Thursday, 20 March 2025

Emergency Services and Volunteers Fund

Gaelle BROAD (Northern Victoria) (23:29): (1539) My adjournment is for the Treasurer, and the action I seek is for the government to consider the impact of the proposed emergency services levy on regional Victorians and reconsider the government’s priorities for the coming state budget. This new tax, which the government plans to introduce from 1 July this year, places a huge burden on regional Victorians already struggling with rising living costs. Households are set to pay almost double under the tax, commercial rates increase by 100 per cent, industrial rates jump by 64 per cent and primary producers face an increase of 189 per cent. In another blow to renters, rental providers will be charged another $267 plus a variable fee. Many rental providers already stretched by land tax and increasing costs due to more than 130 rental reforms introduced by this government have no option but to increase rents or sell due to rising costs. Local real estate agents have told me that the government’s continued taxation of property has seen their rental rolls slashed by 25 per cent. In many regional areas rental vacancies sit below 1 per cent, forcing even more families onto the public housing waitlist.

I spoke with a couple in their 80s from Strathfieldsaye who are in poor health and very worried that they will not be able to pay the increased taxes. They own land surrounded by new housing estates, and the land value has risen dramatically. The government has announced exemptions under the emergency services levy but has not worked out how these exemptions will apply, due to the complexity of what is being proposed based on unique business structures and multiple farm lots crossing council boundaries. Who will manage the onerous process of calculating this new tax? It is clear from the bill briefing and the Treasurer’s response to questions in the chamber today that the details of exemptions and how to define active CFA and SES volunteers are yet to be determined. Local councils have also expressed frustration about collecting this state tax and how to cope with the backlash of complaints from ratepayers.

Given the errors that have already occurred within the expanded land tax regime this new emergency services tax will only make things worse. I have spoken with people who have received land tax bills for properties they no longer own and accountants who are dealing with incorrect land tax statements every day, doing their best to liaise with the State Revenue Office and help farm businesses navigate the red tape. Due to the systemic breakdown in the land tax regime, the Shadow Treasurer has written to the Auditor-General requesting an investigation. Higher land taxes and the doubling of the emergency services levy on households will have a devastating impact on regional Victoria, on tenants, families and businesses already struggling to make ends meet. I ask the Treasurer to reconsider the government’s priorities in the coming state budget, stop the exorbitant spending on major projects like the Suburban Rail Loop and ensure that our emergency services including the CFA and SES are funded appropriately without the need for another new tax.