As of 1 May 2020, the State Taxation Acts Amendment (Relief Measures) Act 2020 (Vic) introduces various changes to land transfer duty and payroll tax relief measures as part of the government’s response to provide relief measures for bushfire affected areas and the COVID-19 pandemic.

COVID-19 pandemic response

The Taxation Administration Act 1997 (Vic) was amended to provided the Victorian Commissioner of State Revenue the necessary powers to effect the emergency tax relief measures (including land tax and payroll tax stimulus measures) announced by the State Government.

Victorian bushfire tax relief measures

Duties concessions:

• A formerly announced 50% land transfer duty concession on transfers of commercial and industrial land in regional Victoria has been brought forward for such transfers in bushfire affected areas.

• This concession applies for transfers entered into by way of contract, arrangement or agreement on or after 27 January 2020.

Payroll tax reductions:

• A formerly announced payroll tax reduction for regional employers has been brought forward for regional employers in bushfire affected areas.

• A reduced rate of 1.2125% will apply from 1 July 2019 to regional employers in bushfire affected areas.

• Other regional employers will only access the further reduced rate from 1 July 2022.

Bushfire affected areas include:

• Alpine Shire Council

• East Gippsland Shire Council

• Mansfield Shire Council

• Towong Shire Council

• Wangaratta Rural City Council

• Wellington Shire Council

• Mount Buller Alpine Resort

• Mount Hotham Alpine Resort

• Mount Stirling Alpine Resort

• Falls Creek Alpine Resort

First Home Owner Grants

The First Home Owner Grant of $20,000 for new home purchases in regional Victoria and $10,000 for new home purchases in Metropolitan Victoria has been extended to 30 June 2021.

For more information please contact:

Denise Tan
Senior Associate
T +61 3 9611 0160 | M +61 438 714 965
E dtan@sladen.com.au

Laura Spencer
Senior Associate
T +61 3 9611 0110
E lspencer@sladen.com.au

Phil Broderick
Principal
T +61 3 9611 0163  l M +61 419 512 801   
E  pbroderick@sladen.com.au