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New Zealand plans to impose tourist tax

Sunday, 17 June 20183 min read
New Zealand plans to impose tourist tax

New Zealand wants to significantly improve infrastructure to better cope with booming tourism growth, and it will be tourists themselves who foot the bill.

The government said it aims to impose a tax on most international arrivals to pay for infrastructure improvements.

That could mean up to NZ$35 (US$24.40) per person.

"It’s only fair that they make a small contribution so that we can help provide the infrastructure they need and better protect the natural places they enjoy," Minister for Tourism Kelvin Davis said on announcing the plan.

"This rapid growth has impacted on the costs and availability of publicly-provided infrastructure. Many regions are struggling to cope and urgently need improved infrastructure, from toilet facilities to carparks."

Neighbour Australia, which is the largest source market, will be exempt from the tax.

Several Pacific Island nations will also be exempt.

Citizens from most other nations will however pay it, which will be collected with visa applications.

Eligible visa on arrival travellers will pay it through a new electronic travel authority which will be rolled out.

New Zealand says its infrastructure is buckling under the strain of surging tourist numbers which are up by nearly a third in the past three years.

Other fees are also being hiked significantly including fees for various immigration services and the cost of working holiday visas.