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Backpacker tax under review

Backpackers and farmers have less than two weeks left to have their say as the Federal Government conducts a review into proposed taxation changes for working holiday makers.

The backpacker tax would see foreigners on working-holiday visas taxed at a rate of 32.5 per cent from the first dollar earned, with the existing $18,000 tax-free threshold scrapped.

The tax changes were originally slated to take effect on July 1 but the government decided to postpone the measure until January 1 in order to conduct a separate review into the issue.

Horticulture businesses in north-west Victoria and south-west NSW rely heavily on seasonal workers, making the debate a particular concern for the region’s economy.

To read more about the tax and the local reaction, grab a copy of today’s Guardian (August 22). 

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