2013-2014 State Budget tax announcements

Against a backdrop of uncertain economic conditions, it is perhaps unsurprising that the 2013-14 budgets for each State and Territory ¹ adopted a uniformly conservative approach, with a number of increases in tax, and deferrals of previously planned tax cuts, announced.

VICTORIA

The only significant revenue announcement by the Victorian government was that, from 1 January 2014, the congestion levy applied to each car park space in the central business district and inner Melbourne would be increased from $950 to $1,300 per car park. Furthermore, the scope of application of the congestion levy is to be broadened to incorporate short-stay car park spaces in addition to long-stay car park spaces. This measure is designed to reduce the number of cars in the CBD and encourage the use of public transport. However, the levy increase is also anticipated to raise revenue of approximately $44.2 million in 2013-14.