New Zealanders returning home from Australia are set to pay more in tax.
Australia charges one of the highest fees in the world for travelling overseas, and it’s about to be hiked further.
The Federal Government has announced it is increasing the Passenger Movement Charge by another AU$10 (NZ$10.70), which will put it at AU$70 (NZ$74.70) per passenger.
The updated fee comes into effect from the July 1, 2024.
Everyone departing Australia on an international flight or cruise pays this fee, even if they’re returning to the country.
In the past week, Australia’s Tourism and Transport Forum, the Australian Federal of Travel Agents, and the Australian Airports Association said any increase would risk damaging the tourism industry as it continues to bounce back from the Covid-19 pandemic.
In official budget documents, the Australian Government says the charge was last increased in 2017, and the rise is "broadly in line with inflation".
Other budget bits for Kiwis
The Australian Government’s also pledged $8 million over the next four years to help Kiwis caught up in natural disasters.
It’s a support measure which was welcomed by Kiwis who had homes destroyed during record-breaking floods in New South Wales last year.
The Federal Government’s also been weighing up the money involved for the direct pathway to Australian citizenship for New Zealanders who’ve been living in Australia for several years.
In documents released overnight, officials say the new measure is estimated to increase payments for "government services and benefits by AU$1.3 billion (NZ$1.4 billion) over five years from 2022–23 and increase receipts by AU$795 million (NZ$848.8 million) over five years from 2022–23".
The new citizenship pathway comes into effect from July 1, 2023.
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