| November 30, 2016

Backpacker Tax Resolution

Delivered: House of Representatives, Parliament House, 30th November 2016.

Yesterday, I rose in this place to speak about how relieved I was that I had finally been able to report back to my electorate of Murray that we had found a resolution on the backpacker tax issue, and that the leadership of Barnaby Joyce and Malcolm Turnbull had finally landed at a compromise of 15 per cent as a rate of tax for our working holidaymakers, down from the 32 per cent that the former Treasurer Wayne Swan put in place when he had the reins of parliament.

That was how it happened. The government consulted with the industry during the review process and was constantly told that anywhere between 15 and 19 per cent would be a competitive result that would enable the backpackers to make Australia their destination.

But the strongest recommendation we found during the review process was the need to get this issue resolved quickly. The issue needed certainty.

Now, after we had reached a compromise of 15 per cent to enable us to get this issue through the Senate, we find that Senators Hinch and Culleton want to play games.

They also now want to chase a rate of 10 per cent.

It is interesting that last week Senator Hinch voted for 19c in the dollar as a rate of tax.

So, in the course of a week, Senator Hinch thinks that 19c is now no good; he thinks that 15 per cent is no good; and, now, Senator Hinch wants us to chase 10 per cent.

I understand the Labor Party and the Greens playing games, because that is what they do, and they do not care about the damage they cause to industry.

But, Senators Hinch and Culleton, I do not understand— (Time expired)

 

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