The historic Bushranger hotel was built in 1860 and is named after the outlaws who plagued its history.

The most famous incident was in 1865 when Ben Hall and his gang rode into town holding up 50 travellers on Collector Road, Constable Samuel Nelson was shot and killed by a member of the gang.

Publican of the hotel Bob Carter said it is undoubtedly haunted.

He has experienced ghostly sensations since purchasing the pub three years ago this Halloween.

From shadows in mirrors to phantom taps and feeling trapped in the middle of the night.

Mr Carter said the vivid and bizarre hauntings don't stop there.

"Quite often it happens in the kitchen: saucepans and lids get thrown around."

People also allege an ex-publican Jimmy Quirk and his eldest son's spirits reside in the old hotel. Another publican has photographic evidence of a deceased male sat at a table in what he thought was an empty bar.

There have been at least two occasions that visitors have refused to stay overnight at the hotel after paying for accommodation.

"People come in here and they are freaked out," Mr Carter said.

"We had a lady who paid for a room and within minutes she asked if it was haunted and she left."

However, Mr Carter said the spirits aren't sinister and although it is common to see a shadow or movement out the corner of your eye, no one has been hurt visiting the hotel.

Tim the Yowie Man, mystery investigator, and ghost hunter, conducts tours at the hotel.

"People have phantom taps on the shoulder, and drops in temperature for no reason, ghostly hand prints appear, and some people see a little girl," he said.

Upper Lachlan Shire tourism manager Andrew Warren said ghostly tours used to run in Taralga beginning at the Argyle Inn and visiting various locations including the Blacksmith's Cottage at Taralga Hotel.

The Wombeyan Cave system is also an evocative place to visit, deep underground in the dark it is easy to imagine that it is haunted, he said.