Australia: Tasmania state budget 2026-2027
Updates on a short-stay levy, payroll tax rebates, and first home buyer grants
The Tasmanian government’s 2026-2027 state budget, delivered on May 21, 2026, includes no new taxes or changes to the state tax regime.
Other tax-related updates include the following.
- Short-stay levy: Legislation was tabled in Parliament on April 16, 2026, and passed the House of Assembly on May 7, 2026. It would introduce a 5% short-stay accommodation levy in line with the government's 2024 election commitment.
- Payroll tax: As noted in the 2025-2026 budget, the employer payroll rebate for creating additional apprenticeship positions expires on June 30, 2026, and no extension to the scheme was provided in this year's budget. Employees employed before June 30, 2026, remain eligible for the rebate in 2026-2027 under the provisions of the scheme.
- First home owners: The first home buyer duty exemption is due to expire on June 30, 2026. The First Home Owner Grant, which was set to decrease on July 1, 2026, to AU$10,000, will increase to AU$20,000 from July 1, 2026, until July 1, 2027.
For more information, contact a KPMG tax professional in Australia:
Cullen Smythe | cullensmythe@kpmg.com.au
Sarah Lan | slan2@kpmg.com.au