Tax breaks for investors using homes as short-stay accommodation could be costing Australian taxpayers hundreds of millions of dollars per year, according to a new report by Everybody’s Home.
The Short-Stay Subsidy report estimates that this financial year the budget could be losing between $111 million and $556 million in forgone revenue through negative gearing deductions claimed on short-stay rental properties.
Across Australia 167,955 entire homes are estimated to be operating as short-stay accommodation instead of long-term rentals, yet owners can still claim negative gearing and the Capital Gains Tax (CGT) discount.
The report found:










