TAXED: Base employee and backpacker Henriikka Norra checks in Eoin O’Reilly and Lee Carter.
TAXED: Base employee and backpacker Henriikka Norra checks in Eoin O’Reilly and Lee Carter.

How much tax should our visiting backpackers have to pay?

THEY provide a substantial cash injection to the Whitsunday economy but they could be about to get flogged with a 32.5% tax from their first dollar earned.

Base Backpackers in Airlie Beach both employees and services backpackers.

"It will discourage people from actually coming to work here," manager Suzie Taylor said, of the proposed backpacker tax.

"Hopefully (the Federal Government) don't go through with it because it will have a massive effect on the tourism industry.

"(When I was backpacking) we took that money and put that back into buying clothes and going on tours," she said.

The bill has already faced substantial criticism, having been postponed, pending a review by January 1, 2017.

Whitsunday mayor Andrew Wilcox welcomed the delay, saying we "need to fight to have this tax abolished all together".

"I've spoken with many local farmers, business owners and tourism operators who have all expressed concerns about the Federal Government's proposed backpacker tax, which could potentially deter backpackers from living and working in the Whitsunday region," he said.



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