The Allan Labor Government is set to press ahead with its controversial move to slug short-stay accommodation, such as Airbnb, with a 7.5 per cent tax on bookings.
The Short Stay Levy Bill will apply to all bookings made from 1 January 2025, increasing the cost of every short stay accommodation booking.
In addition, the Bill is also set to allow local councils to ban short stay accommodation completely and set the number of days a property can be listed on short-term accommodation sites.
Just five months out from the start of the tax, the Allan Labor Government is yet to confirm how it will operate, causing ongoing uncertainty for the tourism sector.
The Nationals’ Member for Euroa, Annabelle Cleeland, said this tax was failing to address the fundamental causes of Victoria’s housing affordability crisis.
“This tax is doing nothing to ensure more homes are being built in areas that need it most and instead punishes regional communities reliant on tourism,” Ms Cleeland said.
“Under Labor, Victoria already has the highest property taxes in the nation, which are driving away the investment needed to get more homes built.
“Now they are hell-bent on increasing the cost of short-term rentals in regional tourist spots.
“Instead of helping the issue, this tax is all about bailing out Labor’s Homes Victoria agency, which is $185.6 million in the red.”
Since 2018, the Benalla district has added just 32 new social houses despite featuring on 398 priority access location preferences for those seeking social housing.
In the same time frame, the Mitchell Shire has added 30 new properties, despite Seymour being listed on 365 priority access applications for social housing and the Broadford district had featuring on a further 446 applications.
“Despite millions of dollars being thrown around as part of Labor’s so-called ‘big build’, areas like Benalla and the Mitchell Shire have seen inconsequential improvements when it comes to housing stock,” Ms Cleeland said.
“For areas without Big Build projects like the Strathbogie Shire, there are even less properties available than there were in 2018.
“Labor cannot manage money and Victorians are paying the price.”