Tuesday, 17 March 2026


Adjournment

Land tax


Trung LUU

Land tax

 Trung LUU (Western Metropolitan) (21:33): (2405) My matter is for the Treasurer. It is regarding the significant and unjust land tax bill imposed on Wyndham City Council for a parcel of land that exists for the benefit of the community. The action I seek is for the Treasurer to intervene and review the State Revenue Office assessment of council-owned land and ensure that land used for a public purpose with no revenue is exempt from inappropriate taxation so that the vital local services are not deprived of necessary funding. The situation came to light when Wyndham was charged more than $70,000 in land tax over three years for the 18-square-metre garden bed on Watton Street down from my electorate office. It houses nothing more than a small strip of shrubs, a gum tree and an electrical box. The piece of land is one of more than 200 council-owned sites hit with land tax between 2021 and 2023, totalling $5.359 million. The impact on the community is significant. Every dollar diverted to pay these unexpected land tax bills is a dollar taken away from the maintenance of sporting ovals and parks, running early childhood programs and investing in fast-growing neighbourhoods. Wyndham is one of Victoria’s largest and fastest growing municipalities, and its ability to deliver services is already strained by a rapidly growing population. These tax liabilities ultimately fall back on local ratepayers – residents who are effectively being double taxed. They are paying rates to fund essential community services only to have those funds redirected to cover a state-imposed land tax bill for, again, essential services.

In an area growing as rapidly as Wyndham where every dollar is critical for maintaining livability, these represent devastating hits on communities and local families. At a time when communities need more support, not less, they are being forced to absorb millions in land tax on community facilities. Not only is it counterproductive, but it is unfair. These tax bills undermine the council’s ability to maintain local infrastructure, support new families and keep pace with the needs of this high-growth area. So I ask the Treasurer: will the government commit to reviewing these assessments, refunding any improper land tax charges to councils and safeguarding the community’s land against future inappropriate taxation? Local communities deserve better than having essential services undermined by the state government’s overreaching.