Reviewing the methodology

Interpretation of para 2.13 has given rise to the current exclusion of expenditure by all international students in the TSA, regardless of their length of stay in New Zealand, because the place where they are studying and staying is considered part of their usual environment. The phrase “even for more than one year” has led to the interpretation that it includes those studying for less than one year.

Further investigation, including correspondence with the WTO, suggests that para 2.13 should only be applied to students studying here for more than one year. For those studying for less than one year, then the normal TSA definition of a visitor applies. This is in line with para 2.12, which states, “If an individual has been present in a place for more than one year, this place is considered as part of their usual environment.”

Paragraph 2.13, therefore, is taken as an illustration of the situation for students studying in a place for more than one year and the exclusion should only be applied to them.

This is confirmed by para 2.18, which states:

“For a traveller to be considered engaged in a tourism activity in a locality, their stay in this place must last less than one consecutive year. When a visitor stays in a place for longer than one year, this place becomes part of their usual environment and they cease to be considered a visitor to it. On the other hand, those engaged in short-term courses or stays (such as summer courses, summer camps, medical treatment of short duration) are visitors to the location visited.”