Farmers Confident Backpacker Tax Deal Can Be Worked Out

November 24, 2016

The National Farmers Federation is confident a deal can be worked out to end the uncertainty over the so-called Backpackers Tax, despite the Senate’s rejection of the Bills on Thursday.

NFF chief executive officer Tony Maher said the tax rate had been frustrated “by Labor and Senator Jacqui Lambie coming late to the table with a position”.

He said the NFF was confident a deal could be found to end the uncertainty when the Bills returned to the Senate next week.

“The pressure is on Labor and the crossbench to end their Mexican stand-off and work constructively with the government to end the uncertainty and frustration for backpackers, farmers and growers,” Mr Mahar said.

He said the NFF “implored” Labor, Senator Lambie and the One Nation Senators “to now look to an outcome that can pass the Parliament next week by working constructively with the government and in the interests of farmers, Australian workers and consumers to get a deal done”.

“For the past 18 months the NFF has argued that any rate must be fair and reasonable, encourage overseas backpackers to work in the regions and comparable to that paid to Australian workers,” Mr Maher said.

“We negotiated in good faith with the government for support for a fairer tax rate rather than the original 32.5 per cent proposed.

“At 19 per cent, Australian wages are more than competitive with those on offer in both New Zealand and Canada.

“Parliamentary passage of the Bills next week means we can get the message out that Australia is open for business and has its arms wide open to the backpacker community.

“Farmers and growers desperately need backpackers at what is the busiest time of the year for many. Only the Parliament can provide this certainty.”

Mr Mahar said that the NFF Members’ Council had passed an urgency motion on Thursday calling on the Parliament to reach a resolution over the Backpacker Tax before the Parliament rises next week.

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