Airport Sector Opposes International Border Tax

Airport Sector Opposes International Border Tax

The Government’s announcement to impose a tax on all departing and arriving international travellers is a border tax masquerading as a bio-security and customs levy.

“We are very disappointed about this announcement which has come as a complete surprise to the airport sector,” said Kevin Ward, Chief Executive of NZ Airports Association.

“There has been no consultation with the sector on the introduction of this tax which has the potential to negatively impact NZ’s economy.

"As a country we need to do all that we can to encourage an increase in visitors to our shores. These visitors contribute billions of dollars to New Zealand’s bottom line and help support more than 120,000 jobs in this country.

“This tax, an extra $16 for arriving passengers and $6 for departing passengers, when combined with existing Government charges will cost around NZ$36 for a return journey from Australia to New Zealand - potentially a barrier making visitors think twice about wanting to visit our country.

"Today’s announcement is a backflip from December 2011 when John Key vigorously opposed the British Government’s decision to increase departure tax for air travel from Britain to New Zealand.

"The Government has stated that there will be a chance for feedback on the decision next month.

"The airport sector welcomes open dialogue and will be participating in these discussions,” Mr Ward said.

ENDS

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