The Government has been advised allowing bed taxes by the Productivity Commission. Photo: Getty Images/FileAn about face by the Productivity Commission appears to have seriously undermined the Queenstown Lakes District Council’s case for introducing a visitor accommodation levy, known as a "bed tax". "In addition, significant scope exists to improve central Government funding flows to councils for tourism related amenities and services. A bed tax was supported by 80% of the 42% of Queenstown Lakes residents who took part in a referendum this year. In September, Radio New Zealand reported the Government had "thrown its support" behind a bed tax for Queenstown and a bill would go to Parliament next year.

Source: Otago Daily Times December 12, 2019 22:41 UTC