Govt 'working through' backpacker tax

Treasurer Scott Morrison says he's hearing calls - especially from the Nationals - about a new backpacker tax which farmers fear will hurt the industry.

Treasurer Scott Morrison. Source: AAP

Treasurer Scott Morrison is considering calls to wind back a new income tax on backpackers.

Concerned government backbenchers are calling for leniency on the 32.5 per cent tax set to come into effect from July 1 on fruit and vegetable pickers, which farmers fear will devastate the industry.

Mr Morrison told parliament on Thursday there were genuine questions about the proposal and the government would work through the issues, but not in a way that would impair the budget.