Tasmania has recorded 404 fresh COVID-19 infections while the number of people in hospital with the virus has grown to three.
The state's health department confirmed the new cases on Sunday morning, as active infections across the state rose to 1219 cases.
The figures represented a slight decrease on Saturday's daily case tally, when 428 were recorded.
Sixty cases are being cared for at community case management facilities and 316 are being managed at home.
Only one of three cases in the state's hospitals are there due to COVID-19, with the other two admitted to hospital due to unrelated conditions.
There are no COVID-19 cases in intensive care or requiring ventilation.
More than 1500 tests were performed on New Year's Day with another 1200 booked in on Sunday.
Health Minister Jeremy Rockliff said 120 people were released from isolation on Saturday after recovering from COVID-19.
He said a three-year-old child had tested positive for COVID-19 in the state's south, after presenting to Royal Hobart Hospital's emergency department.
"While no doubt distressing for the family, the child was treated by an emergency department medical specialist and was deemed safe for discharge," Mr Rockliff said in a statement.
He said rapid antigen tests remained available to asymptomatic close contacts or anyone directed to take a test by the health department.
"Please contact the Public Health Hotline if you cannot obtain a RAT test and we will direct you to a distribution point in the South, North and North West," he said.
"While the case numbers will continue to cause some concern in the community - which is completely understandable - it is not unexpected, and the reason we are now able to live with COVID is because of our highly vaccinated population."
Acting state opposition leader Anita Dow said testing capacity was "crumbling", contact tracing had been "abandoned" and COVID@home calls were going unanswered "for hours".
"How are Tasmanians expected to have confidence in the premier's COVID plan for our hospitals when key parts of the premier's reopening plan have already failed?"
Ms Dow called for Premier Peter Gutwein to be more transparent with Tasmanians.
On Saturday Mr Gutwein said, with a highly vaccinated population, the state would not be heading into lockdown or closing borders.
But he did advise caution to travellers, reminding Tasmanians and visitors if they contracted the virus or became a close contact while away, they would have to isolate at their own cost.