Friday, 2 December 2016

Australia To Slash Backpackers Tax

Australia

Australia is finally agreed to slash backpackers tax. Which is reduced by almost 15%.

The changes will affect working holiday visitors from abroad.

Every year, around 600,000 backpackers travel to Australia on a working holiday visa - with many taking jobs picking fruit.

In 2014-15 the government granted 44,730 visas to British citizens alone.

The new 'backpacker tax' is lower than the original rate of 32.5 per cent put forward by the government.

The initial 32.5 per cent angered many tour and farming operators, who said taxing temporary workers 32.5 cents for every dollar they earn would put people off coming to Australia.

Farmers also believed the higher tax rate would deter travellers from working on Australian farms - especially those who wanted to renew their visa.

Currently, travellers working in Australia do not pay any tax until they annual income exceeds A$18,000 (£11,000) - the same as an Australian worker.

Treasurer for the Australian government Scott Morrison announced that a compromise had been reached with independent crossbenchers.

Speaking in Canberra on Monday, Scott said: "The government will be working to put in place a bill, which will propose 15 per cent on the backpackers' arrangement."

He added: "We will honour the arrangement that we've come to with Senator Nick Xenophon and we appreciate his continued support on this, as well as Senator Derry Hinch."

The decision comes after more than year of debating between the government, opposition and minor parties on the backpacker tax rate.

Prior to the announcement, Scott had claimed that that lowering the tax rate to 15 per cent could potentially cost the Australian budget A$120 million over four years.

The story comes after it was revealed that a third of Brits would like to see quiet zones on flights.

Online flight comparison company Jetcost.co.uk carried out a survey on Britons flight experiences.

The firm quizzed 2,197 Brits aged 18 and above, who had flown abroad for a holiday at least once in the past two years.

The study revealed that noise, steps and drink prices and a lack of leg room are the biggest pet-hates on board flights.


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