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Victoria

Australia
Active
Last updated: 2026-07-08  ·  Last verified: 2026-07-26  ·  Region: International

At a Glance — Victoria Airbnb & STR Rules

RuleDetails
Regulatory StatusPermitted with registration
Permit / License RequiredNo state-wide host licence required; however, some local councils require a local registration or permit (e.g., Mornington Peninsula Shire). Owners co
Tax Rate7.5% Short Stay Levy on the total booking fee (including accommodation, cleaning fees, service charges, and applicable GST, excluding credit card fees
Night / Day CapNo statewide night cap as of July 2026. A proposed 90-day statewide cap was reviewed but not adopted. Individual local councils may introduce their ow
Minimum StayA 'short stay' is legally defined as a continuous rental period of fewer than 28 consecutive days. No state-mandated minimum stay below this threshold
Permit FeeNo state-level host application or licence fee. Some councils charge local short-stay registration fees (e.g., Mornington Peninsula Shire runs a manda
PenaltiesNon-compliance with the levy: SRO can impose penalties and interest on unpaid levy amounts. Owners corporations may apply to VCAT to impose penalties
Primary Residence RequiredNo state-wide primary/principal residence requirement for Victoria (unlike BC, Canada). However, the Short Stay Levy exempts stays at a host's own pri
Occupancy LimitUnknown — set at the local council or property level; no statewide rule specified.
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Victoria Airbnb & Vacation Rental Regulation Overview

Victoria Short-Term Rental Regulations Overview

Short-term rental operations in Victoria are permitted under an active regulatory framework as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: No state-wide host licence required; however, some local councils require a local registration or permit (e.g., Mornington Peninsula Shire). Owners corporations (strata) may ban short-stay use by spec. The associated permit fees are No state-level host application or licence fee. Some councils charge local short-stay registration f.

Tax Requirements for Airbnb Hosts in Victoria

Short-term rental operators in Victoria should be aware of these tax obligations: 7.5% Short Stay Levy on the total booking fee (including accommodation, cleaning fees, service charges, and applicable GST, excluding credit card fees) for stays under 28 consecutive days. Effective 1 January 2025. Revenue funds social and affordable. Yes. Hosts taking direct bookings (not via a platform) must register with the State Revenue Office (SRO) of Victoria to collect and remit the 7.5% Sho.

Hosting Rules and Restrictions in Victoria

Key operational rules for vacation rental hosts in Victoria include: Primary residence requirement: No state-wide primary/principal residence requirement for Victoria (unlike BC, Canada). However, the Short Stay Levy exe. Rental day cap: No statewide night cap as of July 2026. A proposed 90-day statewide cap was reviewed but not adopted. Individual local c. Occupancy limit: Unknown — set at the local council or property level; no statewide rule specified.. Minimum stay: A 'short stay' is legally defined as a continuous rental period of fewer than 28 consecutive days. No state-mandated min.

Zoning and Location Requirements in Victoria

Zoning considerations for short-term rentals in Victoria: No single state-wide planning approval pathway. Whether a planning permit is required depends on the local council's planning scheme. Many councils manage short-stays through local laws and compliance. Density rules: No statewide density or saturation cap. Local councils have authority to introduce local density or registration rules. Owners corporations can ban sh. Insurance: No explicit state-wide insurance mandate for short-stay hosts, but fire safety compliance (smoke ala.

Penalties for Non-Compliance in Victoria

Hosts who fail to comply with Victoria's short-term rental regulations may face enforcement action. Non-compliance with the levy: SRO can impose penalties and interest on unpaid levy amounts. Owners corporations may apply to VCAT to impose penalties on non-compliant lot owners under s.166 and s.169G.

Platform Obligations in Victoria

Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Victoria: Platforms (Airbnb, Stayz, Booking.com, etc.) must register with the SRO and collect and remit the 7.5% Short Stay Levy on all qualifying bookings made through their platform. Platforms must validate r.

Full Regulatory Details

Regulatory Status
Active
License / Registration
No state-wide host licence required; however, some local councils require a local registration or permit (e.g., Mornington Peninsula Shire). Owners corporations (strata) may ban short-stay use by special resolution (75% vote). Platforms must be registered with SRO if collecting the levy.
Tax Registration
Yes. Hosts taking direct bookings (not via a platform) must register with the State Revenue Office (SRO) of Victoria to collect and remit the 7.5% Short Stay Levy. Platforms such as Airbnb, Stayz, and Booking.com register and remit on behalf of hosts for platform bookings. Rental income must also be declared to the ATO.
Permit Fee
No state-level host application or licence fee. Some councils charge local short-stay registration fees (e.g., Mornington Peninsula Shire runs a mandatory register with an annual fee — exact amount varies by council). Planning permit fees apply where a council requires one.
Primary Residence Rule
No state-wide primary/principal residence requirement for Victoria (unlike BC, Canada). However, the Short Stay Levy exempts stays at a host's own principal place of residence. Owners corporations (strata) cannot ban short-stay use of a lot that is the owner's or occupier's principal place of residence.
Night / Day Cap
No statewide night cap as of July 2026. A proposed 90-day statewide cap was reviewed but not adopted. Individual local councils may introduce their own annual night limits, particularly for unhosted/investment properties (e.g., some councils in the Mornington Peninsula area moving toward 90-night limits). Hosts must check with their local council.
Occupancy Limit
Unknown — set at the local council or property level; no statewide rule specified.
Tax Rate
7.5% Short Stay Levy on the total booking fee (including accommodation, cleaning fees, service charges, and applicable GST, excluding credit card fees) for stays under 28 consecutive days. Effective 1 January 2025. Revenue funds social and affordable housing, with 25% directed to regional Victoria. Standard Australian income tax also applies to rental income. GST generally does not apply to residential short-stay rent (input-taxed) unless premises qualify as 'commercial residential'.
Zoning Restrictions
No single state-wide planning approval pathway. Whether a planning permit is required depends on the local council's planning scheme. Many councils manage short-stays through local laws and compliance rather than planning permits. Owners corporations (strata) may ban short-stay use by special resolution (75% of lot owners), effective 1 January 2025; this ban cannot apply to a lot used as the owner's/occupier's principal place of residence.
Minimum Stay
A 'short stay' is legally defined as a continuous rental period of fewer than 28 consecutive days. No state-mandated minimum stay below this threshold.
Density Rules
No statewide density or saturation cap. Local councils have authority to introduce local density or registration rules. Owners corporations can ban short-stay use building-wide (with principal residence exemption) via special resolution.
Insurance Required
No explicit state-wide insurance mandate for short-stay hosts, but fire safety compliance (smoke alarms to AS 3786, fire extinguishers, fire blankets, clear escape paths) is mandatory under state law. Hosts are advised to hold appropriate landlord/liability insurance; non-compliance with safety standards increases liability exposure.
Platform Obligations
Platforms (Airbnb, Stayz, Booking.com, etc.) must register with the SRO and collect and remit the 7.5% Short Stay Levy on all qualifying bookings made through their platform. Platforms must validate registration numbers where required. From June 2025 (BC provincial registry context is separate — for Victoria AUS, platforms are responsible for levy collection and remittance at SRO). Local governments can request platforms remove non-compliant listings.
Compliance Notes
The Short Stay Levy Act 2024 (Vic) came into effect 1 January 2025, introducing the 7.5% levy and granting owners corporations new power to ban short-stay accommodation. Levy calculated on total booking value; direct-booking hosts must register with SRO before their first return. Lodgement is quarterly or annually depending on turnover. There is no statewide host registry or night cap (a 90-day cap was proposed but rejected). Local council rules vary significantly — hosts must check their specific LGA. A proposed 'two-per-bedroom' statewide occupancy cap was also rejected. First tranche of further amending legislation to the Owners Corporations Act 2006 was introduced to parliament in June 2026.
Effective Date
2025-01-01 (Short Stay Levy Act 2024 and owners corporation ban powers). Further OC Act amendments in parliament as of June 2026.
Key Notes
1. 7.5% Short Stay Levy mandatory on all bookings under 28 days statewide from 1 Jan 2025. 2. No statewide night cap — proposed 90-day cap was rejected. 3. Owners corporations can ban short-stay use by 75% special resolution, but cannot ban principal-residence hosts. 4. No statewide host licence or registry — regulation largely at local council level. 5. Platforms (Airbnb, Stayz, Booking.com) collect and remit levy automatically for platform bookings; direct-booking hosts must self-register with SRO. 6. Fire/smoke alarm safety standards are mandatory for all short-stay properties. 7. Income must be declared to the ATO; GST generally does not apply to residential short-stays.
Penalties
Non-compliance with the levy: SRO can impose penalties and interest on unpaid levy amounts. Owners corporations may apply to VCAT to impose penalties on non-compliant lot owners under s.166 and s.169G of the Owners Corporations Act 2006. Local councils can issue fines for breaches of local short-stay laws. Non-compliant listings can be removed from booking platforms. Potential disputes via the Victorian Civil and Administrative Tribunal (VCAT).
Additional Context
Victoria's STR framework is primarily state-driven through the Short Stay Levy Act 2024, with local councils retaining significant discretion over registration, permits, and night caps. The Victorian Greens proposed a 90-day statewide night cap (reviewed by the Parliamentary Budget Office in April 2024), but this was not adopted by government. The state government estimates the levy will raise ~AUD $75 million per financial year from 2025–26, funding social and affordable housing. There are approximately 36,000 short-stay properties operating in Victoria. Tourism-heavy councils (e.g., Mornington Peninsula, Surf Coast, Alpine Shire) are most likely to have additional local restrictions. A broader independent review of the Owners Corporations Act (commissioned June 2025, led by former Minister Marsha Thomson et al.) produced 51 recommendations; the first tranche of resulting legislation was introduced to parliament in June 2026.
Sources
State Revenue Office of Victoria — sro.vic.gov.au/owning-property/short-stay-levy/understanding-short-stay-levy
Consumer Affairs Victoria — consumer.vic.gov.au/housing/owners-corporations/rules/making-rules-to-ban-short-stay-accommodation
Hostaway (Dec 2025) — hostaway.com/blog/airbnb-rules-in-victoria/
Air Design Australia (2026) — airdesignaustralia.com.au/vic-short-stay-rental-laws-2026/
Houst (2026) — houst.com/airbnb-rules/victoria
Bugden Allen Group Legal — bagl.com.au/the-short-stay-levy-act-and-its-impact-on-owners-corporations/
Victorian Parliamentary Budget Office — static.pbo.vic.gov.au (90-day cap analysis, April 2024)
Victorian Planning Authority (https://www.planning.vic.gov.au/guides-and-resources/guides/planning-permit-exemptions-and-assessment/short-term-rental-accommodation) | https://www.sro.vic.gov.au/
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Frequently Asked Questions

Is Airbnb legal in Victoria?

Yes, Airbnb and short-term rentals are legal in Victoria with proper registration and permits. The Short Stay Levy Act 2024 (Vic) came into effect 1 January 2025, introducing the 7.5% levy and granting owners corporations new power to ban short-stay accommodation. Levy calculated on total booki

Do you need a permit for Airbnb in Victoria?

Yes. Victoria requires the following for short-term rental operation: No state-wide host licence required; however, some local councils require a local registration or permit (e.g., Mornington Peninsula Shire). Owners corporations (strata) may ban short-stay use by special resolution (75% vote). Platforms must be registered with SRO if collecting the levy..

What taxes apply to short-term rentals in Victoria?

Short-term rental hosts in Victoria are subject to the following tax obligations: 7.5% Short Stay Levy on the total booking fee (including accommodation, cleaning fees, service charges, and applicable GST, excluding credit card fees) for stays under 28 consecutive days. Effective 1 January 2025. Revenue funds social and affordable housing, with 25% directed to regional Victoria. .

What are the penalties for illegal Airbnb hosting in Victoria?

Hosts who operate without proper permits in Victoria may face enforcement. Non-compliance with the levy: SRO can impose penalties and interest on unpaid levy amounts. Owners corporations may apply to VCAT to impose penalties on non-compliant lot owners under s.166 and s.169G of the Owners Corporations Act 2006. Local counci.

What are the key STR compliance requirements in Victoria?

1. 7.5% Short Stay Levy mandatory on all bookings under 28 days statewide from 1 Jan 2025. 2. No statewide night cap — proposed 90-day cap was rejected. 3. Owners corporations can ban short-stay use by 75% special resolution, but cannot ban principal-residence hosts. 4. No statewide host licence or registry — regulation largely at local council level. 5. Platforms (Airbnb, Stayz, Booking.com) coll

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