State Taxation Further Amendment Act 2025 (Vic)

State Taxation Further Amendment Act 2025

No. 48 of 2025

TABLE OF PROVISIONS

Section  Page

Part 1—Preliminary

1Purposes

2Commencement

Part 2—Amendment of Commercial and Industrial Property Tax Reform Act 2024

3Definitions

4What is an entry transaction?

5What is a qualifying dutiable transaction?

6Aggregation of interests acquired under qualifying dutiable transactions

7What is a qualifying landholder transaction?

8Aggregation of interests acquired under qualifying landholder transactions

9Certain land taken to be consolidated on subdivision

10New Part 5 inserted

Part 3—Amendment of Congestion Levy Act 2005

Division 1—Congestion levy

11Definitions

12Amount of levy

13Section 16 repealed

14New section 18AA inserted

15New section 26A inserted

16Requirement for registration—private car parks

17Requirement for registration—public car parks

18New sections 34A and 34B inserted

19Schedule 1 substituted

Division 2—Other amendments

20Statute law revision

Part 4—Amendment of Duties Act 2000

Division 1—New Zealand citizens

21Definitions

22New sections 3K to 3M inserted

Division 2—Custodian transfers

23New section 35A inserted

Division 3—Tax reform scheme land

24Definitions

25New section 3AA inserted

26Schedule 2 amended

Part 5—Amendment of First Home Owner Grant and Home Buyer Schemes Act 2000

Division 1—New Zealand citizens

27Definitions and cross-references

28Section 9 amended

Division 2—Service of documents

29When is service effective?

Part 6—Amendment of Land Tax Act 2005

Division 1—New Zealand citizens

30Definitions

Division 2—Exemption for land with temporary residence

31Definitions

32New Division 1A of Part 4 inserted

Division 3—Vacant residential land tax

33Definitions

34Owner of land subject to vacant residential land tax must notify Commissioner

35New section 88DA inserted

36Land becomes residential land during third year preceding tax year and has not been used or occupied or changed ownership

Division 4—Relief from liability to pay land tax

37Taxpayer may apply for relief

38Relief granted by the Commissioner

Division 5—Miscellaneous

39Heading to Division 6 of Part 4

Division 6—Transitional provisions

40New clause 23 of Schedule 3 inserted

Part 7—Amendment of Limitation of Actions Act 1958

41Postponement of limitation periods in case of fraud or mistake

42New section 41 inserted

Part 8—Amendment of Taxation Administration Act 1997

43Permitted disclosures to particular persons or for particular purposes

Part 9—Repeal of Taxation (Interest on Overpayments) Act 1986

44Repeal of Taxation (Interest on Overpayments) Act 1986

Part 10—Amendment of Building Act 1993

Division 1—Building permit levy

45Definitions

46New section 3A inserted

47Refusal of building permit

48Building permit levy must be paid

49Applicant must pay building permit levy

50Section 205H amended

51Section 205HA substituted

52Calculation and notification of levy

53Section 205KA amended

54Authority may reassess levy after building permit issued

55Authority must take into account matters in reassessing levy

56Authority to give notice of refund

57Authority may impose amount of penalty levy

58Assessment of levy

59Authority may charge costs of assessing levy

60General regulation-making powers

61New section 288A inserted

Division 2—Validation

62New section 260A inserted

Division 3—Consequential amendment of Building Act 1993

63Relevant building surveyor must apply for building permit number for building permit

64Notice to Development Victoria of application

65Notice to Commissioner of State Revenue of application

66Further notice to Commissioner of State Revenue

67Specification of builders in relation to specific building work

68Notice to relevant building surveyor of subsequent engagement of builder

69Restrictions on owner-builder

70Council to notify Development Victoria of issue of building permit

71Disputes about the building permit levy

Division 4—Consequential amendment of other Acts

72Amendment of Planning and Environment Act 1987

73Amendment of Development Victoria Act 2003

Part 11—Amendment of Domestic Animals Act 1994

74Payments to the Treasurer

Part 12—Repeal of this Act

75Repeal of this Act

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Endnotes

1     General information

State Taxation Further Amendment Act 2025

No. 48 of 2025

[Assented to 25 November 2025]

The Parliament of Victoria enacts:

PART 1—PRELIMINARY

1Purposes

The purposes of this Act are—

(a)to amend the Commercial and Industrial Property Tax Reform Act 2024 in relation to transactions under which land enters the commercial and industrial property tax scheme; and

(b)to amend the Congestion Levy Act 2005—

(i)to exempt parking spaces used exclusively for residential purposes from the operation of that Act; and

(ii)to increase the amount of the congestion levy imposed under that Act; and

(iii)to provide an exemption in relation to parking spaces on the premises of a Government school or on Government school boarding premises; and

(iv)to provide a concession in relation to certain parking spaces for retail premises or retail shopping centres; and

(v)to modify and expand the area in which the congestion levy is imposed; and

(vi)to require the Commissioner to publish a map of the levy area on an appropriate website; and

(vii)to require the Minister to enter into a memorandum of understanding with each municipal council regarding the funding of active transport initiatives; and

(c)to amend the Duties Act 2000—

(i)in relation to New Zealand citizens; and

(ii)to provide an exemption for transfers of dutiable property involving a custodian or sub-custodian under a trust; and

(iii)to make further provision for transactions involving tax reform scheme land; and

(d)to amend the First Home Owner Grant and Home Buyer Schemes Act 2000—

(i)in relation to the eligibility criteria for the first home owner grant; and

(ii)in relation to service of documents; and

(e)to amend the Land Tax Act 2005—

(i)in relation to New Zealand citizens; and

(ii)to provide a new exemption from land tax for certain land occupied as a principal place of residence; and

(iii)in relation to the imposition of vacant residential land tax; and

(iv)in relation to applications for relief from liability to pay land tax; and

(f)to amend the Limitation of Actions Act 1958 to clarify the interaction of sections 20A and 27 of that Act; and

(g)to amend the Taxation Administration Act 1997 to prescribe the Valuer-General as an authorised recipient of information obtained under or in relation to the administration of a taxation law; and

(h)to repeal the Taxation (Interest on Overpayments) Act 1986; and

(i)to amend the Building Act 1993—

(i)to further provide for the building permit levy imposed under that Act; and

(ii)to address defects in estimates and calculations for the purposes of the building permit levy and the imposition and collection of the building permit levy; and

(j)to amend the Domestic Animals Act 1994 to increase amounts payable—

(i)by Councils to the Treasurer in respect of dog and cat registration fees; and

(ii)by Greyhound Racing Victoria to the Treasurer in respect of greyhound registration fees; and

(k)to make consequential amendments to other Acts; and

(l)to make minor and technical amendments to Acts otherwise amended by this Act.

2Commencement

(1)This Part and Part 7 come into operation on the day on which this Act receives the Royal Assent.

(2)The remaining provisions of this Act (except Division 1 of Part 3, Divisions 1 and 2 of Part 6, Part 11 and section 35) come into operation on the day after the day on which this Act receives the Royal Assent.

(3)Division 1 of Part 3, Divisions 1 and 2 of Part 6 and section 35 come into operation on 1 January 2026.

(4)Subject to subsection (5), Part 11 comes into operation on a day or days to be proclaimed.

(5)If a provision of Part 11 does not come into operation before 30 June 2026, it comes into operation on that day.

PART 2—AMENDMENT OF COMMERCIAL AND INDUSTRIAL PROPERTY TAX REFORM ACT 2024

3Definitions

In section 3 of the Commercial and Industrial Property Tax Reform Act 2024 insert the following definition—

"unencumbered value has the same meaning as in section 3(1) of the Duties Act 2000;";

4What is an entry transaction?

(1)In section 8 of the Commercial and Industrial Property Tax Reform Act 2024—

(a)in paragraph (c)(ii), for "or 13." substitute "or 13; and";

(b)after paragraph (c) insert—

"(d)in the case of a qualifying dutiable transaction, the transaction has the duty consequences described in subsection (2).".

(2)At the end of section 8 of the Commercial and Industrial Property Tax Reform Act 2024 insert—

"(2)For the purposes of subsection (1)(d), the duty consequences are that—

(a)in the case of a transaction referred to in subsection (1)(c)(i), the amount determined in accordance with the formula in subsection (3) is greater than or equal to 50%; or

(b)in the case of a transaction referred to in subsection (1)(c)(ii), the sum of the amounts determined in accordance with the formula in subsection (3) for each aggregated interest is greater than or equal to 50%.

(3)For the purposes of subsection (2)(a) and (b), the amount is determined in accordance with the following formula—

where—

Dis the dutiable value of the land the subject of the qualifying dutiable transaction;

Uis the unencumbered value of the whole of the land at the time of the qualifying dutiable transaction.".

5What is a qualifying dutiable transaction?

For section 9(1)(c) of the Commercial and Industrial Property Tax Reform Act 2024 substitute—

"(c)duty is chargeable on the dutiable transaction under the Duties Act 2000; and".

6Aggregation of interests acquired under qualifying dutiable transactions

In section 10(1) of the Commercial and Industrial Property Tax Reform Act 2024, for "section 8(c)(ii)" substitute "section 8(1)(c)(ii)".

7What is a qualifying landholder transaction?

For section 11(1)(c) of the Commercial and Industrial Property Tax Reform Act 2024 substitute—

"(c)duty is chargeable on the relevant acquisition under the Duties Act 2000; and".

8Aggregation of interests acquired under qualifying landholder transactions

In section 13(1) of the Commercial and Industrial Property Tax Reform Act 2024, for "section 8(c)(ii)" substitute "section 8(1)(c)(ii)".

9Certain land taken to be consolidated on subdivision

In the example at the foot of section 15 of the Commercial and Industrial Property Tax Reform Act 2024, for "entry transaction" substitute "entry consolidation".

10New Part 5 inserted

After Part 4 of the Commercial and Industrial Property Tax Reform Act 2024 insert—

"PART 5—TRANSITIONAL PROVISIONS

36State Taxation Further Amendment Act 2025

Sections 3, 8, 9, 10, 11, 13 and 15, as amended by Part 2 of the State Taxation Further Amendment Act 2025, apply, and are taken always to have applied, from 1 July 2024.".

PART 3—AMENDMENT OF CONGESTION LEVY ACT 2005

Division 1—Congestion levy

11Definitions

In section 3(1) of the Congestion Levy Act 2005—

(a)insert the following definitions—

"common areas, of a retail shopping centre, means the areas in or adjacent to the centre that are used or intended for use by the public, or in common by occupiers of premises in the centre for the carrying on of businesses on those premises, and includes any of the following in or adjacent to the centre—

(a)stairways, escalators and elevators;

(b)malls and walkways;

(c)parking areas;

(d)toilets and restrooms;

(e)gardens and fountains;

(f)information, entertainment, community and leisure facilities;

expanded category 2 levy area means the category 2 levy area excluding the initial category 2 levy area;

Government school has the same meaning as in the Education and Training Reform Act 2006;

Government school boarding premises has the same meaning as in the Education and Training Reform Act 2006;

initial category 2 levy area has the same meaning as category 2 levy area had in this Act immediately before 1 January 2026;

retail premises means premises used wholly or predominantly for—

(a)the sale or hire of goods by retail; or

(b)the retail provision of services;

retail shopping centre means a cluster of premises that has all of the following attributes—

(a)at least 5 of the premises are retail premises;

(b)the premises are all owned by the same person or have (or would have if leased) the same landlord or the same head landlord;

(c)the premises are located—

(i)in a single building; or

(ii)in 2 or more buildings that are—

(A)adjoining; or

(B)separated only by common areas or other areas owned by the owner of the premises; or

(C)separated only by a road;

(d)the cluster of premises is promoted as, or generally regarded as constituting, a shopping centre, shopping mall, shopping court or shopping arcade;";

(b)in the definition of parking space, after "by the public" insert "or a space that is used exclusively for the parking of a motor vehicle for residential purposes (including a temporary stay in a hotel, serviced apartment or club that provides accommodation)".

12Amount of levy

(1)In Column 1 of the Table to section 10 of the Congestion Levy Act 2005, after "subsequent year" insert "before 2026".

(2)At the end of the Table to section 10 of the Congestion Levy Act 2005 insert—

"2026	$3030	$2150
2027 and each subsequent year	The CPI adjusted levy for that year	The CPI adjusted levy for that year".

13Section 16 repealed

Section 16 of the Congestion Levy Act 2005 is repealed.

14New section 18AA inserted

After section 18 of the Congestion Levy Act 2005 insert—

"18AA   Government schools

A parking space is an exempt parking space if—

(a)the parking space is located on the premises of a Government school or on Government school boarding premises; and

(b)no charge is made for the parking of a motor vehicle in the space.".

15New section 26A inserted

After section 26 of the Congestion Levy Act 2005 insert—

"26A   Concession for parking spaces for retail premises or retail shopping centres

(1)This section applies to a parking space in the category 2 levy area—

(a)that is located on, or is adjacent to, retail premises or a retail shopping centre; and

(b)that is set aside exclusively for the parking of a motor vehicle by a customer attending the retail premises or retail shopping centre; and

(c)for which no charge is made for the parking of the motor vehicle in the space if—

(i)the period of the parking is less than one hour; or

(ii)the customer makes a purchase at the retail premises or in the retail shopping centre.

(2)If the parking space is a leviable parking space for a levy year, the levy payable on the space for that year is to be reduced by 50% in addition to any other concession under this Division.".

16Requirement for registration—private car parks

In section 27(2) of the Congestion Levy Act 2005—

(a)in paragraph (b)—

(i)before "category 2 levy area" insert "initial";

(ii)in subparagraph (ii), for "owner." substitute "owner; and";

(b)after paragraph (b) insert—

"(c)for a private car park in the expanded category 2 levy area—

(i)if the owner owned the car park on 1 January 2026—by 21 January 2026; or

(ii)if the owner became the owner of the car park after 1 January 2026—within 1 month after becoming the owner.".

17Requirement for registration—public car parks

In section 28(3) of the Congestion Levy Act 2005—

(a)in paragraph (b)—

(i)before "category 2 levy area" insert "initial";

(ii)in subparagraph (ii), for "operator." substitute "operator; and";

(b)after paragraph (b) insert—

"(c)for a public car park in the expanded category 2 levy area—

(i)if the owner or operator was the owner or operator of the car park on 1 January 2026—by 21 January 2026; or

(ii)if the owner or operator became the owner or operator of the car park after 1 January 2026—within 1 month after becoming the owner or operator.".

18New sections 34A and 34B inserted

After section 34 of the Congestion Levy Act 2005 insert—

"34A   Map of levy area

(1)The Commissioner must publish a map of the levy area on an appropriate website.

(2)A map published under subsection (1) must show—

(a)the category 1 levy area; and

(b)the category 2 levy area.

34BMemoranda of understanding with municipal councils

(1)The Minister, on behalf of the State, must enter into a memorandum of understanding with each municipal council whose municipal district includes any land that is in the levy area.

(2)A memorandum of understanding under subsection (1) must relate to an annual allocation to the municipal council for the purpose of funding active transport or other transport initiatives.".

19Schedule 1 substituted

For Schedule 1 to the Congestion Levy Act 2005 substitute—

"Schedule 1—Levy area

Section 3(1)

1The category 1 levy area is the area in the Cities of Melbourne, Port Phillip and Yarra bounded by Hoddle St, Punt Rd, Queens Rd, Kings Way, the West Gate Freeway, City Link, Footscray Rd, Dudley St, Peel St, Franklin St, Queen St, Berrbang La, Dhanga Djeembana Walk, Therry St, Elizabeth St, Queensberry St, Rathdowne St, Carlton St, Nicholson St, Gertrude St and Langridge St.

2The category 2 levy area is the area in the Cities of Darebin, Melbourne, Merri-bek, Port Phillip, Stonnington and Yarra bounded by Dandenong Rd, Queens Way, Nepean Hwy, Barkly St, Blessington St, Marine Pde, the path leading to Brooks Jetty, Brooks Jetty, Port Phillip Bay, a straight line extending, at the same angle as Princes St, to Princes St, Princes St, Swallow St, Station St, Boundary St, including a straight line at the same angle as Boundary St across the light rail tracks between Page Reserve and Fennell Reserve, a straight line extending, at the same angle as Boundary St, from the intersection of Boundary St and Fennell St to the West Gate Freeway, the West Gate Freeway, City Link, the Yarra River, the Maribyrnong River, Smithfield Rd, Racecourse Rd, City Link, Dawson St, Glenlyon Rd, King St, Alister St, Willowbank Rd, a straight line extending, at the same angle as Willowbank Rd, from the end of Willowbank Rd to the Merri Creek, the Merri Creek, St Georges Rd, Merri Pde, Westgarth St, East St, a straight line extending, at the same angle as East St, from the end of East St to the Merri Creek, the Merri Creek, the Yarra River, Victoria St, Burnley St, Doonside St, a straight line extending, at the same angle as Doonside St, from the end of Doonside St to the Yarra River, the Yarra River, a straight line extending, at the same angle as Williams Rd N, to Williams Rd N, Williams Rd N and Williams Rd, but excluding the category 1 levy area.

Note

The Commissioner must publish on an appropriate website a map that shows the category 1 levy area and the category 2 levy area—see section 34A.".

Division 2—Other amendments

20Statute law revision

In section 20A(3)(a)(iii) and (b)(ii) of the Congestion Levy Act 2005, for "within meaning" substitute "within the meaning".

PART 4—AMENDMENT OF DUTIES ACT 2000

Division 1—New Zealand citizens

21Definitions

In section 3(1) of the Duties Act 2000, for paragraph (c) of the definition of foreign natural person substitute—

"(c)a New Zealand citizen who is a resident of Australia within the meaning of section 3K;".

22New sections 3K to 3M inserted

After section 3J of the Duties Act 2000 insert—

"3K   Who is a resident of Australia for the purposes of the definition of foreign natural person?

(1)For the purposes of paragraph (c) of the definition of foreign natural person and determining a liability for duty, a New Zealand citizen is taken to be a resident of Australia if the Commissioner is satisfied that the person has complied with, or will comply with, the residence requirement specified in subsection (2) in relation to—

(a)a dutiable transaction under which a land-related interest in residential property is transferred to the person; or

(b)an acquisition by the person of an interest in a landholder that holds a land-related interest in residential property.

(2)For the purposes of subsection (1), the residence requirement is that the person ordinarily resides in Australia for a continuous period of at least 6 months within a period—

(a)commencing 12 months prior to the date of the dutiable transaction or relevant acquisition; and

(b)ending 12 months after the date of the dutiable transaction or relevant acquisition.

(3)If satisfied that there is a good reason why a person cannot satisfy the residence requirement specified in subsection (2), the Commissioner may—

(a)reduce the duration of the period for which the person must ordinarily reside in Australia; or

(b)extend the period within which a person must complete a period of ordinarily residing in Australia.

3LLiability for duty if residence requirement not complied with

(1)If a New Zealand citizen does not comply with the residence requirement specified in section 3K(2) in relation to a dutiable transaction or relevant acquisition referred to in section 3K(1)—

(a)the person is a foreign purchaser in respect of the dutiable transaction or relevant acquisition; and

(b)the Commissioner may reassess duty on the dutiable transaction or relevant acquisition accordingly.

(2)A liability for any additional duty imposed because of subsection (1) arises when the residence requirement specified in section 3K(2) is not complied with.

Note

Section 16 provides that a tax default does not occur if the duty is paid within 30 days after the liability for the duty arises.

(3)A reassessment referred to in subsection (1)(b) is authorised if more than 5 years have passed since the initial assessment was made.

Note

Section 9(3)(c) of the Taxation Administration Act 1997 allows a reassessment to be made more than 5 years after the initial assessment if this is authorised by a taxation law.

3MNew Zealand citizen to notify Commissioner of change in circumstances

(1)A New Zealand citizen must lodge a written notice with the Commissioner within 30 days after becoming aware of any circumstances that may result in the residence requirement specified in section 3K(2) not being complied with.

(2)A failure of a New Zealand citizen to comply with subsection (1) does not affect the Commissioner's power to exercise a discretion under section 3K(3) or to reassess duty on a dutiable transaction or relevant acquisition under section 3L(1)(b).".

Division 2—Custodian transfers

23New section 35A inserted

After section 35 of the Duties Act 2000 insert—

"35A   Custodian transfers

(1)No duty is chargeable under this Chapter in respect of a transfer of dutiable property between—

(a)a trustee of a trust and a custodian in relation to the trust; or

(b)a custodian in relation to a trust and another custodian in relation to the trust; or

(c)a custodian in relation to a trust and a sub-custodian in relation to the trust; or

(d)a sub-custodian in relation to a trust and another sub-custodian in relation to the trust—

if the transferee is to hold the property solely in the capacity of the transferee described in paragraph (a), (b), (c) or (d).

(2)In this section—

custodian, in relation to a trust, means a custodian of a trustee of the trust;

sub-custodian, in relation to a trust, means a sub-custodian of a custodian of a trustee of the trust.".

Division 3—Tax reform scheme land

24Definitions

In section 3(1) of the Duties Act 2000, for the definition of entry interest substitute—

"entry interest has the meaning given by section 3AA;".

25New section 3AA inserted

After section 3 of the Duties Act 2000 insert—

3AAWhat is an entry interest?"

(1)For the purposes of this Act, entry interest, in relation to tax reform scheme land, means—

(a)if the relevant entry transaction related to an interest in land that is a qualifying interest— the qualifying interest the subject of the relevant entry transaction for the land; or

(b)if the relevant entry transaction related to an interest in land that amounts to a qualifying interest in the land when aggregated with other interests in land in accordance with section 10 or 13 of the Commercial and Industrial Property Tax Reform Act 2024—the qualifying interest resulting from the aggregation of those interests.

(2)If the relevant entry transaction was a qualifying dutiable transaction to which an exemption or concession applied (other than a reduction from duty under section 64B), the quantum of an entry interest referred to in subsection (1)(a) is the percentage of the whole of the land determined in accordance with the formula in subsection (4).

(3)If any of the qualifying dutiable transactions under which an aggregated interest was obtained was a qualifying dutiable transaction to which an exemption or concession applied (other than a reduction from duty under section 64B), the quantum of an entry interest referred to in subsection (1)(b) is the sum of the percentages of the whole of the land determined in accordance with the formula in subsection (4) in respect of each of the aggregated interests.

(4)For the purposes of subsections (2) and (3), the percentage of the whole of the land obtained under a qualifying dutiable transaction to which an exemption or concession applied (other than a reduction from duty under section 64B) is the percentage determined in accordance with the following formula—

where—

Dis the dutiable value of the land the subject of the qualifying dutiable transaction;

Uis the unencumbered value of the whole of the land at the time of the qualifying dutiable transaction.".

26Schedule 2 amended

After clause 60 of Schedule 2 to the Duties Act 2000 insert—

"61   State Taxation Further Amendment Act 2025

(1)Section 3, as amended by Part 4 of the State Taxation Further Amendment Act 2025, applies, and is taken always to have applied, from 1 July 2024.

(2)Section 3AA, as inserted by Part 4 of the State Taxation Further Amendment Act 2025, applies, and is taken always to have applied, from 1 July 2024.".

PART 5—AMENDMENT OF FIRST HOME OWNER GRANT AND HOME BUYER SCHEMES ACT 2000

Division 1—New Zealand citizens

27Definitions and cross-references

In section 3(1) of the First Home Owner Grant and Home Buyer Schemes Act 2000, for the definition of permanent resident substitute—

"permanent resident means the holder of a permanent visa within the meaning of section 30(1) of the Migration Act 1958 of the Commonwealth;".

28Section 9 amended

(1)In the heading to section 9 of the First Home Owner Grant and Home Buyer Schemes Act 2000, after "Australian" insert "citizen, New Zealand".

(2)In section 9(1) of the First Home Owner Grant and Home Buyer Schemes Act 2000, after "Australian" insert "citizen, New Zealand".

(3)In section 9(2) of the First Home Owner Grant and Home Buyer Schemes Act 2000—

(a)after "an Australian" insert "citizen, New Zealand";

(b)after "be Australian" insert "citizens, New Zealand".

Division 2—Service of documents

29When is service effective?

Section 49G(2) and (3) of the First Home Owner Grant and Home Buyer Schemes Act 2000 are repealed.

PART 6—AMENDMENT OF LAND TAX ACT 2005

Division 1—New Zealand citizens

30Definitions

In section 3(1) of the Land Tax Act 2005—

(a)for paragraph (c) of the definition of Australian citizen or resident substitute—

"(c)a person who ordinarily resides in Australia;";

(b)for the definition of natural person absentee substitute—

"natural person absentee means a natural person who—

(a)is not an Australian citizen or resident; and

(b)was absent from Australia—

(i)on 31 December in the year immediately preceding the tax year; or

(ii)for a total period of at least 6 months in the year immediately preceding the tax year;".

Division 2—Exemption for land with temporary residence

31Definitions

In section 3(1) of the Land Tax Act 2005 insert the following definition—

"occupancy permit means an occupancy permit issued under Part 5 of the Building Act 1993;".

32New Division 1A of Part 4 inserted

After Division 1 of Part 4 of the Land Tax Act 2005 insert—

"Division 1A—Exemption for land with temporary residence

63ADefinitions

In this Division—

temporary residence means any structure or vehicle—

(a)that is capable of being used for human habitation; and

(b)for which an occupancy permit is not required;

Examples

1A caravan, motorhome or trailer.

2A tent.

3A shed or a barn.

temporary residence land has the meaning given by section 63B;

trustee has the same meaning as in section 52(1).

63BMeaning of temporary residence land

(1)For the purposes of this Division, land is temporary residence land if—

(a)there is a temporary residence on the land; and

(b)there is no building affixed to the land for which an occupancy permit is required, including a building that is being constructed or renovated; and

(c)the land is not used by any person to carry on a substantial business activity; and

(d)the land is in a zone other than a non‑residential zone; and

(e)the taxable value of the land is less than $300 000; and

(f)the owner of the land does not own any other land in Victoria.

(2)In determining whether land is used by a person to carry on a substantial business activity, account must be taken of the matters specified in section 62(2).

63CWhat is a principal place of residence?

For the purposes of this Division, in determining whether land is used or occupied as the principal place of residence of a person, account must be taken of every place of residence of the person, whether in Victoria or elsewhere.

63DExemption for land with temporary residence

(1)Subject to this Division, the following land is exempt land—

(a)temporary residence land owned by a natural person (who is not a person specified in subsection (4)) that is used and occupied as the principal place of residence of that person;

(b)temporary residence land owned by a trustee of a trust that is used and occupied as the principal place of residence of a vested beneficiary in relation to the land.

(2)Despite subsection (1)(b), land referred to in that subsection is not exempt land if rent is paid by or on behalf of the vested beneficiary for use and occupation of the land in the year preceding the tax year.

(3)Subject to sections 63E and 63F, subsection (1) only applies if the land has been used and occupied as the principal place of residence of the owner or vested beneficiary—

(a)since 1 July in the year preceding the tax year; or

(b)if the owner or trustee became the owner of the land on or after 1 July in the year preceding the tax year, since a later date during that year.

(4)For the purposes of subsection (1)(a), the following persons are specified—

(a)a trustee of a trust (including an implied or constructive trust) to which the land is subject;

(b)a beneficiary of a trust (including an implied or constructive trust) to which the land is subject;

(c)a unitholder in a unit trust scheme to which the land is subject.

63EDeferral of tax on certain residential land for 6 months

(1)If—

(a)land would be exempt land in respect of a year under section 63D but for section 63D(3); and

(b)the owner satisfies the Commissioner that the land is intended to be continuously used and occupied as the principal place of residence of the person referred to in section 63D(1)(a) or (b) for a period of at least 6 months from the date that the land was first so used and occupied—

the Commissioner may determine that land tax in respect of the land for that year is not payable until the expiry of that 6 month period.

(2)If land that would be exempt land in respect of a year but for section 63D(3) has been continuously used and occupied as the person's principal place of residence for the period of 6 months, the land becomes exempt land in respect of that year at the end of that period.

63FDeferral of tax for residential land to be used during tax year

(1)The Commissioner may determine that land tax in respect of land for a year is not payable until the expiry of a 6 month period that begins and ends in that year if—

(a)a person becomes the owner of the land on or after 1 July in the preceding year; and

(b)as at 31 December in the preceding year, the person does not use or occupy the land as the person's principal place of residence; and

(c)the Commissioner is satisfied that the person intends to continuously use and occupy the land as the person's principal place of residence for the 6 month period; and

(d)the land is temporary residence land.

(2)The Commissioner may determine that land tax in respect of land for a year is not payable until the expiry of a 6 month period that begins and ends in that year if—

(a)a trustee becomes the owner of the land on or after 1 July in the preceding year; and

(b)as at 31 December in the preceding year, there is no vested beneficiary in relation to that land using and occupying it as the vested beneficiary's principal place of residence; and

(c)the Commissioner is satisfied that a vested beneficiary in relation to that land intends to continuously use and occupy it as the vested beneficiary's principal place of residence for the 6 month period; and

(d)the land is temporary residence land.

(3)If land referred to in subsection (1) or (2) that would have been exempt land under section 63D in respect of a year but for section 63D(3) has been continuously used and occupied as the person's principal place of residence for the period of 6 months, the land becomes exempt land in respect of that year at the end of that period.

63GExemption continues on death of resident

(1)If temporary residence land is used and occupied as the principal place of residence of a person and the person dies, liability for tax is to be assessed as if the person had not died but had continued to use and occupy the land as the person's principal place of residence.

(2)Subsection (1) operates only until the earlier of—

(a)the third anniversary of the person's death or the expiry of the further period approved by the Commissioner under subsection (3); or

(b)the day on which the person's interest in the land vests in another person under a trust; or

(c)the day on which the person's interest in the land vests in a person (other than the person's personal representative) under the administration of the person's estate.

(3)For the purposes of subsection (2)(a), the Commissioner may approve a further period in any particular case.

(4)Subsection (1) does not apply if the person who dies held a life estate in possession in the land.

(5)Subsection (1) does not apply in respect of a year if any income was derived from the land in the year preceding the tax year.

63HExemption continues if land becomes unfit for occupation

(1)If land that is exempt land under section 63D(1) becomes unfit for occupation as the principal place of residence of a person because of damage or destruction caused by an event such as fire, earthquake, storm, accident or malicious damage, the land continues to be exempt land while the owner continues to own the land as if it had continued to be used and occupied as the person's principal place of residence.

(2)Subsection (1) operates until the first anniversary of the day on which the land became unfit for occupation as the person's principal place of residence.".

Division 3—Vacant residential land tax

33Definitions

In section 3(1) of the Land Tax Act 2005, for the definition of alpine resort substitute—

"alpine resort means—

(a)an alpine resort within the meaning of section 2 of the Alpine Resorts Act 1983; or

(b)land located within the boundary of the locality described and referred to as Dinner Plain in a planning scheme that is in force in the Alpine Shire Council;".

34Owner of land subject to vacant residential land tax must notify Commissioner

In section 34G(1) of the Land Tax Act 2005, for "January" substitute "February".

35New section 88DA inserted

After section 88D of the Land Tax Act 2005 insert—

"88DA   Land becomes vacant residential land during year preceding tax year

Land is exempt from vacant residential land tax for a tax year if—

(a)at the commencement of the year preceding the tax year the land was residential land within the meaning of section 34B(1); and

(b)for a period during the year preceding the tax year the land was not residential land within the meaning of section 34B(1); and

(c)at the end of the year preceding the tax year the land was residential land within the meaning of section 34B(1).".

36Land becomes residential land during third year preceding tax year and has not been used or occupied or changed ownership

In section 88EA(2)(a) of the Land Tax Act 2005, for "January" substitute "February".

Division 4—Relief from liability to pay land tax

37Taxpayer may apply for relief

In section 91(2)(b)(i) and (ii) of the Land Tax Act 2005, for "$1000" substitute "$5000".

38Relief granted by the Commissioner

(1)Section 92(2) of the Land Tax Act 2005 is repealed.

(2)In section 92(3)(c) of the Land Tax Act 2005, for "he or she" substitute "the Commissioner".

Division 5—Miscellaneous

39Heading to Division 6 of Part 4

(1)The heading to Division 6 of Part 4 of the Land Tax Act 2005 is repealed.

(2)After section 78D of the Land Tax Act 2005 insert the following heading—

"Division 6—Public, government and municipal land".

Division 6—Transitional provisions

40New clause 23 of Schedule 3 inserted

At the end of Schedule 3 to the Land Tax Act 2005 insert—

"23   State Taxation Further Amendment Act 2025

(1)The definition of alpine resort in section 3(1), as amended by Part 6 of the State Taxation Further Amendment Act 2025, applies, and is taken always to have applied, in respect of the 2025 tax year.

(2)A taxpayer is entitled to a refund of any vacant residential land tax paid in respect of the 2025 tax year that is not payable because of subclause (1).

(3)An application made to the Board before the commencement day under section 91 as in force immediately before that day is, on and after that day, taken to be an application made to the Commissioner under section 91 if—

(a)the application is not determined before that day under section 93 as in force immediately before that day; and

(b)the land tax assessed for the applicant taxpayer for or in the tax year to which the application relates does not exceed $5000.

(4)In this clause—

Board has the same meaning as in Part 5;

commencement day

means the day on which Division 4 of Part 6 of the State Taxation Further Amendment Act 2025 comes into operation.".

PART 7—AMENDMENT OF LIMITATION OF ACTIONS ACT 1958

41Postponement of limitation periods in case of fraud or mistake

At the end of section 27 of the Limitation of Actions Act 1958 insert—

"(2)This section does not apply to, or affect, the period of limitation fixed by section 20A(2) for a proceeding to which section 20A applies.".

42New section 41 inserted

After section 40 of the Limitation of Actions Act 1958 insert—

"41   Transitional provision—State Taxation Further Amendment Act 2025

The amendment made to section 27 by the State Taxation Further Amendment Act 2025 applies to and in relation to money paid before, on or after the commencement of Part 7 of that Act but does not apply to a proceeding commenced before the commencement of Part 7 of that Act.".

PART 8—AMENDMENT OF TAXATION ADMINISTRATION ACT 1997

43Permitted disclosures to particular persons or for particular purposes

After section 92(1)(e)(xvii) of the Taxation Administration Act 1997 insert—

"(xviii)the Valuer-General; or".

PART 9—REPEAL OF TAXATION (INTEREST ON OVERPAYMENTS) ACT 1986

44Repeal of Taxation (Interest on Overpayments) Act 1986

The Taxation (Interest on Overpayments) Act 1986 is repealed.

PART 10—AMENDMENT OF BUILDING ACT 1993

Division 1—Building permit levy

45Definitions

In section 3(1) of the Building Act 1993 insert the following definitions—

"cost-plus contract or agreement means a contract or agreement with a builder for carrying out building work under which the amount of money (including for the cost of labour and materials) the builder is to receive cannot be determined at the time the contract or agreement is entered into, even if prime cost items and provisional sums are ignored;

prime cost item, in relation to a cost-plus contract or agreement, means an item that is to be supplied under the contract or agreement where—

(a)the price of the item is not known at the time the contract or agreement is entered into; and

(b)the builder must make a reasonable allowance in the contract or agreement for the item;

provisional sum, in relation to a cost-plus contract or agreement, is an estimate of the cost (including for the cost of labour and materials) of carrying out particular building work for which the builder, after making all reasonable enquiries, cannot give a definite amount at the time the agreement or contract is entered into;".

46New section 3A inserted

After section 3 of the Building Act 1993 insert—

"3A   Calculating the cost of the building work

(1)In calculating the cost of the building work for the purposes of this Act (other than Part 9B)—

(a)the cost of any chattel, and of any prescribed excluded item, (including GST) must be deducted from—

(i)if there is a contract or agreement (other than a cost-plus contract or agreement) with a builder for carrying out the building work—the contract price or agreed amount to be paid to the builder (including for the cost of labour and materials) for carrying out the work; or

(ii)if there is a cost-plus contract or agreement with a builder for carrying out building work—the estimated amount that the builder will receive or is likely to receive for carrying out the work; or

(iii)if the building work is carried out by an owner-builder—the owner builder's estimated cost (including for labour and materials) of the owner-builder carrying out the work; and

(b)any amount of GST payable in respect of the building work referred to in paragraph (a)(i), (ii) or (iii) must be included.

Note

See also sections 24A(1)(b) and 24B.

(2)In addition, in calculating the cost of the building work carried out by an owner‑builder—

(a)the following must be added to the cost of the building work calculated under subsection (1)—

(i)if there is contract or agreement (other than a cost-plus contract or agreement) for carrying out the building work or part of the building work—the contract price or agreed amount to be paid to the builder for the building work; or

(ii)if there is a cost-plus contract or agreement for carrying out the building work or part of the building work—the builder's estimate of the total amount that the builder will receive or is likely to receive under the contract or agreement for the building work; and

(b)the cost of any chattel, and of any prescribed excluded item, (including GST) must be deducted from the contract price, agreed amount or estimate referred to in paragraph (a); and

(c)any amount of GST payable in respect of the building work referred to in paragraph (a)(i) or (ii) must be included.

(3)In this section—

GST has the same meaning as it has in the A New Tax System (Goods and Services Tax) Act 1999 of the Commonwealth.".

47Refusal of building permit

(1)In section 24(1)(d) of the Building Act 1993, for "approval." substitute "approval; and".

(2)After section 24(1)(d) of the Building Act 1993 insert—

"(e)the building permit levy imposed by section 205G(1), (2) and (2A) has been paid.

Note

See also section 205GA.".

48Building permit levy must be paid

In section 205G(1), (2) and (2A) of the Building Act 1993, for "cost of building work" substitute "cost of the building work".

49Applicant must pay building permit levy

(1)In section 205GA of the Building Act 1993, for "is issued" substitute "may be issued".

(2)At the foot of section 205GA of the Building Act 1993 insert—

"Note

See also section 24.".

50Section 205H amended

(1)In the heading to section 205H of the Building Act 1993, for "cost of building work" substitute "cost of the building work".

(2)For section 205H(1), (1AA) and (1A) of the Building Act 1993 substitute—

"(1)An application for a building permit (including a staged permit) must specify—

(a)if there is a contract or agreement (other than a cost-plus contract or agreement) with a builder for carrying out the building work for which the permit is sought—

(i)the contract price or agreed amount to be paid to the builder under that contract or agreement; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(b)if there is a cost-plus contract or agreement with a builder for carrying out the building work for which the permit is sought—

(i)the builder's estimate of the total amount that the builder will receive or is likely to receive under that contract or agreement; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(c)if the applicant is an owner-builder—

(i)the owner-builder's estimate of the cost of the building work to be carried out by the owner-builder for which the permit is sought; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(iv)if the owner-builder has entered into a contract or agreement with a builder for carrying out of a part of the building work for which the permit is sought—

(A)if the contract or agreement is not a cost-plus contract or agreement—the contract price or agreed amount to be paid to the builder for the building work; and

(B)if the contract or agreement is a cost-plus contract or agreement—the builder's estimate of the total amount that the builder will receive or is likely to receive under the contract or agreement for the building work; and

(C)the cost of any chattel and the cost of any prescribed excluded item to be supplied under the contract or agreement.

(1AA)In addition, an application for a building permit (including a staged permit)—

(a)must specify the class or classes of building to which the building work relates; and

(b)if the building work relates to one or more class of building referred to in section 205G(2A)(b) and a class 1, 9 or 10 building, the information required under subsection (1) must be specified according to whether the building work relates to—

(i)the class or classes of building referred to in section 205G(2A)(b); or

(ii)the class 1, 9 or 10 building.

(1A)In addition, an application for a staged permit must specify—

(a)if there is a contract or agreement (other than a cost-plus contract or agreement) for carrying out the whole of the building work—

(i)the contract price or agreed amount to be paid to the builder under that contract or agreement; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(b)if there is a cost-plus contract or agreement for carrying out the whole of the building work—

(i)the builder's estimate of the total amount that the builder will receive or is likely to receive under that contract or agreement; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(c)if the applicant is an owner-builder—

(i)the owner-builder's estimate of the cost of the building work for the whole of the building work to be carried out by the owner-builder; and

(ii)the cost of any chattel; and

(iii)the cost of any prescribed excluded item; and

(iv)if the owner-builder has entered into a contract or agreement with a builder for carrying out a part of the whole of the building work—

(A)if the contract or agreement is not a cost-plus contract or agreement—the contract price or agreed amount to be paid to the builder for the whole of the building work; and

(B)if the contract or agreement is a cost-plus contract or agreement—the builder's estimate of the total amount that the builder will receive or is likely to receive under the contract or agreement for the whole of the building work; and

(C)the cost of any chattel and the cost of any prescribed excluded item under the contract or agreement.".

51Section 205HA substituted

For section 205HA of the Building Act 1993 substitute—

"205HA   Relevant building surveyor must refuse building permit in certain circumstances

(1)A relevant building surveyor must refuse an application for a building permit if the relevant building surveyor is satisfied of any of the following—

(a)the contract price or agreed amount to be paid to the builder or the builder's estimate of the total amount the builder will receive or is likely to receive for carrying out the building work is substantially lower than the price or amount normally payable for carrying out building work of that kind;

(b)the cost of any chattel specified in the application is substantially higher than the cost normally payable for a chattel of that kind;

(c)the cost of any prescribed excluded item specified in the application is substantially higher than the cost normally payable for an item of that kind;

(d)the application contains a statement about a matter referred to in paragraph (a) to (c) or subsection (2) that is false or misleading in a material particular;

(e)for an application for a building permit that is not a staged permit—the application does not include the information required under section 205H(1) or (1AA);

(f)for an application for a staged permit—the application does not include the information required under section 205H(1), (1AA) or (1A).

(2)In addition, a relevant building surveyor must refuse an application for a building permit made by an owner-builder if the relevant building surveyor is satisfied of any of the following—

(a)the estimate by the owner-builder of the cost of the building work to be carried out by the owner-builder is substantially lower than the cost normally payable for carrying out building work of that kind by an owner‑builder;

(b)the contract price or agreed amount to be paid to a builder or subcontractor or a builder's or subcontractor's estimate of the total amount the builder or subcontractor will receive or is likely to receive for carrying out the building work is substantially lower than the price or amount normally payable for carrying out building work of that kind.

(3)This section does not limit the circumstances in which a relevant building surveyor must refuse to issue a building permit.".

52Calculation and notification of levy

(1)For section 205I(1)(a) of the Building Act 1993 substitute—

"(a)the relevant building surveyor must—

(i)calculate the cost of the building work for which the permit is sought having regard to—

(A)the information specified in the application for the building permit; and

(B)any other information given by the applicant to the relevant building surveyor; and

(ii)without delay give the Authority and the applicant written notice of the cost of the building work; and".

(2)For section 205I(1)(b)(i) and (ii) of the Building Act 1993 substitute—

"(ia)determine the applicable rate of the building permit levy under section 205G(2B); and

(i)calculate the amount of building permit levy payable; and

(ii)give the applicant written notice of the rate determined under subparagraph (ia) and the amount calculated under subparagraph (i).".

(3)At the foot of section 205I(1) of the Building Act 1993 insert the following Note—

"Note

See also section 3A.".

(4)For section 205I(2)(a) of the Building Act 1993 substitute—

"(a)the relevant building surveyor must—

(i)calculate the cost of the building work for the whole of the building work having regard to—

(A)the information specified in the application for the staged permit; and

(B)any other information given by the applicant to the relevant building surveyor; and

(ii)calculate the cost of the building work for the stage of the building work for which the permit is sought having regard to—

(A)the information specified in the application for the staged permit; and

(B)any other information given by the applicant to the relevant building surveyor; and

(iii)without delay give the Authority and the applicant written notice of—

(A)the cost of the building work for the stage of the building work for which the permit is sought; and

(B)the cost of the building work for the whole of the building work; and

(C)whether the application for the staged permit is for the final stage of the whole of the building work; and".

(5)In section 205I(2)(b)(ii) of the Building Act 1993, for "the cost of the stage of the building work" substitute "the cost of the building work for the stage of the building work".

(6)After note 2 at the foot of section 205I(2) of the Building Act 1993 insert—

"3See also section 3A.".

(7)Section 205I(3) of the Building Act 1993 is repealed.

(8)For section 205I(4)(a) of the Building Act 1993 substitute—

"(a)the relevant building surveyor must—

(i)calculate the cost of the building work that relates to the class or classes of building referred to in section 205G(2A) for which the building permit is sought, having regard to—

(A)the information specified under section 205H(1AA); and

(B)any other information given by the applicant to the relevant building surveyor; and

(ii)calculate the cost of the building work that relates to the class 1, 9 or 10 building for which the building permit is sought, having regard to—

(A)the information specified under section 205H(1AA); and

(B)any other information given by the applicant to the relevant building surveyor; and".

53Section 205KA amended

(1)In the heading to section 205KA of the Building Act 1993, after "increased" insert "or decreased".

(2)In section 205KA(1) of the Building Act 1993, for "has resulted in an increase in the cost of the building work estimated" substitute "will result in an increase or a decrease in the cost of the building work calculated".

(3)For section 205KA(2) and (3) of the Building Act 1993 substitute—

"(2)If the variation to the building work is not related to an amendment of the building permit, the owner of the building or land must give a written notice to the Authority within 28 days after the owner becomes aware—

(a)that the variation to the building work will result in an increase or decrease—

(i)in the contract price; or

(ii)if there is no contract—in the amount to be paid to the builder; or

(iii)if the building permit was issued to an owner-builder—in the owner-builder's estimate of the total cost of the building work to be carried out by the owner‑builder; or

(iv)if the building permit was issued to an owner-builder and there is a contract or agreement between the owner-builder and a builder to carry out part of the building work—in the contract price or the amount to be paid to the builder; and

(b)of any change to the cost of any chattel; and

(c)of any change to the cost of any prescribed excluded item.

(3)If the variation to the building work is related to an amendment of the building permit, the relevant building surveyor must give a written notice to the Authority of the revised cost of the building work within 28 days after the relevant building surveyor re-calculates the cost of the building work.".

54Authority may reassess levy after building permit issued

(1)For section 205L(1)(a) and (b) of the Building Act 1993 substitute—

"(a)of a variation made to the building work which has resulted or will result in an increase in the cost of the building work; or

(b)the calculation made under section 205I(1) or (4) by the relevant building surveyor of the cost of the building work was incorrect; or".

(2)After section 205L(1)(b) of the Building Act 1993 insert—

"(ba)the Authority has received an application made in accordance with the regulations from the applicant for the building permit—

(i)requesting a reassessment of the cost of the building work; and

(ii)containing information to support the applicant's view that the amount of building permit levy should be decreased because the building work for which the building permit is sought was varied after the cost of the building work was calculated; or".

(3)For section 205L(1A)(a) and (b) of the Building Act 1993 substitute—

"(a)of a variation made to the building work which has resulted or will result in an increase in the cost of the whole of the building work; or

(b)the calculation made under section 205I(2) by the relevant building surveyor of the cost of the whole of the building work was incorrect; or".

(4)In section 205L(2) of the Building Act 1993 omit "on the cost of the building work".

55Authority must take into account matters in reassessing levy

After section 205LA(a) of the Building Act 1993 insert—

"(ab)the information in an application referred to in section 205L(1)(ba);".

56Authority to give notice of refund

In section 205LBA(1) of the Building Act 1993, after "205L(1)(b)" insert ", (ba)".

57Authority may impose amount of penalty levy

(1)In section 205LC(1)(b) of the Building Act 1993, for "about the cost of the building work" substitute "which resulted in the cost of the building work being calculated incorrectly".

(2)In section 205LC(2) of the Building Act 1993, for "did not increase the cost of" substitute "did not or would not increase the cost of".

58Assessment of levy

In section 205LH(2) of the Building Act 1993—

(a)for "determining" substitute "calculating";

(b)in paragraph (a), for "an assessment" substitute "a calculation".

59Authority may charge costs of assessing levy

In section 205LJ(1) of the Building Act 1993, for "determining" substitute "calculating".

60General regulation-making powers

After section 261(1)(bc) of the Building Act 1993 insert—

"(bd)prescribing excluded items for the purposes of calculating the cost of the building work;".

61New section 288A inserted

After section 288 of the Building Act 1993 insert—

"288A   Transitional provisions relating to the State Taxation Further Amendment Act 2025

Despite the amendments made by Divisions 1 and 3 of Part 10 of the State Taxation Further Amendment Act 2025, this Act as in force immediately before the commencement of that Part of that Act continues to apply in respect of—

(a)an application for a building permit that is accepted by a relevant building surveyor before that commencement; and

(b)a building permit that is issued (whether before, on or after that commencement) on an application that is accepted by a relevant building surveyor before that commencement.".

Division 2—Validation

62New section 260A inserted

After section 260 of the Building Act 1993 insert—

"260A   Validation—building permit levy

(1)Subject to subsection (3)—

(a)an estimate of the cost of building work—

(i)under section 201(5) on or after 1 July 1994 and before 1 July 2013; or

(ii)under section 205I(a) on or after 1 July 2013 and before 1 January 2020; or

(iii)under section 205I(1)(a)(i), (2)(a)(i) and (ii) on or after 1 January 2020 and before the commencement day; or

(iv)under section 205I(4)(a)(i) and (ii) on or after 1 February 2021 and before the commencement day—

is taken to be, and to always have been, a correct and valid estimate of the cost of building work; and

(b)a calculation of an amount of building permit levy under section 205I(1)(b)(i) and (2)(b)(ii) on or after 1 January 2020 and before the commencement day is taken to be, and to always have been, a valid calculation of the amount of building permit levy; and

(c)a calculation of an amount of building permit levy under section 205I(4)(b)(i) on or after 1 February 2021 and before the commencement day is taken to be, and to always have been, a valid calculation of the amount of building permit levy; and

(d)a calculation of an amount of building permit levy under section 205LH on or after 1 July 2019 and before the commencement day, for the purposes of an assessment under section 205LG, is taken to be, and to always have been, a valid calculation of the amount of building permit levy; and

(e)an amount of building permit levy—

(i)imposed under section 201 on or after 1 July 1994 and before 1 July 2013; or

(ii)imposed under section 205G on or after 1 July 2013 and before 1 July 2019; or

(iii)imposed under section 205G or 205LI on or after 1 July 2019 and before the commencement day—

is taken to be, and to always have been, a valid imposition of the amount of building permit levy; and

(f)an amount of penalty levy imposed under section 205LC(1) on or after 1 July 2019 and before the commencement day is taken to be, and to always have been, a valid imposition of the amount of penalty levy; and

(g)an amount of penalty levy imposed under section 205LI on or after 1 July 2019 and before the commencement day is taken to be, and to always have been, a valid imposition of the amount of penalty levy; and

(h)an amount of building permit levy referred to in paragraph (e)(i), (ii) or (iii) collected, received or recovered before the commencement day is taken to be, and to always have been, a valid collection, receipt or recovery of the amount of building permit levy; and

(i)any amount of penalty levy referred to in paragraph (f) or (g) collected, received or recovered before the commencement day is taken to be, and to always have been, a valid collection, receipt or recovery of the amount of penalty levy; and

(j)a calculation of an amount of building permit levy reassessed under section 205L(1) on or after 1 July 2019 and before the commencement day is taken to be, and to always have been, a valid reassessment or calculation of the amount of building permit levy; and

(k)a calculation of an amount of building permit levy reassessed under section 205L(1) on or after 1 January 2020 and before the commencement day is taken to be, and to always have been, a valid reassessment or calculation of the amount of building permit levy; and

(l)a calculation of an amount of building permit levy reassessed under section 205L(1A) on or after 1 January 2020 and before the commencement day is taken to be, and to always have been, a valid reassessment or calculation of the amount of building permit levy.

(2)Any action, matter or thing taken, arising or done as a result or consequence of, or in reliance upon, an estimate, calculation, imposition, collection, receipt or recovery referred to in subsection (1), whether under this Act or otherwise, is taken to be, and to always have been, valid and effective.

(3)This section does not affect a proceeding relating to an estimate, calculation, imposition, collection, receipt or recovery referred to in subsection (1) that is commenced but not finally determined before the day on which the motion for the second reading of the Bill for the State Taxation Further Amendment Act 2025 is moved in the Legislative Assembly.

(4)In this section—

commencement day means the day on which Part 10 of the State Taxation Further Amendment Act 2025 comes into operation.".

Division 3—Consequential amendment of Building Act 1993

63Relevant building surveyor must apply for building permit number for building permit

For section 18AA(2)(b) of the Building Act 1993 substitute—

"(b)include the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12) proposed; and".

64Notice to Development Victoria of application

(1)For section 18A(2)(a)(ii) of the Building Act 1993 substitute—

"(ii)the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12); and".

(2)For section 18A(2)(a)(iv) of the Building Act 1993 substitute—

"(iv)any decision of the Building Appeals Board relating to the cost of the building work; and".

65Notice to Commissioner of State Revenue of application

For section 18B(3)(f) of the Building Act 1993 substitute—

"(f)the cost of the building work calculated by the relevant building surveyor under section 205I.".

66Further notice to Commissioner of State Revenue

(1)In section 18C(1)(b) and (c) of the Building Act 1993, for "the estimated cost of building work" substitute "the cost of the building work".

(2)For section 18C(2)(f) of the Building Act 1993 substitute—

"(f)the cost of the building work (calculated under Subdivision 4A of Division 2 of Part 12).".

67Specification of builders in relation to specific building work

(1)In section 24B(5) and (6) of the Building Act 1993, for "the cost of the work" substitute "the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12)".

(2)Section 24B(7) of the Building Act 1993 is repealed.

68Notice to relevant building surveyor of subsequent engagement of builder

In section 25AB(3)(b) of the Building Act 1993, for "the cost of the work" substitute "the cost of the building work".

69Restrictions on owner-builder

In section 25B(1) of the Building Act 1993, for "cost of the work (estimated under Subdivision 4 of Division 2 of Part 12)" substitute "the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12)".

70Council to notify Development Victoria of issue of building permit

For section 32A(3)(d) of the Building Act 1993 substitute—

"(d)the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12);".

71Disputes about the building permit levy

In section 156 of the Building Act 1993, for "the building surveyor's estimate of the cost of the work" substitute "the cost of the building work (calculated under Subdivision 4 of Division 2 of Part 12)".

Division 4—Consequential amendment of other Acts

72Amendment of Planning and Environment Act 1987

(1)For section 201RG(1)(d) of the Planning and Environment Act 1987 substitute—

"(d)any other building work where the cost of the building work (calculated in accordance with section 3A of the Building Act 1993) is less than the threshold amount.".

(2)In section 201RG(2) of the Planning and Environment Act 1987—

(a)in the definition of threshold amount, for "Schedule 1;" substitute "Schedule 1.";

(b)the definition of value is repealed.

73Amendment of Development Victoria Act 2003

(1)In section 50(1) of the Development Victoria Act 2003—

(a)insert the following definition—

"estimated cost of the building work means the amount that is calculated in accordance with section 51D(2);";

(b)the definition of cost of building work is repealed.

(2)In section 51A(2)(d) of the Development Victoria Act 2003, for "the total cost of the building work" substitute "the cost of the building work (calculated in accordance with section 3A of the Building Act 1993)".

(3)For section 51A(4) of the Development Victoria Act 2003 substitute—

"(4)Building work is not exempted under subsection (2)(d) if the sum of the following exceeds the threshold amount—

(a)the cost of the building work referred to in subsection (2)(d) (calculated in accordance with section 3A of the Building Act 1993);

(b)the cost of all the other building work (calculated in accordance with section 3A of the Building Act 1993) carried out on the same land in the period of 3 years immediately preceding the date of development for the building work.".

(4)In section 51C(1)(b) of the Development Victoria Act 2003, for "the amount that is the estimated cost of building work calculated in accordance with section 51D(2)" substitute "the estimated cost of the building work".

(5)In section 51C(2)(b) of the Development Victoria Act 2003, for "the cost of building work" substitute "the cost of the building work (calculated in accordance with section 3A of the Building Act 1993)".

(6)In section 51C(4) of the Development Victoria Act 2003, after "the cost of the building work" insert "(calculated in accordance with section 3A of the Building Act 1993)".

(7)In section 51D(2) of the Development Victoria Act 2003, for "For the purposes of section 51C(1)(b), the estimate of the cost of building" substitute "For the purposes of section 51C(1)(b), the estimated cost of the building".

(8)In section 51D(3) of the Development Victoria Act 2003—

(a)for "the cost of building work" (where twice occurring) substitute "the cost of the building work (calculated in accordance with section 3A of the Building Act 1993)";

(b)for "estimated cost of building work" substitute "estimated cost of the building work".

PART 11—AMENDMENT OF DOMESTIC ANIMALS ACT 1994

74Payments to the Treasurer

(1)In section 69(1A) of the Domestic Animals Act 1994, for paragraphs (a) and (b) substitute—

"(a)$4.00 for the financial year that commences on 1 July 2018; and

(b)for a financial year commencing on or after 1 July 2019 and before 30 June 2026, an amount that increases from the amount payable in respect of the previous financial year by the annual rate; and

(c)$9.00 for the financial year that commences on 1 July 2026; and

(d)for a financial year commencing on or after 1 July 2027, an amount that increases from the amount payable in respect of the previous financial year by the annual rate.".

(2)For section 69(3) of the Domestic Animals Act 1994 substitute—

"(3)Greyhound Racing Victoria must pay to the Treasurer in respect of each registration fee collected by it in each financial year for the registration of a GRV greyhound—

(a)for a financial year commencing on or after 1 July 2016 and before 30 June 2026, $3.50; and

(b)for a financial year commencing on or after 1 July 2026, $7.00.".

(3)For section 69(5) of the Domestic Animals Act 1994 substitute—

"(5)In this section—

annual rate, for a financial year, means the rate fixed by the Treasurer under section 5(4) of the Monetary Units Act 2004 in respect of that financial year;

GRV greyhound means a GRV greyhound whelped after 1 January 2011.".

PART 12—REPEAL OF THIS ACT

75Repeal of this Act

This Act is repealed on 30 June 2027.

Note

The repeal of this Act does not affect the continuing operation of the amendments made by it (see section 15(1) of the Interpretation of Legislation Act 1984).

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ENDNOTES

1   General information

See for Victorian Bills, Acts and current authorised versions of legislation and up-to-date legislative information.

Minister's second reading speech—

Legislative Assembly: 15 October 2025

Legislative Council: 30 October 2025

The long title for the Bill for this Act was "A Bill for an Act to amend the Commercial and Industrial Property Tax Reform Act 2024, the Congestion Levy Act 2005, the Duties Act 2000, the First Home Owner Grant and Home Buyer Schemes Act 2000, the Land Tax Act 2005, the Limitation of Actions Act 1958, the Taxation Administration Act 1997, the Building Act 1993 and the Domestic Animals Act 1994, to repeal the Taxation (Interest on Overpayments) Act 1986 and to make consequential amendments to other Acts and for other purposes."