The deduction was due to have been introduced on 1 April, but was delayed after the European Commission failed to approve the plan. On Tuesday the regulators ruled an in-depth investigation was needed as they believed there was "no obvious market failure" that needed to be addressed.
The UK government says it remains committed to the proposal. The scheme would see 25% tax relief offered on up to 80% of a game's production budget if the cash was spent designing, producing and testing the title in the UK.
Games with a primary focus of gambling or advertising would not qualify, and titles involving pornography or other "extreme material" would also be excluded.
The chancellor George Osborne described the relief as being ""among the most generous in the world" when he announced the proposal in December. Canada and France already offer similar incentives, but in the French case the tax break is limited to games whose development costs total at least 150,000 euros (£129,128; $196,876).
The UK decided not to impose such a threshold after a consultation exercise highlighted the value of offering the relief to the fast-growing smart device video games market. The government suggested other restrictions would prevent the offer being abused by non-commercial games.
Source: BBC News
