Australia is keen to attract the backpackers to its shores or so it seems if we go by this news report. The incumbent Australian Administration is to use 10 million dollars trying to draw the Working Holiday Makers to the nation, allegedly in an effort to influence additional youngsters to spend time in the country.
The figure of the petitions submitted by the backpackers for the Working Holiday Maker (WHM) Visas has reportedly nose-dived since it was made public, and then corroborated, that the income taken home would be taxed from the month of January, next year.
Despite the fact that the backpacker tax--as it is termed--has been fixed lower, vis-à-vis planned at 19% on the income up to 37,000, dollars there is still worry that youngsters are postponing making a trip to Down Under and doing a job there in.
At present, the administration has reportedly proclaimed that it is offering 10 million dollars in financial support to Tourism Australia, for a global youth targeted advertising drive, to magnetize more young individuals from across the globe.
The administration has also reportedly declared that the charge for a Working Holiday Maker Visa is being cut down by 50 to 390 dollars even while working arrangements will be extra flexible. For instance, a recruiter/job-provider, with premises in different regions, will be in a position to hire a Working Holiday Maker for a period of one year, six months in each area.
Sharing his observations on the subject, the in-office Treasurer Scott Morrison reportedly stated that the government understands that the WHMs are a vital component of the country’s 43.4 billion dollar tourism business, and a major source of workers--chiefly in the horticulture, agriculture, hospitality, and tourism segments. He added that the government also understands that, much like the stakeholders, that it is crucial that the WHMs give just tax on their income.
The government will also seek to improve the arrivals of the WHMs, which have been decreasing since 2012-2013 as a result of some reasons comprising exchange rate variations and the changed economic situations in the source nations.
The treasurer also declared that to produce more accurate information and improve the reliability of the scheme, via stopping the exploitation of the WHMs, their recruiters/firms will have to agree to a once-off registration with the concerned body, namely the Australian Taxation Office (ATO).
Morrison elucidated that the straightforward and easy registration procedure will help proffer precious statistics on the employment of the WHMs. Recruiters/job-providers, who do not register, will have to keep back tax at the 32.5% rate. The WHMs will be made aware of the duly listed recruiters/job-providers through the publication of a list on the ABN Lookup.
Morrison further stated that the package of restructurings to the WHM arrangements will so not only guarantee that the WHMs give reasonable tax on their wages but also boost the nation’s appeal as a leading place for the backpackers.