Good News for Backpackers
The backpacker tax was due to be set at 32.5% effective 1 January 2017 unless the the issue could be resolved in Parliament prior to this.
On the final sitting day of Parliament for 2016 last Thursday a deal between the Australian Greens and the Government has seen the tax finally set at 15%.
This is good news for backpackers as well as the Agricultural and Tourism sectors. The proposed hike in the tax rate for backpackers had seen a declining number of backpackers visiting Australia which was putting further pressure on the farming and agricultural industries. The increase in the tax was likely to see many.
Hopefully now the the tax rate has been finalised Australia will see an increase in backpackers, especially to regional areas where farmers need seasonal workers to remain viable businesses.