Fire services property levy

Key information

The fire services property levy funded Victoria’s fire and emergency services.

The levy was collected by local councils and appeared on rates notices. For non-rateable properties, councils issued a separate notice.

The State Revenue Office (SRO) monitored how councils collected the levy on behalf of the Victorian Government.

The levy was collected under the Fire Services Property Levy Act 2012.

From 1 July 2025, the levy was replaced by the emergency services and volunteers fund that expanded the levy to also include funding for emergency services.

Levy calculation

The levy was calculated using the following formula:

• Levy = fixed charge + variable charge – concession (if eligible) 

Fixed charge

The fixed charge was different for residential and non-residential property classifications. It increased annually based on the consumer price index.

Variable charge

The variable charge depended on the property’s classification and capital improved value. Capital improved value is the total value of the land including any buildings or improvements as determined by the Valuer-General Victoria.

It was calculated as:

• variable charge = variable rate × capital improved value

Location

Before 1 July 2020, the variable levy rate depended on whether a property was located within an area serviced by the Metropolitan Fire Brigade (MFB) or the Country Fire Authority (CFA). Separate levy rates were applied to reflect the differing costs associated with funding each service.

From 1 July 2020, this distinction was removed following the establishment of a new organisation, Fire Rescue Victoria (FRV) that integrated all MFB and CFA career firefighters.

As a result, location no longer affected the levy amount and statewide levy rates applied across Victoria, creating a single, consistent charging structure.

Property classification

This describes the primary use of land and each classification has its own rate. There were 6 property classifications:

1. Residential, including residential vacant land.
2. Commercial.
3. Industrial, including infrastructure and extractive properties.
4. Primary production.
5. Public benefit.
6. Vacant, excluding vacant residential land.

A valuer assigned property a classification based on how the land was used. They applied an Australian Valuation Property Classification Code (AVPCC) to determine the classification.

The AVPCC classification was shown on council rates notices or the levy assessment notices for non-rateable properties.

Vacant land was still charged because it can present a fire risk, even without buildings or structures.

Councils collected the levy through rates notices and allowed payment in 4 instalments. The levy amount and payment details were shown on the council rates notice.

Concessions and exemption

Concessions

Holders of pensioner concession cards and Department of Veterans’ Affairs Gold Cards received a $50 concession on their principal place of residence. Only one concession applied per property per year.

Property owners who received a council rate concession in respect of their principal place of residence automatically received the levy concession.

Exemption

Eligible single farm enterprises may only have needed to pay the fixed charge once for the farm property. 

Objections

You could not object to the levy. However, you could object to the valuation or the AVPCC applied to your property. Contact your local council for more information.

Payment issues and adjustments

Waiving or deferring payment

If you could not pay the levy, councils could waive or defer all or part of the amount. A council could only waive or defer the levy if it also waived or deferred council rates for the property. If the levy was not paid, councils were expected to take steps to recover the amount, including charging interest or commencing legal proceedings.

Supplementary valuations

If a supplementary valuation occurred, the council issued a new rates notice with an updated levy amount. The updated amount reflected changes to the property’s value or classification. Any payments already made were credited to the new levy amount.

Property sale and refunds

If you sold your property, you did not receive a refund for the part of the year you were no longer the owner. Similar to council rates, adjustments may have been made at settlement between the vendor and purchaser.

Insurance

The levy did not replace insurance. It was not a form of home or property insurance.

Tenants and the levy

Tenants only paid the levy if they contributed to property outgoings under their rental agreement, such as in some commercial leases.

Collection method before 1 July 2013

Before 1 July 2013, a fire services levy was added to insurance premiums to recover the cost of insurers’ contributions to the CFA and MFB.

Following a recommendation from the Victorian Bushfires Royal Commission, the collection method changed.

From 1 July 2013, the levy was removed from insurance premiums and collected through council rates.