Australians are expected to snap up 800,000 half-price airfares with the first tickets going on sale at midnight tonight.
An $8 million advertising campaign will promote the 15 tourism regions included as part of the Morrison-McCormack Government's cheap flights initiative.
Minister for Infrastructure, Transport and Regional Development Michael McCormack said domestic tourism would be at the heart of Australia's economic recovery as the nation comes back from the COVID-19 recession.
"Australia's response to COVID-19 has been world-leading, both on the health and economic fronts and now it's time for Australians to enjoy a well-earned holiday," the Deputy Prime Minister said.
"Planes in the air means jobs on the ground and these half-priced flights will help more Australians have their dream holiday at home whilst also supporting our aviation and tourism industries."
Minister for Trade, Tourism and Investment Dan Tehan said Australians should act quickly to secure their half-price airfare and support our domestic tourism industry.
"Australians know a great deal when they see one and we're expecting huge demand for the half-price airfares," Mr Tehan said.
"Every Australian who books a holiday will be supporting our tourism destinations that have been hardest hit by the closure of international borders and every dollar spent on an Australian holiday is a dollar that supports a local job and a local business.
"We want Australians to do their patriotic duty and book a holiday this year through their travel agent, and while they're away to eat at restaurants, go to the pubs, and book tours and experiences to get money flowing into our tourism businesses."
Tourism Australia Managing Director Phillipa Harrison said: "The discounted flights potentially provide hundreds of thousands of Australians with the opportunity to divert more of their holiday budget towards experiences on the ground, providing a boost to local businesses and tourism operators.
"One of the biggest challenges that we currently have is encouraging Australians to travel differently and to help fill the void left by overseas visitors by engaging with our many wonderful tourism experiences and attractions that are suffering from lost international business," Ms Harrison said.
"That is why we are calling on people to travel a bit differently, to venture further afield and to help support the local communities by immersing themselves in all of the experiences on offer there, be it a guided walking tour, a surf lesson or a wine tasting."
The half price flights are on sale from 1 April until 31 July and tickets can be purchased for travel to 30 September 2021.
The Holiday Here This Year - Full on holidays campaign will run from 1 April until July 2021 and will be supported by partnerships with a range of airlines, travel retailers and the states and territories to drive demand for accommodation and experiences.
