Queensland Government Scraps New Land Tax Changes – Back in July, we wrote about the new land tax changes in Queensland taking effect from 1 July 2023 that were set to significantly increase the land tax bills of Qld property owners with interstate land.
Since the changes were announced in July, the Queensland government has received a barrage a backlash from industry and property advocacy groups labelling the changes a lazy tax grab, as they were set raise close to an additional $20 million per year in tax revenue.
This has led the Queensland Labour Premier, Annastacia Palaszczuk, to step in and scrap the new laws all together.
The decision was made after discussions with other state premiers, including Liberal State leader Dominic Perrottet who has been strongly opposing the changes since they were announced, and said that he would refuse to hand over NSW property data.
Support from other state Labour leaders was also lacking and with the complexity of the tax requiring reliance on individual self-disclosure and data sharing from other states, it was almost inevitable to fail.
Queenslanders and Australian expats have heaved a sigh of relief as the removal of the changes should restore investor confidence to the State.
Renters have felt a similar feeling given how tight the current rental market is in Queensland, as they were expected to be on the receiving end of the changes, as investors passed on the increased costs to their tenants.
Another positive to renters is that renewed buyer confidence in Queensland is likely to increase rental supply.
The general consensus for the decision is that common sense has prevailed.
It’s also shown that the government has listened to the feedback from parties involved and is willing to take on that feedback.
To finalize the decision, the Queensland government will now need to pass an amendment to the Revenue Bill in state parliament.