Hi all,
Something I am passionate about is small business - especially those in the hospitality and tourism sectors. I operate four short term rentals in Richmond (Tasmania) and this is my main source of income. I have two part time employees and myself. That is why I have put my name to a petition to the Tasmanian Parliament on the 5% tax on operators like myself.
I urge you to sign the petition –
https://haepetitions.parliament.tas.gov.au/haepet/Home/PetitionDetails/139?title=Petition%20Details
Some thoughts from me.
While few would not want to see things made easier for first home buyers in the state, putting a tax on a small group of very small business operators that (it seems) has never been modelled needs more thought.
This levy is discriminatory at best - unsound ideology may be closer to the truth as its been used as a cure for everything from undersupply of long-term rental properties to first home buyer stamp duty relief. WOW - who would of thought such a small amount of money could do so much - amazing!
The current draft legislation will impact pensioners/self funded retirees who rent out a room to help make ends meet and mum and dad's with a property not suitable for long term rental. This happens when things as not modelled properly.
It is said the tax will be paid by visitors to the state but this fails to consider how dynamic pricing works in the sector. The reality is it will be absorbed by many operators and unlikely to be passed on – we are price takers to some extent.
The tax is 5% but this is just the base number to which all bookings are applied. When you add on registration with the SRO, lodgement and compliance costs to this, think of it as 7.5-10% cost to the small business.
Other national groups oppose such ideas - read what the HIA have to say about housing in Australia. ( https://hia.com.au/our-industry/newsroom/economic-research-and-forecasting/2026/01/housing-inequality-is-not-a-tax-problem-it-is-a-numbers-problem ).
I urge anyone with a connections to small business, tourism, hospitality or an elderly relative who rents out a room to make ends meet to sign this petition. If you are living in Tasmania, please spread the word to anyone in Tassie - the Government will only listen to a large number of voices.
Thanks everyone,
Andrew McMaster
