Understanding Land Tax Exemptions for Rooming Houses in Victoria

harry15793
Nov 28, 2024
2 min read

The Victorian State Revenue Office (SRO) provides land tax exemptions for properties used as registered rooming houses, provided they meet specific criteria. These exemptions aim to support affordable housing initiatives for low-income individuals and those experiencing disadvantage.

Eligibility Criteria

Registration and Use:
- The property must be registered under the Public Health and Wellbeing Act 2008 and qualify as a rooming house under the Residential Tenancies Act 1997.
- It must primarily offer low-cost accommodation.
Occupancy Requirements:
- At least four residents must have occupied the property during the preceding year.
- A minimum of 80% of residents should have stayed for at least three months, with exceptions considered in special cases.
Affordability:
- Rent must remain within prescribed limits based on pension rates to ensure affordability.
Exclusions:
- Hotels, motels, student accommodations, and tourism-related properties typically do not qualify for this exemption.
Rooming House Land Tax Exemption

Maximum Permitted Tariff

The rooming house exemption applies only if the tariff charged per person for weekly accommodation does not exceed the maximum permitted tariff.

Single accommodation

The following table specifies the maximum permitted tariff for single weekly accommodation in a rooming house.

Land tax year	Maximum weekly tariff for lodging only - per person	Maximum weekly tariff for full board and lodging - per person
2025	$400.54	$600.81

Shared accommodation

The following table specifies the maximum permitted tariff for shared weekly accommodation in a rooming house.

Land tax year	Maximum weekly tariff for lodging only - per person	Maximum weekly tariff for full board and lodging - per person
2025	$301.91	$452.87

Application Process

To claim the exemption, property owners must submit an application with supporting documentation to the SRO, demonstrating their compliance with these requirements.

For full details, consult the Victorian State Revenue Office guidelines on rooming house exemptions. This exemption reflects the government’s commitment to affordable housing solutions, ensuring low-cost accommodation providers can continue their vital work in the community.