But venue owners admit the Victorian Government's advice has grey areas.
The Department of Health and Human Services’ website says restaurant or café owners must use "reasonable endeavours to satisfy themselves” their customers do not live in metropolitan Melbourne and Mitchell Shire.
Owners can check by asking where customers live or by checking identification.
Aussie Hotel owner Paul Tsorbaris said he had rejected about 30 people since the lockdown was enforced in Melbourne and the Mitchell Shire — with seven turned away as recently as Wednesday.
“They try to lie, and you ask them their postcode and they stuff it up,” Mr Tsorbaris said.
“(On Wednesday) seven were coming up for a funeral and they tried to book in.”
Melbourne and Mitchell Shire residents are allowed to travel into regional Victoria to attend a funeral, but are not allowed to have a dine-in meal.
Mr Tsorbaris said he was unsure whether he could serve essential workers from Melbourne staying in Shepparton, who were allowed to travel to and from Melbourne under the rules.
“This is the grey area; there are a lot of (Melbourne) tradies who are working in the area,” he said.
“Do we get into trouble (if we serve them)?
“I'm confused — we have to be restaurateurs and law enforcers."
Shepparton RSL general manager Grant Tarrant said the club had also turned away people lockdown addresses, but most were from Mitchell Shire, or Shepparton residents who had not yet changed their driver's licence to a local address.
“We've refused them, because it's hard to make exceptions,” Mr Tarrant said.
“We don't have time to be filtering through rates and notices.”
Shepparton Chamber of Commerce president John Anderson said he had heard anecdotally that lockdown area residents were travelling into Shepparton for a dine-in meal.
“It would appear as though the authorities need to be policing the minor roads — not just the Hume Fwy,” Mr Anderson said.
“I take my hat off to the pubs and the clubs who are protecting their patrons and the community by turning people away.”
Federal Member for Nicholls Damian Drum said people had been ringing his office after hearing about Melbourne residents coming into Shepparton to enjoy "regional Victorian freedoms".
Mr Drum said lockdown checkpoints should be reinforced with a permit system for essential travellers — similar to the NSW-Victoria border permits — to avoid a COVID-19 outbreak such as that seen in Colac.
A Victorian Government spokesperson said it was critical that regional Victorians continued to follow the COVID-19 rules which applied to their areas, and maintained physical distancing and good hand hygiene.
Regional Victorians can only enter metropolitan Melbourne or Mitchell Shire to shop for food and essential supplies, work and education — if necessary — and for medical care or care-giving.
Café and restaurant owners will not be fined if they unintentionally serve someone from metropolitan Melbourne or Mitchell Shire; instead, the customer is penalised.
Community members can raise concerns about compliance with these directions through the Police Assistance Line (PAL) on 131 444.
The number of active COVID-19 cases in Greater Shepparton has remained steady on two, as Victoria recorded another 403 cases.
Five more people have died, taking the COVID-19 death toll to 49.
There are now 3630 COVID-19 cases currently active in the state.