The Nationals have made a commitment to axe Labor’s latest Holiday and Tourism Tax, when in government.
The Nationals’ Member for Euroa, Annabelle Cleeland, said cutting Labor’s unfair tax means Victorians will enjoy more affordable holidays, and allow regional businesses to flourish.
“Tourism is particularly important across the region, with people coming from all over the world to visit the best of what our towns have to offer,” Ms Cleeland said.
“Short stay rentals enable families to find suitable places to stay while in our towns, whether it be farm stays, small homes, or shared spaces.
“Our smaller towns are not set up with commercial tourism infrastructure like large hotels, and instead rely on these short-term stay options.
“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.”
The Nationals’ announcement comes after the Allan Labor Government, with the help of Independent and Greens MPs passed a 7.5 per cent tax on short-stay accommodation providers – its 55th new or increased tax in the past 10 years.
The tax is in addition to the GST already payable on short-term accommodation bookings and local government charges.
Approximately 60 per cent of short-term rentals are located in regional Victoria, with 40 per cent of these rentals being used for medical reasons, emergency workers, essential workers, or women escaping domestic violence.
Ms Cleeland said Labor’s short stay tax was a blatant attack on these people, as well as small business operators who play a vital to our regional economies.
“Many of our region’s most vulnerable people rely on short-stay accommodation to best service their needs, whether it be for work, finding a safe space, or being located closer to crucial medical services,” Ms Cleeland.
“On top of this, more visitors will result in more support for our local hospitality businesses and our retail sector, many of which are struggling to keep their doors open due to Labor’s increasing taxes and the growing costs of doing business in Victoria.
“Labor is desperate to fill its budget black hole by charging Victorians to go on a holiday, but regional businesses and Victorians simply hoping to enjoy a weekend away shouldn’t be the ones to pay for Labor’s financial mismanagement.
“Labor cannot manage money, and regional Victorians are paying the price.
“A Victorian Liberal and Nationals Government will scrap this tax in the first parliamentary sitting week after the November 2026 Victorian election.”