Major overhaul of Queensland property taxes and charges
In a shock move ahead of elections, a major overhaul of housing taxes has been announced for Queensland as industry warns it could ‘destabilise the property market’.
In a shock move ahead of the state election, Queensland Treasurer Cameron Dick has flagged a major overhaul of housing taxes – as industry warns he could ‘destabilise the property market’.
Mr Dick made the announcement Monday night, which was labelled “ambiguous” by industry, with peak real estate body REIQ warning it could rattle investors.
The deputy premier, treasurer and minister for trade and investment said the review’s aim was to find a way to bring about “long-term improvement of economically sustainable housing supply”.
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“Queensland Treasury is always looking at Queensland’s tax settings to ensure that we remain nationally and globally competitive. But given current housing market constraints, now is the right time to develop and undertake a review of the impact that state taxes and charges have on housing supply and the property sector.”
He said “this review will need to consider potential unintended consequences that changing settings could have on property prices. It will also look at the affect that changes in revenue settings have on the state’s ongoing fiscal sustainability.”
He warned housing availability would continue to challenge all future Queensland governments. The property review was expected to be conducted after this year’s state election, with the results to be considered as part of the 2024-25 Queensland Budget.
REIQ CEO Antonia Mercorella said “it’s promising that the goal of increasing housing supply has been identified as the focus of this review into state-based taxes and charges for the housing market”.
But she warned “ambiguous announcements such as these can rattle the confidence of the investment community and destabilise the property market”.
“Moreover, it can have an impact on the commercial property sector which flows on to employment opportunities for the Queensland community.”
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Ms Mercorella said “ahead of the review which will look at potential reforms, we are calling for a commitment from the State Government to not impose any more new or increased property taxes on investors, owner occupiers, small business or developers”.
She said the property market thrived on stability and predictability.
“For the review to be truly effective, we believe it should be conducted independently, outside of Parliamentary influence.”
The 2024 Queensland state election is scheduled to be held on October 26 to elect all members to the Legislative Assembly.
Originally published as Major overhaul of Queensland property taxes and charges