Thursday, 2 April 2026

 David LIMBRICK (South-Eastern Metropolitan) (12:18): (1303) My question today is for the Treasurer. Victorians have been hit hard by tax. In recent years we have had the windfall gains tax, the COVID debt levy, the mental health and wellbeing levy, the short-stay levy, the new congestion levy, the emergency services levy and increases in foreign purchasers and owners charges. It is all a lot to bear. The cost of living is rising for everyone, but it seems the cost of government is rising faster. In addition to this, the threshold for land tax was lowered to $50,000, which is the lowest rate in Australia. This has captured new people now subject to land tax, including some sole traders who now have a liability on their principal place of residence. When the government are trying to force the option of working from home, this is inherently unfair. Has the Treasurer requested modelling on the impact of land tax on sole traders and small businesses working from home?

 Jaclyn SYMES (Northern Victoria – Treasurer, Minister for Industrial Relations, Minister for Regional Development) (12:19): I thank Mr Limbrick for his question. As you have indicated, we are a state that relies on taxes predominantly to produce revenue to provide the services that Victorians rely on, unlike other states that have the ability to effectively dig cash out of the ground. I would put to you that since being Treasurer I have not announced any new taxes – and thank you, Mr Limbrick, for that acknowledgement – so no announcement of new taxes since I have been Treasurer. In relation to your question around the impact of working from home and those tax obligations, the working-from-home policy in itself does not change any of those tax obligations. What is the rule is not changed. If you are conducting a substantial business from home, you may attract tax obligations in relation to that. Merely working from home a couple of days a week when your normal employer is somewhere else is not changed by any of our policies.

In relation to the taxation between states, I do want to use the opportunity of the question that you have put, because the latest annual financial reports of both Victoria and New South Wales actually revealed that Victoria’s taxation per capita was lower than New South Wales last year – $5557 compared to $5644 per capita. Mr Limbrick, I know your view on taxes. I will continue to have conversations with you about the impact on Victorians, but hopefully that has answered your question. It is not anticipated that any working-from-home policy will have any major implications on people’s tax obligations.

 David LIMBRICK (South-Eastern Metropolitan) (12:21): I thank the Treasurer for that answer. My questions were specifically, though, around sole traders and people operating businesses from home. Starting a small business or operating a consultancy from home can be one of the best things that someone can do, creating some new innovation or assisting businesses to become more efficient or simply providing a valuable service. Operating this business from home should not be something that we punish. The ability to do this is one of the wonderful advances of modern society. Will the Treasurer consider exempting sole traders from land tax liabilities on their primary place of residence to create equality for all people that work from home, whether they are running a business or not?

 Jaclyn SYMES (Northern Victoria – Treasurer, Minister for Industrial Relations, Minister for Regional Development) (12:22): I thank Mr Limbrick for his question and indeed his suggestion of future tax changes and considerations. I am always open to giving consideration to policy ideas, and I will give due consideration to your proposal.