On 1 February 2021, the Commissioner of State Revenue released ruling CL-001 in respect of parking spaces for multiple motor vehicles.
The State Revenue Office (of Victoria) imposes a levy on certain public and private carparks within delineated areas, namely, the Melbourne CBD, inner north and south of the CBD (see congestion levy map for further details).
For public car parks, the owner and operator of the public carpark are liable for payment of the levy. For private car parks, the owner of the carpark is liable for payment of the levy.
Where the carpark is rented or licensed to another party, the agreement between the owner of the carpark and the occupying party will govern who is liable for payment of the congestion levy.
The following are exempt from the congestion levy, car parking spaces:
- exclusively used as residential parking;
- exclusively used by guests for hotels or apartments;
- exclusively used for maintenance services or as loading bays;
- exclusively used, without charge, as visitor parking (for example, parking spaces for clients of a clinic or office);
- exclusively used as hospital visitor parking;
- owned or operated by municipal councils, religious bodies, charitable or public benevolent institutions, hospitals, universities, libraries and museums, except where a fee is charged for use of the parking space;
- owned by a consulate, a consular officer, employee or family member residing in the same house as that person;
- used exclusively for emergency vehicles;
- provided, without charge, for a particular event and not available at other time for parking;
- exclusively used for disabled parking;
- exclusively used by employees working shifts in a business that operates 24 hours a day on weekdays, except those spaces used by employees working regular hours in the business;
- exclusively used for the overnight parking of fleet vehicles;
- exclusively used for displaying or storing vehicles for sale or hire;
- at Melbourne and Olympic parks; and
- within 200 metres of the Yarra Park Reserve and at Melbourne Zoo; and
- land owned by the Abbotsford Convent Foundation.
Generally, the congestion levy is levied on each delineated carparking space.
Ruling CL-001 deals with carparking spaces that can accommodate more than one vehicle. The maximum number of cars that can be accommodated in the car parking space will each be levied for that space.
For example, if a car-stacker system is used for a carparking space to accommodate two cars, then that car parking space will be levied as two car parking spaces for the purposes of calculating the congestion levy.
Further, if there is a tandem parking space that can accommodate two cars (nose-to-tail), then that car parking space will also be levied as two car parking spaces for the purposes of calculating the congestion levy.
The Ruling applies retrospectively (for five years).
Landlords with carparks in buildings in the congestion levy zones (or nearby) should include clauses in their leases or licences relating to the carparking spaces to allow the landlord to pass along the charges related to the congestion levy.
If particular circumstances are not covered by the above exemptions or ruling CL-001, then owners and operators may consider applying for a private ruling from the State Revenue Office.