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New Zealand to tax tourists to fund infrastructure

23 Comments
By William West

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If they have a tourist boom, should they already have increased revenue for tourism? (For example, hotels pay taxes according to income, right?) This strikes me as rank opportunism.

5 ( +7 / -2 )

New Zealanders already pay 25% sales tax on everything. It’s an expensive country to live.

4 ( +4 / -0 )

The poor kiwi's need to make every post a winner. They are so far from Europe that its tough to get tourists. Americans complain if your more than 3 hours away and people dont seem to notice that NZ has awesome scenery, great food and world class wine just to name a few things worth visiting for. They have a small population and infrastructure projects will always be expensive. If tourists can kick in a few bucks to help out then I see no issue with that. They are not the first or only country to do this sort of thing.

3 ( +4 / -1 )

New Zealanders already pay 25% sales tax on everything. It’s an expensive country to live.

Unless its had a massive increase since I left GST (Good and services tax) is at 15%.. Which is still high, but given the small population and large(ish) land mass it needs quite a bit of revenue to support the infrastructure..

3 ( +3 / -0 )

New Zealanders already pay 25% sales tax on everything. It’s an expensive country to live.

Where did you get this information? GST is still 15%, just as Kiwi in Okinawa mentioned.

Don't forget that New Zealanders have free health care.

With minor exceptions, such as some kinds of cosmetic surgery, hospital treatment is free for those eligible for health care services. Nobody can be refused emergency care because they cannot pay, but if you're not a New Zealand resident, you may have to pay for some services. - https://www.newzealandnow.govt.nz/living-in-nz/healthcare/healthcare-services

3 ( +3 / -0 )

Sheep, Sheep, Sheeep, Sheeep, hey another sheep, Zzzz...... yep, Come to New Zealand, Tourist capital of the World the place where you can count Sheep and now pay more for the experience.

-5 ( +3 / -8 )

Sheep, Sheep, Sheeep, Sheeep, hey another sheep, Zzzz...... yep, Come to New Zealand, Tourist capital of the World the place where you can count Sheep and now pay more for the experience

Friday night happy hour kicking in early huh?

6 ( +8 / -2 )

If they have a tourist boom, should they already have increased revenue for tourism? (For example, hotels pay taxes according to income, right?) This strikes me as rank opportunism.

More and more tourists try to get more for their buck by freedom camping (meaning they rent/buy any old van and sleep on the side of the road), buy food from supermarkets etc. So although hotel income may have increased somewhat the additional tax is nowhere near enough to help cope with the increased tourist load. Unless you want to go on a nature walk with 10,000 of your closest friends a la the top of Mt Fuji?

0 ( +0 / -0 )

New Zealand isnt very special. Tourists most of them were backpackers low spender! Your tax grabing might lost all of them as well. Their young lady PM is an inexperienced one,she is leading the nation to tragedy!

-3 ( +2 / -5 )

Nzers pay...

1) 15 percent gst

2) minimum 19 percent salary tax. If you make over 100000 it's way higher than that!. Try around 60 percent.

3) ACC levy. This is accident compensation contribution. If a foreigner had an accident even they get money.

4) 10 percent of salary goes to student loan repayment.

At the end of all that you have to pay your rent and all the rest of your expenses. It's a.very difficult place to get ahead.

I'm a Kiwi but I gave up trying and moved to Osaka.

1 ( +3 / -2 )

Yeah... it's an expensive place to live alright. People might complain about the cost of things in Japan but really it doesn't compare. As for the free healthcare... it's fine if you can get to the front of the waiting list. The ACC levy is fine and for the most part works as it should but annoyingly it covers situations such as somebody injuring themselves after falling from roof while breaking into a building. That sort of thing annoys me a lot. As the above poster said, NZ is a difficult place to get ahead. No interest on student loans, and no repayments under a certain income threshold as well as free first year of tertiary study all sound good but things really seem to be restrictive once the study has all finished.

2 ( +2 / -0 )

minimum 19 percent salary tax. If you make over 100000 it's way higher than that!. Try around 60 percent.

@Ben Youknowwho - that sounded wrong reading that, so I looked it up.

Top tax rate in NZ is 33%, for people on $70,000 or over (30% up until $70,000, then 33% on any income greater than $70K.

Also the minimum tax rate is 10.5%, for those on $14,000 or less.

http://www.ird.govt.nz/how-to/taxrates-codes/rates/itaxsalaryandwage-incometaxrates.html

3 ( +3 / -0 )

Are you sure this tax break will only raise NZ$80 after a year? Perhaps they meant 80 million!

2 ( +2 / -0 )

If $35 NZD makes a difference to whether you go to N.Z or not, it would better if you did not go.

1.5 million of the 3.8 million tourists are Australians btw...

0 ( +1 / -1 )

New Zealand isnt very special.

I think it is. Re NZ being expensive, been there many times for leisure/work and always thought living costs, accommodation etc were pretty reasonable for a developed country (especially outside auckland/welly).

Great country.

1 ( +1 / -0 )

If NZ is a nice (and free) country it would be worth the while. I would not want to pay a big tax for a dictatorship that abuses people.

0 ( +0 / -0 )

I think we can all agree it is way too much!

I've paid quite a lot of tax here in Japan but NZ is higher in my opinion.

2 ( +2 / -0 )

I heard of a place called New Zealand

0 ( +1 / -1 )

As long as I don't get taxed at the airport when leaving. Man I hate that.

2 ( +2 / -0 )

"Just Say NO".

1 ( +1 / -0 )

More and more tourists try to get more for their buck by freedom camping (meaning they rent/buy any old van and sleep on the side of the road),

A tourism official told me those tourists were the most beneficial to local economies. They stay a lot longer, months sometimes, and end up spending more than Japanese who fly in for 4 days at stay at 5 stars. They also spend their money at local businesses run by local people, not at multinational hotel chains.

1 ( +1 / -0 )

A tourism official told me those tourists were the most beneficial to local economies. They stay a lot longer, months sometimes, and end up spending more than Japanese who fly in for 4 days at stay at 5 stars. They also spend their money at local businesses run by local people, not at multinational hotel chains.

How many work on farms I wonder?

In Aus that is really common. Backpackers working on farms which help to cover the costs of their stay. That's why many are here for 1 - 2 years. in the end. Lots of French and German backpackers in the countryside here. They make a valuable contribution and don't get paid all that well tbh, but its enough.

2 ( +2 / -0 )

Auckland is the third most expensive city in the world I saw on YouTube.

0 ( +0 / -0 )

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