As the summer holiday season approaches, property owners and travellers should remember that Victoria’s 7.5% Short Stay Levy is now in effect. Introduced on 1 January 2025, the levy applies to all short-term accommodation bookings and is automatically collected by platforms such as Airbnb and Stayz. The funds raised are directed towards supporting social and affordable housing across the state.
What this means for property owners:
You won’t need to collect or manage the levy yourself, but it’s important to consider how the extra cost may affect bookings. Some guests may adjust their travel plans or choose alternative options, so reviewing your pricing strategy and expected income for the peak season can help you plan ahead.
What this means for travellers:
The levy is included in the total cost of your booking, so holidays may be slightly more expensive. Planning ahead and factoring this into your budget will ensure a smooth and stress-free getaway.
Even though the levy has been in place since January, the summer peak is a good time to refresh your understanding of how it impacts both property owners and travellers. Being aware of the levy ensures expectations are clear and helps everyone make informed decisions over the busy holiday period.
If you need any more information about the short stay levy, reach out to your Highview Accountant.
