System Message:

Editor's Blog

Bringing RMAs articles of interest from news.

  • Home
    Home This is where you can find all the blog posts throughout the site.
  • Categories
    Categories Displays a list of categories from this blog.
  • Tags
    Tags Displays a list of tags that have been used in the blog.
  • Bloggers
    Bloggers Search for your favorite blogger from this site.
  • Team Blogs
    Team Blogs Find your favorite team blogs here.
  • Login
    Login Login form
Posted by on in General
  • Font size: Larger Smaller
  • Hits: 1420

Farmers facing labour shortage set to challenge new tax on visa holders

Currently, there is no tax payable on the first $18,200 working holiday visa makers earn. But from July 1 2016, such visa holders will have to pay tax on every dollar they earn. Farmers who say up to 50 per cent of their seasonal workforce is made up of such visa holders are planning a major lobby against this planned change.

Queensland's peak horticulture lobby groups. Growcom, the Queensland Farmers Federation and Cotton Australia are planning to launch an ‘intensive lobbying campaign’ to highlight the severe impact of the measures on the agricultural sector, which fears an exodus of seasonal farm labour.

"It's very simple. It will deter backpackers from coming and working on our farms," Growcom chief executive officer Pat Hannan recently told ABC Rural Radio.

"Without labour to get the crop into the ground and particularly to get the crop out of the ground, our farmers, some of them, are under threat of losing their businesses. It's really that serious."

"When you're saying to backpackers, you might have been paid $22.62 an hour before but now we're only going to pay you $14.59 an hour, I've got to say that gets around pretty quickly and the backpacker community is going to be less inclined to come to Australia to enjoy their working holidays," Mr Hannan said.

He said the decision would hurt farmers and rural communities, which relied on backpacker labour.

"There are a lot of rural communities that survive based on the backpackers and labourers that come into those communities during peak planting and harvest times," Mr Hannan said.

"It's very short-sighted not to take the dramatic effect on the economies of those areas into account when you make changes the way the Government has.

"The backpackers are affected, the growers and farmers are affected and the local rural economies are affected."

Last modified on
Rate this blog entry:


  • Guest
    Robert Steain Wednesday, 13 January 2016

    It cuts both ways. Many years ago I was working alongside an Irish backpacker who was taxed at a flat 25% where I was taxed at 47%. Work on working holiday visas is supposed to be "incidental" and not the primary reason for being here. I suggest that if those same employers in rural communities increase the wages they pay to adjust for this shortfall, they may find that many more Australians would be prepared to work for them.

  • Guest
    Canadian Bacon Monday, 25 January 2016

    Good luck to the lobbyists! Was planning on coming down under with my friends for a year, but from what we've heard about cost of living in Australia, Don't think we'll be able to have a go of it with these new tax rates. (along with the $440 just for the visa fee).

    If something changes, we'll be seeing you guys next year!

Leave your comment

Guest Monday, 24 October 2016

Immigration blog

Critically Important Full Court Decision!!!!
There has been another hugely significant decision...
Continue Reading...
Avoiding Section 48 Bar When There Has Been Fraud by Migration Agent!
Is there any way to get your client out from under...
Continue Reading...
Shocking News: Dealing With the Department Can be Catch-22!
 Do you ever feel when you are dealing with t...
Continue Reading...
Migration Alliance & Citi Partnership Event
Dear Migration Alliance Members, In line with our...
Continue Reading...
INVITATION: Melbourne Cup Business Party for Asia-connected networks
Event hosts Expat Advisors Community, Mi...
Continue Reading...