Working from home
David DAVIS (Southern Metropolitan) (12:13): My question is to the Treasurer. Treasurer, I draw your attention to statements from the finance minister today, who said:
We don’t tax your principal place of residence. We’ve never done that. We never will.
Is it a fact, Treasurer, that the finance minister is wrong and the government does tax your principal place of residence where there is substantial business activity?
Jaclyn SYMES (Northern Victoria – Treasurer, Minister for Industrial Relations, Minister for Regional Development) (12:13): I thank Mr Davis for his question. I think you will find that the Minister for Finance’s statements were in relation to employees and their principal place of residence. As you know – because I know you would know this particularly from your time as Shadow Treasurer – we do not apply land tax to home owners or renters who often work from home. It is the case that a partial land tax is sometime paid by taxpayers who are running a substantial business from home, such as a bed and breakfast or a hairdressers or having a doctor’s room, and you and I, Mr Davis, have had these conversations before. But in relation to people who work from home a couple of days a week, in relation to being taxed for working from home any suggestion of that would be false, and I am pretty sure you know that.
David DAVIS (Southern Metropolitan) (12:14): Indeed, I do not think the Treasurer is being quite clear here. It is true that there is a tax on the principal place of residence where there is substantial business activity, as you conceded, and I ask –
A member interjected.
David DAVIS: Well, it does not say that on the actual ruling. Let me just ask: will the Treasurer ask the SRO to issue a new ruling to clarify the statements made by the finance minister?
Jaclyn SYMES (Northern Victoria – Treasurer, Minister for Industrial Relations, Minister for Regional Development) (12:15): I can confirm advice from the SRO that working from home a few days a week in and of itself would not make a taxpayer liable for land tax; you need to be conducting a substantial business activity. If you want to check out the rulings, they are on the SRO website, and if anybody has any other specific queries about their specific circumstances, I would encourage people to call the SRO. I visited the SRO offices just recently and spoke to a lot of the staff that work there – an amazing workforce really there to be useful for Victorians who have questions. I would certainly encourage phone calls to them for specific situations.