Revenue Ruling No. PSL 002

Parking Space Levy – Hotels, Motels & Serviced Apartments

Ruling history

Ruling no. Issued date Dates of effect Status
From To
PSL 002 23 November 2018 23 November 2018 - Current

Preamble

  1. The Parking Space Levy Act 2009 imposes a levy on the owner of parking spaces within specified areas of Sydney.

  2. These areas are defined as:

    Category 1 - The City of Sydney and the business districts of Milsons Point and
    Category 2 - The business districts of St Leonards, Chatswood, Bondi Junction and  Parramatta
  3. Clause 7 of the Parking Space Levy Regulation 2009 states that certain parking spaces are exempt from the levy. One of these exemptions is contained in clause 7(5)(c) which states:

    A parking space on leviable premises in a Category 2 area is an exempt parking space while it is set aside exclusively for… the parking of motor vehicles by guests or customers of a hotel or motel.”

  4. While a serviced apartment is neither a hotel or a motel, it is a form of short-term accommodation for persons who have their principal place of residence elsewhere. For the purposes of this ruling, the exemption contained in clause 7(5)(c) may apply to a serviced apartment.

  5. This ruling outlines the application of the exemption for hotels, motels and serviced apartments.

Ruling

Hotels & Motels – Category 2

  1. The exemption will apply where aparking space is either:

    • set aside for the parking of a motor vehicle by a person occupying a room in a hotel or motel located on the same premises as the parking space; or

    • used exclusively for the parking of a motor vehicle by a person occupying a room in a hotel or motel located on the same premises as the parking space; or

    • set aside for the parking of a motor vehicle by a person attending a function in a hotel or motel located on the same premises as the parking space.

  2. The exemption will not apply if the space may be used for any other purpose.

Serviced Apartments – Category 2

  1. The exemption will apply where a parking space is either:

    • set aside for the parking of a motor vehicle by a person occupying a specified serviced apartment located on the same premises as the parking space; or

    • used exclusively for the parking of a motor vehicle by a person occupying a specified serviced apartment located on the same premises as the parking space.

  2. The exemption will not apply if the parking space is used for the parking of a motor vehicle by any other person, or for any other purpose, when not being used for the parking of a motor vehicle by the occupant.

Hotels, Motels and Serviced Apartments – Category 1

  1. No exemption applies to spaces set aside for, or used by, a person occupying a room in a hotel, motel or serviced apartment, or a for a person attending a function in a hotel, motel or serviced apartment within a category 1 area.

  2. However, it is recognised that some occupants enter into arrangements with the operator of a hotel, motel or serviced apartment when they are staying for an extended period.

  3. If the period of occupancy is in excess of 6 months, the exemption under clause 7(2)(b) for a person resident on the same premises may apply.

  4. Any claim for exemption will be considered on a case by case basis. Details of any arrangement entered into between the parties will need to be provided at the time the exemption is claimed.

Stephen R Brady
Chief Commissioner of State Revenue
23 November 2018

Last updated: 27 November 2018