Latest News

Back to Latest News back

 

Tourism industry disappointed by backpacker tax retention

Tourism industry disappointed by backpacker tax retention
May 7, 2016

Tourism industry representatives have expressed bitter disappointment that the Federal Government has failed to make changes to the backpacker tax introduced in last year's budget.

The tourism sector, along with the agriculture industry, claim backpackers will stop coming to Australia if the Federal Government proceeds with plans to scrap the tax free threshold for backpackers and tax them at 32.5% from 1st July.

After extensive industry representation, Federal Tourism Minister Richard Colbeck had proposed a revenue-neutral compromise to Treasurer Scott Morrison, but it was ultimately not included in the budget.

Tourism Accommodation Australia Chairman Martin Ferguson, a former Tourism Minister, said the backpacker tax would be regressive for the tourism sector and could affect the viability of many remote and regional tourism businesses.

Australian Tourism Export Council Managing Director Peter Shelley said the backpacker tax would "drive our backpacker visitors into the arms of our New Zealand competitors."

Shelley stated "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.

Shelley said ATEC would be pushing the issue hard during the Federal election campaign, as will the Tourism & Transport Forum Australia (TTF).

TTF Chief Executive Margy Osmond added "the Federal Government's destructive backpacker tax is going to smash the number of people choosing Australia as a backpacking destination when working holidaymakers are taxed 32.5% on every dollar they earn on their holiday.”

The National Farmers' Federation has unveiled its wish list for the 2016 election, and a resolution on the backpacker tax is at the top of the agenda.

During Senate estimates hearings on Thursday (5th May), Coalition Senator Bill Heffernan joined his colleagues Warren Entsch, Andrew Board and Senator Anne Ruston in publicly opposing the backpacker tax, declaring it “disastrous”.

Shadow Minister for Tourism Anthony Albanese added “prospective working holiday visa applicants seeking to come to the region in the next six months will see that Australia may have a 32.5% tax rate from the first dollar, while our competing countries, such as New Zealand, do not.

“The consequences on demand for working holiday visas, on visitor spending in regional Australia, and availability of critical seasonal labour for the agricultural sector could not be more obvious.”

4th May 2016 - LEISURE WINNERS AND LOSERS IN THE FEDERAL BUDGET

3rd May 2016 - TOURISM GROWTH EXCEEDS OVERALL EXPANSION OF THE AUSTRALIAN ECONOMY

16th March 2016 - AUSTRALIAN GOVERNMENT TO REVIEW CONTROVERSIAL BACKPACKER TAX

12th March 2016 - TTF REVEALS PLAN FOR TOURISM TO ‘TURBOCHARGE’ THE AUSTRALIAN ECONOMY

21st February 2016 - ‘BACKPACKER TAX’ CHANGES SOUGHT AS WORKING TOURISTS THREATEN TO LEAVE AUSTRALIA


Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?

The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.

However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.

Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.

Subscriptions cost just $90 a year.

Click here to subscribe.

 

supplier directory

The Complete Guide to Leisure Industry Products & Services.

See the directory see all

Worldwide Sports Management

Principal Consultant Simon Weatherill has spent the last 20 years developing the world renowned Melbourne Sports Hub, as former Chief Executive Officer of the State Sports Centres Trust…

read more

Aquatics / Consultants / Recreation / Sport / Venues

 
 

Neptune Benson

Neptune Benson is a manufacturer of high quality water filtration and disinfection products for the recreational, industrial, and municipal water markets. With more than 20,000 installations…

read more

Aquatics / Design / Recreation

 
 

REGUPOL

Regupol Australia Pty Ltd offers a comprehensive range of recycled rubber fitness and leisure flooring surfaces. Their range of products include everroll rubber flooring, Regupol elastic…

read more

Fitness / Recreation / Safety / Surfaces

 
 

AlphaFit

AUSTRALIAN MADE. BUILT NOT BOUGHT. AlphaFit is a 100% Australian owned family company manufacturing gear specifically for the strength and conditioning, functional fitness and high-performance…

read more

Fitness / Recreation / Sport / Technology / Wellness

 
 

Fitness On Demand

Fitness On Demand™ is a market-leading developer of virtual group fitness products. Our innovative video delivery systems offer robust content and a simple-to-use, comprehensive web app. Fitness…

read more

Fitness / Technology / Wellness

 
 

The Retention People Australia

TRP help health clubs, leisure centres and gyms across the globe create happy, loyal members through our user-friendly software which enables effective engagement and the delivery exceptional customer…

read more

Fitness / Marketing / Recreation / Technology / Wellness

 
 

IEDM

iEDM integrate Design, Engineering and Delivery Management services to convert existing spaces into exciting new entertainment venues. Our team consists of highly qualified professionals with diverse…

read more

Consultants / Design

 
 

COMMERCIAL AQUATICS AUSTRALIA

Commercial Aquatics Australia provides aquatic solutions nationwide and is one of the largest and most experienced companies specialising in the design, construction, renovation, service, maintenance…

read more

Aquatics / Design / Play / Waterparks

 
 
 
 

get listed with our suppliers directory

Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!

list your business