AFTA Chief Executive appears at the Senate Economics Legislation Committee Parliament House Canberra
Today, AFTA Chief Executive appeared with the CEO of TTF, Margy Osmond and other industry representatives to put the point forward (based on comprehensive KPMG financial modelling) to the Committee that the Working Holiday Makers (WHM) Reform Package does not need to include the increase to the Passenger Movement Charge (PMC). It is clear that the WHM package without the PMC increase does “wash its face” as the Government said the package needed to do.
“This KPMG modelling confirms that the backpacker tax package does not need the PMC to supplement the revenue the government desires by this package,” said Jayson Westbury Chief Executive.
“We made the point very firmly to the Senate Committee that $5 is a big deal to the travel industry and that any increase to the PMC is unwelcomed particularly when it is proposed to do nothing by top up revenue targets created by the government,” said Westbury.
“All members of the travel and tourism industry that presented at the Committee were united in the message that the PMC must not be increase for simply revenue raising purposes and was not welcomed as a part of this backpacker package reform,” said Westbury.
“As I have said many times and now have the KPMG modelling, the backpacker tax “wash its face” without the PMC and that is why the government should adjust their legislation and remove the increase to the PMC as part of this package,” said Westbury.
The various bills that are before the Senate propose changes to the tax levels a backpacker will pay in the future and several other measures and there is no reason for the PMC increase to be passed as a part of the package before the Senate.
The various bills are likely to be debated in the Senate the week of the 7 November 2016.