Recent Government plans to close tax loopholes could soon be affecting us gamers, especially us PC gamers on Steam.
The plans of the Government, as announced last week by Chancellor George Osborn at budget 2013, will make games and other entertainment products be taxed according to the laws which they are bought in, rather than sold in.
Companies for years now have skirted around tax by claiming that the purchase takes place in another country, which in the case of UK Steam users is Luxemburg, or Valve S.A.R.L, which allowed Valve to pay from 3-15% VAT on games sold. So when these plans are enacted Valve will have to pay 20% tax on every UK purchase, which could make Steam prices price rise.
These plans will generate £300m pounds for the Government and should help equal the playing field for high street based games and other digital media sales. While as a PC gamer I am saddened by the possibility of a price increase, we must remember that these funds will help reduce the governments debt while hopefully preventing cuts to the NHS, Police and other Tax-funded services.
What do you guys think of this? Are you glad that Valve and others will no longer be able to dodge tax, or saddened by a likely price hike for games?
Please post your thoughts and feelings below.
Source - theguardian