Australia’s ‘backpacker tax’ cut to 15%

28th Nov 2016
Written by: Dave Owen

 

Australia’s Federal Government announced this morning that the proposed tax on backpackers visiting Australia on a working holiday visa would be reduced by 15%.

This means backpackers on a working holiday visa will only have to pay 15% tax on money earned. The move reduces the tax from earlier proposed figures of 32.5% and then 19% in order to get the bill passed by the Senate.

It has taken a long debate to reach this point, a process that has been met with severe disapproval from both Australia’s tourism and agricultural sectors. There is also evidence to suggest the protracted debate has resulted in a drop in backpackers visiting Australia.

Australia working holiday farm

Managing Director of the Australian Tourism Export Council (ATEC) Peter Shelley claims that, anecdotally, backpacker numbers have fallen as much as 25%.

“It’s been a very negative discussion  and our members are reporting right across the board a reduction in working holiday makers coming through, and the agricultural sector is saying the same,” he said.

Margy Osmond, Tourist and Transport Forum CEO, said the 15% tax would help Australia remain competitive with other countries.

The next hurdle for the proposed ‘backpacker tax’ is the Australian senate, and the improved percentage is expected to help the bill make it through relatively quickly. 


Fancy a working holiday in Australia?

Travel and work in Australia

The Travel and Work in Australia package makes doing both easy. It covers your flights, help getting a job,  accommodation, a welcome when you arrive, and more.

Find Out More

Or call us on 0333 333 9923 and speak to one of our travel experts.

Search

South Island Mountain Bike Tour

from £1,025.00

7 days

The South Island is renowned for its outstanding beauty and adventures. Plant your feet on your pedals as you take...

Tanzania Whale Sharks & Turtles

from £745.00

7 - 140 days

Come and swim in the crystal clear waters off the coast of Tanzania and see the spectacular wildlife it holds...

Diving, Hiking & Volunteering in Costa Rica & Panama

from £2,620.00

16 days

On this two-week summer adventure, hike through remote and spectacular regions of Costa Rica and then into Panama to volunteer...

Island Conservation Expedition

from £1,145.00

14 days

Contribute to terrestrial conservation efforts and experience in the unspoilt island paradise of the Seychelles!

TEFL Class – Teach English in Spain

from £900.00

180 - 360 days

Get paid to teach English in Spain with an accredited TEFL certification & lifetime job placement assistance from International TEFL...

Teaching in Ghana

from £895.00

14 - 85 days

Work alongside teachers in the local school to help inspire a passion for learning and run fun and education after...

Work and Travel in New Zealand

from £945.00

365 days

Head to NZ to live and work as a local!Our team will assist you with necessary paperwork, job finding and...

Central America Adventure Trail

from £1,899.00

28 - 70 days

An unforgettable adventure through Mexico, Honduras, Guatemala, Nicaragua and Costa Rica, amongst Mayan ruins and the azure waters off the...

Microfinance / Women’s Empowerment Internships

from £1,035.00

28 - 168 days

Costa Rica offers unparalleled natural beauty within a rapidly developing economy. Looking for an internship which combines adventure travel with...

Bottlenose Dolphin Conservation

from £960.00

11 - 25 days

Play an important role in marine conservation by researching and observing bottlenose dolphins on the stunning northeast coast of the...

Check out these awesome tours!

Search

Sri Lanka Explorer

from £1,045.00

Sri Lanka

Drive along the road in Sri Lanka and you can pass Hindu temples, Buddhist shrines, churches and mosques all on...

Japan: Land of the Rising Sun

from £2,664.00

Japan

Ever-welcoming and always fascinating, Japan is a land of ancient cultures, austere traditions and groundbreaking technology. Experience the best that...

Mekong Delta Farmstay

from £120.00

With its meandering waterways and flourishing farms, the Mekong Delta is a place not to be missed. Venture out through...

Norwegian Fjord Trekking

from £1,549.00

Norway

The Vikings were some of the toughest people to ever walk this earth, and looking at the land that spawned...

Vietnam and Cambodia Explorer

from £994.00

Experience the very best of Indochina on this awesome adventure through Vietnam, Cambodia and Thailand. Enjoy a steaming bowl of...

East Africa Gorilla & Safari Experience

from £7,149.00

Kenya, Rwanda, Uganda

Some of Africa’s greatest wildlife viewing comes together for 16 days of outstanding adventure in the wild. Trek into the...

Southern Explorer

from £799.00

New Zealand

Thrills and spills one day, relaxing and snapping pic after pic the next. This trip will be a rollercoaster of...

Greek Island Chaser

from £1,142.10

Welcome to your unforgettable sailing adventure in Greece, where bronzing under the eternal Mediterranean sun need only be interrupted by...

Highlights of Oman

from £1,499.00

Oman

Oman remains one of the last great undiscovered parts of the Middle East. Here, ancient heritage melds beautifully with modern...

Serengeti & Ngorongoro Safari

from £3,135.00

Tanzania, United Republic of

Venture to the depths of the enormous caldera of Ngorongoro, a wildlife hotbed that's unlike anywhere else on Earth, before...

More inspiration and advice

Search
[contact-form-7 id="4" title="Contact form 1"]