Aust government slammed for backpacker tax

The Australian Tourism Export Council (ATEC) has failed in its bid to cut backpacker taxes and those visitors now will pay a marginal tax rate of 32.5 per cent from their first dollar earned, further encouraging them to take holidays in New Zealand.

 

“This budget locks in a tax which will deliver a negative result for Australia’s tourism industry and which will drive our backpacker visitors into the arms of our New Zealand competitors,” said Peter Shelley, managing director ATEC.

Australia’s tourism industry will not stand by and watch as the Turnbull government introduces a tax that sends out a message that working holiday makers are not welcome - a message that is in stark contrast to the growth-focused approach taken by New Zealand, he said.

“This is an issue which will not go away and one we will be pushing hard during the upcoming election.”
Shelley said innovations in visa processing, including new user-pays, fast-tracked visas for India and the UAE, along with three-year multiple entry visas for India, Thailand, Vietnam and Chile were welcome.

Aust government slammed for backpacker tax

The Australian Tourism Export Council (ATEC) has failed in its bid to cut backpacker taxes and those visitors now will pay a marginal tax rate of 32.5 per cent from their first dollar earned, further encouraging them to take holidays in New Zealand.

 

“This budget locks in a tax which will deliver a negative result for Australia’s tourism industry and which will drive our backpacker visitors into the arms of our New Zealand competitors,” said Peter Shelley, managing director ATEC.

Australia’s tourism industry will not stand by and watch as the Turnbull government introduces a tax that sends out a message that working holiday makers are not welcome - a message that is in stark contrast to the growth-focused approach taken by New Zealand, he said.

“This is an issue which will not go away and one we will be pushing hard during the upcoming election.”
Shelley said innovations in visa processing, including new user-pays, fast-tracked visas for India and the UAE, along with three-year multiple entry visas for India, Thailand, Vietnam and Chile were welcome.