Victoria’s “horror” budget will cost the federal government almost $3 billion in revenue over the next four years, and more than $7 billion over a decade, as landlords and business owners write off the tax rises imposed on them, economists predict.

On Wednesday, as Premier Daniel Andrews dismissed suggestions the $4.7 billion in land-tax increases would drive up rents, and urged landlords to pass the bill to the federal government as tax deductions, treasurer Jim Chalmers played a dead bat.