Cruise ship travellers to pay more under border levy 9 Jul 2015
Related articles
- NZ consumers grow more upbeat, may resume spending Business
- Minister launches SmartGate in Wellington Travel
- Authentic Kiwi hospitality for 2011 rugby fans Property
- Unique website launched for Rugby World Cup Sport
- Knowles quits as CEO of KiwiBank Business
- Snow on The Remarkables Living
- NZ migration bolstered by British invasion Migration
- Sludge Report #192: The Naked Budget Columns
- Budget 2010 – Building the Recovery News
- NZ manufacturing activity reaches highest since 04 Business
By Fiona Rotherham
July 9 (BusinessDesk) - Cruise ship travellers look likely to be charged a higher rate - possibly nearly $3 per person more - than others under a new levy imposed from January on all travellers arriving and leaving New Zealand.
A public consultation document on the border clearance levy, confirmed in the government’s May Budget, recommends a higher rate for cruise ship travellers reflecting the extra costs incurred by the Ministry for Primary Industries and Customs New Zealand in processing cruise ships stopping at multiple ports.
The original levy cost was estimated at $16 for arriving passengers and $6 for those departing. The consultation documents suggests a range of $15.20 to $15.90 for arriving passengers, $19 to $19.70 for arriving cruise ship travellers, and $2.60 to $3.10 for departing travellers.
The new tax comes on top of existing airport charges.
By 2017/2018, the levy is expected to fully fund the $103 million a year it costs to protect New Zealand from pests, diseases and contraband. Treasury documents released today show its likely to return Crown savings of $25.9 million in 2015/16, $78 million in 2016/2017 and $104 million by 2017/2018.
Despite savings from the levy, Treasury didn’t support a Budget decision to reinvest an additional $4 million in operating funding in the 2015/2016 financial year and a one-off capital injection of $2 million, plus $4.6 million in extra operating funding from 2016/17 onwards to increase staff numbers, x-rays and dog inspections at the border.
There has been increased demand for MPI and Customs services at the border with air passenger volumes having grown 19 percent and cruise ship arrivals up around 80 percent in the past five years. Air passenger growth is expected to continue at around 3.5 percent annually.
The consultation document says the risk profile of passengers and crew is also changing with more arrivals from emerging economies that carry higher risk. Social and economic costs of not meeting these risks can be high – for example the current Queensland fruit fly response is expected to cost around $17 million while the estimated economic cost of a foot and mouth disease outbreak as occurred in the UK in 2001 would be up to $16 billion.
It’s expected that airlines and cruise ship operators will collect the levy on behalf of government and the document recommends all those buying tickets before Jan. 1, even if travelling later, be exempted. No ongoing exemptions are recommended with all travellers, including crew, to be charged.
The document said Customs and MPI may also consider alternative charging arrangements in future to recover the costs when higher levels of service are required, such as servicing ad hoc arrivals or remote locations, establishment costs for new and restart airports, and VIP processing.
Three public meetings are being held in Auckland, Wellington, and Christchurch over the next two weeks on the levy, with input sought on how it is collected, if rates should differ by transport type, and possible exemptions. Submissions close on July 28 and the government will make final decisions in October/November.
(BusinessDesk)
News
Hilary Timmins' Award-Winning UK Documentary Series To Inspire NZ Students
29 Jun 2020 Education
Dream Catchers, produced and directed by Hilary Timmins, celebrates the success stories of more than thirty inspirational New... more
New Zealand reaffirms support for Flight MH17 judicial process
7 Mar 2020 News
Ahead of the start of the criminal trial in the Netherlands on 9 March, Foreign Minister Winston Peters has reaffirmed the need to... more
Business
NZ Government's Economic package to fight COVID-19
17 Mar 2020 Business News
The Coalition Government has launched the most significant peace-time economic plan in modern New Zealand history to cushion the... more
NZ Government announces aviation relief package
19 Mar 2020 Business News
Transport Minister Phil Twyford today outlined the first tranche of the $600 million aviation sector relief package announced earlier... more
Living
Diversity was Key at New Zealand Trade Tasting in London
6 Jun 2022 Food & Wine
New Zealand Winegrowers Annual Trade Tasting was recently held in London, on Wednesday 4 May, in Lindley Hall.
It was the first... more
Kiwi author stuns Behind the Butterfly Gate
12 Jan 2022 Arts
Hidden behind the Butterfly Gate is where the secret has been kept for 76 years...
New Zealand writer Merryn Corcoran’s... more
Property
Fairer rules for tenants and landlords
17 Nov 2019 Property
17 NOVEMBER 2019
The Government has delivered on its promise to the over one million New Zealanders who now rent to make it fairer... more
New Zealand Government will not implement a Capital Gains Tax
17 Apr 2019 Property
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more
Migration
Boosting border security with electronic travel authority – now over 500,000 issued
19 Nov 2019 Migration
19 NOVEMBER 2019
We’ve improved border security with the NZeTA, New Zealand Electronic Travel Authority, which helps us to... more
Christchurch reinstated as refugee settlement location
18 Aug 2018 Migration
18 AUGUST 2018
HON IAIN LEES-GALLOWAY
The announcement that Christchurch can once again be a settlement location for refugees... more
Travel
Gallipoli Anzac Day services cancelled
19 Mar 2020 Travel & Tourism
The New Zealand and Australian Governments have announced this year’s joint Anzac Day services at Gallipoli will be cancelled... more
New Zealanders advised not to travel overseas
19 Mar 2020 Travel & Tourism
New Zealanders advised not to travel overseas
more
Sport
The Skipper's Diary: Sir Richard Hadlee honouring his father and NZ's Forty-Niners
27 Oct 2019 Cricket
NZNewsUK London Editor Charlotte Everett spoke to Sir Richard Hadlee about why he’s chosen to publish his father’s... more
PREVIEW: All Blacks v England semi-final
26 Oct 2019 Rugby
The two most convincing quarterfinals winners are set to square off in a semifinal showdown for the ages when the All Blacks meet old... more
Columns
Gordon Campbell on the Gareth Morgan crusade
11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade
First published on Werewolf
The ghastly likes of Marine Le Pen in France and Geert ... more
Gordon Campbell on the US election outcome
10 Nov 2016 Opinion
Column - Gordon Campbell
Gordon Campbell on the US election outcome
Well um.. on the bright side, there (probably)... more
Kiwi Success
Congratulations to Loder Cup winner
26 Sep 2018 People
25 SEPTEMBER 2018
The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more
Appointments to New Zealand National Commission for UNESCO
16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO
HON JENNY SALESA
Associate Education Minister Jenny Salesa is... more
Recruitment
Historic pay equity settlement for education support workers
14 Aug 2018 Recruitment
14 AUGUST 2018Historic pay equity settlement for education support workers
RT HON JACINDA ARDERN
HON CHRIS HIPKINS
Prime Minister
The... more
Historic pay equity settlement for education support workers
22 Aug 2018 Recruitment
14 AUGUST 2018Historic pay equity settlement for education support workers
RT HON JACINDA ARDERN
HON CHRIS HIPKINS
Prime Minister
The... more