The Victorian government has implemented a 7.5% short-stay levy on Airbnb and similar short-term accommodations, effective January 1, 2025, to help address the housing crisis, expecting to raise $60 million annually, reports www.accountantsdaily.com.au.

The tourism sector has expressed concerns that this tax could deter travelers, especially amid the current cost-of-living crisis, as it would increase overall accommodation costs, including cleaning fees.

Industry representatives noted a lack of consultation prior to the tax’s introduction and highlighted that operators would need to raise prices to cover the new levy.