for video game production companies based in Georgia that meet certain criteria."  Cuz that's all you're reporting lol.

sanchango
sanchango

@tonytones21  Think about this way. The U.S. is planning to remove tax breaks for "violent" video game developers. It doesn't matter if video game companies are only associated with them. Any associations with violent video game developers can't get a tax break, so basically every company falls under that. So this thing is actually really good

sweet_jcs
sweet_jcs

@staticsnake87  Tax credits are different from direct investment.  And it's working out great for the film industry here, look at The Walking Dead and The Hunger Games, both filmed in GA.  Also Anchorman 2, The Internship, Identity Theif, Zombieland.  Perhaps you've heard of a small franchise called James Bond?  Pinewood studios just opened up a huge studio here.

Stiler
Stiler

@staticsnake87 There's a HUGE difference between offering tax breaks (which lures in jobs/companies which can overall help the state) and actually INVESTING money, tax money, into a game developer, which you can risk losing.

EasyComeEasyGo
EasyComeEasyGo

Well it looks like Eddie is all Tweet out. Nothing new news to report.

staticsnake87
staticsnake87

@Shelledfade1  If you think this is bad you should see the downhill slope IGN is on. I've all but removed them from my Bookmarks

ExtremePhobia
ExtremePhobia

@Shelledfade1  I don't get what you're getting at. To me, it seems like he's pointing out the irony. And it is a little ironic. That doesn't mean that this would have helped them (it couldn't really). But it is still ironic.

Tigerbite2
Tigerbite2

@Shelledfade1 Headline = Attention grabber.  And his headline is not false.  So stop griping.  This is media.  #DealWithIt

StHapns247
StHapns247

@EasyComeEasyGo  You'd think he would then make two articles out of this if he's starved for content... Just doesn't make sense either way.

Shelledfade1
Shelledfade1

@ExtremePhobia @Shelledfade1  then it should be mentioned later in the article as I understand the irony and what you are saying, but you don't put something like that in the HEADLINE of the news you're reporting because it's implying they're related to get the reader interested when in fact they end up having absolutely nothing to do with each other other than pure coincidence.

staticsnake87
staticsnake87

@Tigerbite2 @Shelledfade1  Do you say LOL out loud in public on top of putting those stupid hashtags everywhere for no reason? How does telling someone to deal with it in that form really change anything or add to your argument at all?

Tigerbite2
Tigerbite2

@staticsnake87 @Tigerbite2@Shelledfade1 It's a knock on Orth's tweet.  But to answer your questions, no I do not say LOL out loud in public and no it does not change anything based on how I said it.  Deal with it and #DealWithIt get my point across exactly the same (so the only reason this should bother you is if you hate hashtags), in which case... #DealWithIt