Visitor tax concerns Macedon Ranges

Macedon MP Mary-Anne Thomas said the package is not final (Unsplash).

Zoe Moffatt

Macedon Ranges accommodation operators are disappointed at the proposed state government tourist levy on accommodation across the state, which they say would be another hit to Victorians.

The state government is considering introducing a $5 tax on Victoria’s hotel, motel and caravan park operators to discourage the expansion of private housing onto short-stay accommodation platforms.

Six generation farmers Veronica and Barry Crozier supplement their seasonal farm income with two cottages through Fellcroft Farmstay. Mrs Crozier said they are concerned about the impact of the tax.

“We love sharing our property with our visitors,” she said. “Our cottages were approved by council and designed as short-term accommodation to support us financially on the farm.

“Our guests support the region spending in local restaurants, wineries, farmer’s markets and shops.

“The majority of our guests come from Melbourne so this proposed tax will be another hit Victorians already suffering under the cost of living crisis.”

The Lancefield Guesthouse owner Peter Chiller agreed with the Crozier’s and said the industry was just getting back into stride following the pandemic.

“I think it’s a really bad idea,” Mr Chiller said. “I don’t think this is going to assist the tourism industry in the Macedon Ranges or the rest of Victoria.

“We’re a small operator and there’s a limit to what people will pay… and I feel we are at that limit… It’s pretty hard going at the moment.

“They’re saying it’s $5 now but one thing we do know is that tax never stays the same.”

Mr Chiller said the proposed tax is attacking one sector of the economy to fix another sector.

Tourism Macedon Ranges chair Andrew Towner said the tax is being presented as a measure to address private housing shortages however the affected businesses do not remove private housing.

“The tax is being presented as a measure to address private housing shortages and is proposed to be levied on all short-term accommodation including hotels, motels and caravan parks,” he said.

“However, these businesses do not remove private housing from the local market [and] we are very concerned that this tax will simply increase travel costs and discourage visitors to the Macedon Ranges.”

Macedon MP Mary-Anne Thomas said the package is not final and it would be unhelpful to speculate on what it may or may not contain.

“There’s no more important issue right now than housing – that’s why we’re working hard on a housing package to be announced shortly,” she said.