The Hodgman Liberal Government welcomes the Federal Government’s decision to reduce the proposed backpacker tax to 19 per cent, a level which most industry have indicated is reasonable.
We opposed a 32.5 per cent tax from the start and lobbied strongly for it to be reconsidered due to the impact it would have on the competitiveness of our tourism and primary industries sectors which rely heavily on backpacker labour.
We are pleased that the Federal Government has listened to Tasmania’s concerns.
I’d like to acknowledge the tremendous work of industry representatives from the horticulture, wine, agriculture and tourism sectors who have worked with the Tasmanian Government in strongly advocating for change.
Thanks also to Tasmanian Liberal Senator Jonathon Duniam who helped make their views heard in Canberra.
The $10 million commitment to entice backpackers to Australia will assist in overcoming a reported reduction in backpacker queries to local producers.
Agriculture and tourism are competitive strengths for Tasmania and we look forward to seeing them continue to grow and prosper.