Media release: PILCH welcomes break for tenants
24 February 2012
The Public Interest Law Clearing House VIC (PILCH) has welcomed today’s announcement by the Treasurer that the government will review the provision of Land Tax Act that allows the State Revenue Office to seek payment for unpaid land tax from tenants with no other relationship to the landlord.
This comes on the back of a case referred by PILCH to Rigby Cooke Lawyers in which a Hawthorn couple were issued a notice to pay unpaid land tax for just south of $40,000 on a property they are renting.
The SRO has confirmed that this is not normal practice and the tenants are not required to pay the tax.
“This was an unfair application of a badly written law and has resulted in a couple being issued a notice to pay tax they did not accrue or have any knowledge of,” said PILCH Executive Director Fiona McLeay. “At a time when rents are expensive and properties are scarce this law makes it even more difficult for renters.”
“We commend the State Revenue Office for acting quickly to ensure no more notices are issued. This commitment should put renters’ minds at ease – they won’t be required to pay a tax owed by their landlord. The next step is for the government to repeal the law,” she said.