May 9, 2013
Budget 2013: Building World-class Interactive Digital Media Industry Through Enhanced Tax Credit Program
– – –Credits Will Help Develop New Products, Attract Investment, Generate High-skill Jobs for Manitobans: Premier
Budget 2013 creates new opportunities for growth in Manitoba’s high-tech and creative industries by extending the Manitoba Interactive Digital Media Tax Credit to 2016 and making a number of enhancements to the program, Premier Greg Selinger announced today.
“The renewal and enhancement of this tax credit will ensure that interactive digital media development continues to grow and thrive in Manitoba,” said Selinger. “It will help local companies develop new technologies and products, attract new clients and investment, and bring high-skill, technology-based jobs to our economy.”
In 2011, the interactive digital media industry supported approximately 700 full-time jobs in Manitoba and generated $38.8 million in revenue. The industry is expected to grow exponentially and also stimulate development in other key sectors including film and video, information and communication technologies, print media and life sciences.
The premier noted the enhanced tax credit will help Manitoba harness new opportunities in this flourishing industry and will keep the province in line with other Canadian provinces that have competitive tax credit and rebate programs for digital media.
“The three-year renewal of the Manitoba Interactive Digital Media Tax Credit will greatly benefit the companies working in Manitoba’s digital media industry,” said Kevin Hnatiuk, executive director, New Media Manitoba. “These enhancements more accurately reflect the market realities our companies face and will support them throughout the full iterative life-cycle of product creation. Companies will subsequently create their own commercially viable intellectual property, which will stimulate growth in their operations and create more highly skilled jobs in the province.”
The Manitoba Interactive Digital Media Tax Credit was first launched in 2008 and provides refundable corporate income tax credits equal to 40 per cent of labour costs for eligible projects. The enhancements in Budget 2013 extend those credits to previously ineligible costs.
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