Australia, 9th March: Australian government has decided not to scrap Australia working holiday visa tax.
As per the details, Australia working holiday visa tax is all set to become effective from July this year.
<blockquote> Australia will be introducing its working holiday visa tax scheme from July this year despite a strong criticism. </blockquote>
32.5 cents tax on Australia working holiday visa holders--Australia working holiday visa holders will now get taxed 32.5 cents on each Australia earned by them. Also known as backpacker tax, it will lead to generation of $AUS 540 million over four years period. It will be affecting travellers(nearly 230,000) aged between 18 and 30 years coming to Australia on Australia working holiday visas each year for short term job or employment here. Australia working holiday visa holders (those on 462 visa) shall be affected by the recent tax policy of Australia government.
Farmers criticize against backpacker tax—Meanwhile, Australia farmers have alleged that the government must scrap the backpacker tax on Australia working holiday visa holders. They maintain that the recent tax levy on Australia working holidaymakers shall lead to reduced flow of Australia working holiday visa holders in the nation.
Australia working holiday visa holders work to do odd jobs such as picking up vegetable and fruits in the orchards and farms. As of now, tax is levied on only those Australia working holiday visa holders earning more than $AUS 18,200 annually. Such Australia visa holders are taxed 19 cents on each dollar earned by them in Australia.
Farmers shall be greatly affected by the recent decision of Australia government to impose 32.5 cents tax on all Australia working holiday visa holders irrespective of their earnings in this nation.
Speaking about the issue, Ms. Gracia Kusuma, industrial relations manager for the NSW Farmers’ Association, has said that the backpackers don’t steal away jobs from locals. In case of less seasonal workers, the production costs will become higher. So, who will pick up fruits from the trees, she queried.
Australia working holiday visas—Australia working holiday visas or Australia 462 visas are meant for foreigners aged 18-30 years, having functional English and fulfilling certain education qualification requirements. Such foreigners can work in Australia for a maximum period of 12 months. For a single employer, they can work for six months.