Vanessa Van Uden

The Queenstown Lakes District Council is preparing to lobby the Government for a resort visitor levy.

Mayor Vanessa van Uden says the idea was raised during discussions with the Government over funding of the council's $70 million convention centre plan.

The council has submitted ''a funding business case'' on the centre to the Government, she said, noting Prime Minister John Key's supportive comments last Friday during his Winter Festival visit.

The Chamber of Commerce is helping pull the visitor levy proposal together, Ms Van Uden said.

Asked how the levy might be collected, how much might be charged per person, whether Kiwi as well as foreign visitors would be taxed and how much the levy might raise annually, Ms Van Uden said she was unable to give details because planning was at ''a very, very early stage''.

Nevertheless, she said, the levy ''would likely be for capital costs impacted by visitors being here - as opposed to those costs which are fairly attributable to the people living here''.

Clutha-Southland MP Todd Barclay said he had been pushing for a visitor levy for Queenstown since being elected.

''I'm assisting the Chamber of Commerce to put to central government a business proposal that addresses a challenge which is unique to Queenstown,'' he said.

Last week, Mr Key acknowledged the pressure on Queenstown's infrastructure and said a cash contribution from the Government towards a council-backed convention centre could ease the burden on ratepayers.

Mr Key has previously noted Treasury's concern about a Queenstown visitor levy setting a precedent other centres would also demand to follow.

In April, some Queenstown business owners said they were worried about the escalating cost of the council-backed convention centre proposal, which fuelled the bed tax debate. - Mountain Scene

by Frank Martin