Next year, New Zealand might introduce its tourist tax policy

Tuesday, May 15, 2018

Last week while speaking at a Dunedin tourism conference, the tourism minister, Kelvin Davis, informed the media to anticipate a formal declaration within weeks. It will take place after his party’s 2017 election promise to launch a NZ$25 (US$17) tourism charge for international visitors.

 
At the time, they predicted that the tourist tax would create a NZ$75 million (US$52 million) fund in terms of tourism and conservation, developing world-class amenities for visitors without letting them to pay for it. In return they expect it will lure higher-paying tourists to the country.

 
While it’s yet to be considered the exact nature of the tax, it’s probable that it might be added to your airfare, akin to the tax the government introduced in 2015 to encompass the cost of border security. “We are looking at a range of options,” Davis told reporters at the conference. “We have pretty much worked out a number of issues, we will be making an announcement in the next few weeks.”

 
In recent few years, New Zealand tourism is witnessing a boom, welcoming 3.7 million people in 2017, and the government is keen on many more. By 2024, international tourist numbers are anticipated to reach 5.1 million and while Davis greets the rush, he also acknowledged there were issues. “I don’t want our environmental and tourist reputation damaged” he told conference attendees.

 
With immense growth in visitors, amenities like public toilets, car-parking and accommodation prices are quite damaged, predominantly with the popularity of the budget traveler’s freedom camping (and some bad behaviour too). In spite of this, in a January 2018 survey 90% decided that international tourism was good for the economy, but 44% are concerned about the strain the influx is putting on the country.

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