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Mildura Weekly : Friday September 30 Vol 10 No 47
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NEWS 3 FRIDAY, SEPTEMBER 30, 2016 MILDURAWEEKLY.COM.AU By VINNIE RODI SUNRAYSIA horticulturists and tourist operators breathed a col- lective sigh of relief this week following the Federal Govern- ment’s decision to scrap the controversial 32.5 percent back- packer tax. After a year of uncertainty, lobbying, and three Federal Gov- ernment reviews into the tax, Federal Treasurer, Scott Morrison, this week confirmed he was doing away with the 32.5 percent rate on working holidaymakers in fa- vour of a 19 percent rate for every dollar earned up to $37,000. Working holidaymakers who earn between $37,000 and $80,000 will pay 32.5 percent, with the new system to come into effect on January 1. Also included in the new ver- sion of the tax is a requirement for all employers to register with the Australian Tax Office (ATO) to ensure the 19 percent rate is met, extending the time back- packers can work for the same employer to 12 months, reduc- ing the visa application charge to $390 to lower the cost of coming to Australia and extending the eligible age of visa sub-class 417 and 462 holders from 30 to 35. Member for Mallee Andrew Broad said the compromise would assist Australia’s status as one of the most competitive destinations for working holiday- makers, while ensuring they pay a fair level of tax. “After-tax earnings under this new rate means that backpackers are better off working in Australia than Canada or New Zealand,” he said. Mr Broad said common sense had prevailed over a poorly thought out policy. “I could never accept that it was going to come out that high (at 32.5 percent),” he said. “Com- monsense has prevailed, however it hasn’t happened without a fair bit of advocacy.” Mr Broad said the change in policy recognised the importance of keeping regional economies strong. “Agriculture and tourism across Sunraysia and Wimmera- Mallee are major contributors to the regional economy, and these industries rely on back- packers to provide seasonal and casual labour,” he said. “I also welcome moves to extend the age of eligible workers from 30 to 35. “We need to expand that catchment age, and with the application fee also being low- ered I feel that Australia is once again an ideal destination for working holidaymakers.” Mr Broad said he had pushed for the controversial tax to be scrapped, meeting with every- one from the Federal Treasurer to the Prime Minister. “It is pleasing to see that what was advocated for has been implemented,” he said. “Any change had to be fair and rea- sonable, and a zero percent tax rate was not fair. “It also isn’t fair and reason- able that a foreign worker gets an advantage over an Australian worker. We want jobs for locals and backpackers alike, and this rate will achieve that.” Mr Broad also welcomed changes that would require em- ployers to register with the ATO prior to being able to employ backpacker labour. “I see real value in that pro- cess, one that I am being assured will be very simple,” he said. “This ensures employers’ obliga- tions are made clear, and if they don’t meet those needs they run the risk of losing the ability to employ working holidaymakers. The news of the 32.5 percent tax’s demise, however, has not been met with universal sup- port, with Morpung-based citrus grower Vince Demaria question- ing whether the government’s compromise would solve back- packer concerns. • Continued Page 5 Backpacker tax cut a case of common sense prevailing: Broad • REASON TO SMILE: Andrew Broad, ABOVE, was a happy man this week following news that the controversial ‘backpacker tax’ is to be slashed. Citrus grower Vince Demaria, BELOW, still has reservations, and believes the rate could have been cut further. Horticulturists breathe a big sigh of relief SHARYON PEART & THE TEAM supporting women of Sunraysia POPS UP AT CENTRAL FOR A LIMITED TIME CALL 0418 502 207 7 Scott Crescent Mildura Your Deep Cycle Battery Exper t... MILDURA DISCOUNT BATTERIES SUV, 4WD & LIGHT COMMERCIAL SUPPORTED WITH A 30 MONTH WA RRANTY! SUV 4WWDD && LIGGHHT 30 30 MMON ONTH TH WARRA RANTNTY! 810 Cold Cranking Amps, 95 Amp Power 30 ONLY $160 RRP $240 XN70ZZMF 227 Tenth St Mildura Phone 5022 7227 Open7Days|10am-5pm LOLLIPOPS FOR ALL YOUR PA RTY NEEDS BULK CANISTERS OF LOLLIPOPS FROM $11 OUTDOOR LIVING SALE www.tilleysfurniture.com.au Find Us On Facebook | 57-65 Pine Ave Mildura T: (03) 5023 0548 E: sales@tilleysfurniture.com.au • Layby welcome • Interest free terms* • Free delivery in Sunraysia* *Conditions apply, see in store for details. Opening hours: Mon-Thur 9am-5 .30pm • Fri 10am-3pm • Sat 9am-2pm SAVE UP TO 40% OFF RRP - WHILE STOCKS LAST OUTDOOR DINING, LOUNGE, POD CHAIRS, SUNLOUNGE, UMBRELLAS, ACCESSORIES OPEN FRI 30TH 10AM - 3PM OPEN SAT 1ST OCT 9AM - 2PM
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