From July 1 new state government legislation regarding all short-stay accommodation will eliminate the need for a planning permit from the council if your home has four or less bedrooms.

“If you have more than four bedrooms or are offering a shack or investment property up to the 300 metres squared in a residential zone, there will be a new one step permit application with a capped fee of $250 which will include a self-assessment declaring that your property meets the minimum safety standards,” Treasurer Peter Gutwein said.

Smoke alarms, correct plumbing and safety checks would be required to be listed on the form and those who register will be subject to random auditing.

The change will keep it business as usual for operators already running such as Elizabeth Poland, who had to shell about $1000 for a council permit to change the use of her spare room to visitor accommodation.

But the West Launceston resident said any fees associated with set-up were able to be claimed on tax as income from short-stay accommodation must be declared.

“I actually met with the mayor at the time and suggested that it become less adversarial because it was like I was doing something wrong but I was actually doing something legitimate by telling the council what I was doing,” she said.

Mr Gutwein said the state government had made the decision to embrace the “disruptive technology” of the sharing economy rather than wrestle with it.

He said the government consulted widely on the changes and believed the “balance was right” and would not have a negative effect on rental availability.

“In the budget we’ve continued with the $60 million affordable housing strategy which will see 900 new dwellings built to house around 1600 Tasmanians in need, so we are continuing to work in that space but we believe we have the balance right.”