December 1, 2016
The Federal Government’s controversial “backpacker tax” has finally been passed by the Senate … on the third attempt.
The Greens agreed to support a 15 per cent tax rate in exchange for concessions from the government, including an extra $100 million for Landcare.
The government has also agreed to tax just 65 per cent of backpackers’ superannuation, down from the 95 per cent it had planned.
The Senate approved the motion 43-19 on Thursday night.
Three of the four Pauline Hanson’s One Nation senators also voted for the deal, as did members of the Nick Xenophon team and Liberal Democrat David Leyonhjelm.
Labor Senators voted against; the ALP said earlier it would support a 13 per cent rate, up from its previous position of 10.5 per cent.
Greens leader Richard Di Natale said the vote – which has ended months of uncertainty for backpackers as well as farmers – was a “common sense victory”.
If the lower tax rate had not been approved on Thursday, the year’s final Parliamentary sitting day, the higher 32.5 per cent tax rate – which had been slammed by farmers, the tourism industry and regional businesses – would have automatically kicked in on January 1.
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Queensland Farmers’ Federation president Stuart Armitage welcomed the last-minute resolution of the saga.
“The entire backpacker tax episode will be remembered as a disappointing chapter in Australian politics where farmers were used as pawns in an unnecessary, highly politicised power struggle,” he said.
“QFF is satisfied that the 15 per cent tax rate restores Australia’s competitiveness as a destination for backpackers.
“Queensland farmers finally have the certainty we have been calling for and deserve.”
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- MP Urges Senate To Pass Backpacker Tax
- Backpacker Inquiry Uncovers Abuses
- Labor Blamed For Backpacker Tax Delay
- MP Welcomes Backpacker Backdown
- Nats Claim Victory On Backpacker Tax
- QFF Urges Farmers To Fill In Backpacker Survey
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- Government Defers Backpacker Tax
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