First home buyers and commuters biggest winners in Queensland budget

THE Queensland budget was handed down today and it looks like it’s good news for commuters and first home buyers.

Queensland Treasurer Curtis Pitt and Premier Annastacia Palaszczuk look at the state’s 2016-17 budget. Picture: Dan Peled/AAP

FIRST home buyers and commuters have been looked after in Queensland’s 2016-17 Budget, which was handed down today by Treasurer Curtis Pitt.

The government has committed money to one of its biggest infrastructure projects and will offer first home buyers a more enticing grant.

However there are still some losers in this year’s Budget, with foreign investors and tax dodgers hit hard.

WINNERS

First home buyers

People wanting to break into the housing market will get more money from the First Home Owners’ grant for a 12-month period.

Those buying a newly constructed home can get a grant of $20,000, an increase from $15,000.

Public transport users

The government has committed $229.9 million over four years to cut public transport fares.

A $50 million down payment will also be made for Brisbane’s Cross River Rail.

The river rail is the Queensland Government’s highest priority infrastructure project and will see a 10.2km link from Dutton Park, 4km south of Brisbane, to Bowen Hills, 3km northeast of the Brisbane CBD.

The Cross River Rail will also connect to both northern and southern rail networks, giving commuters more options.

The government hopes it will ease congestion, improve network reliability and increase accessibility to the Brisbane CBD.

The plan is to help people travel longer distances in a shorter amount of time.

The Cross River Rail project will allow people to travel longer distances in a shorter amount of time.

Regional Queensland

The government has committed a $100 million “back to work” jobs package for regional Queenslanders.

Regional Queensland has been struggling due to a mining downturn.

Employers will be given $15,000 to hire a regional worker who has been out of work for a long period of time and Certificate III courses will be subsidised.

Premier Annastacia Palaszczuk said getting regional Queenslanders back into work was one of the core elements of the budget.

“I know that regional Queensland is hurting,” she said on Tuesday.

“I’ve sat in rooms, I’ve listened to people who have lost their jobs at QNI (Queensland Nickel), I’ve spoken to the men and women who want to get back into work.”

Another $175 million is included for the Building Our Regions program, grants and funding to local councils.

Drought-hit farmers will also get a financial boost with $77.9 million in the budget for a Rural Assistance and Drought package.

Queensland Premier Annastacia Palaszczuk and Treasurer Curtis Pitt handed down the State Budget today. Picture: Dan Peled/AAP

LOSERS

Foreign property investors

Foreign investors will have to suck up a three per cent surcharge on houses and apartments they wish to purchase.

Australian Financial Review reports the extra cost will deter foreign investors in southeast Queensland.

Queensland’s executive director of the Property Council of Australia, Chris Mountford, said the surcharge was a risky move for Queensland’s fragile economy.

In May the State Treasurer ruled out any surcharge for foreign investors.

“We want to send out a very clear message that Queensland is open for business and that we welcome foreign property investment,” the treasurer said.

Mr Mountford said the treasurer had since backflipped on that promise.

“Foreign investors enable new residential projects to get off the ground, creating a huge economic benefit for the state and producing new stock that puts downward pressure on rents and keeps housing affordable for Queensland families,” he said.

Queensland Treasurer Curtis Pitt has been accused of backflipping on a promise. Picture: Dan Peled/AAP

Tax dodgers

The Office of State Revenue will crack down on taxpayers incorrectly claiming to be not-for-profit organisations.

It will also increase compliance relating to key taxes, such as land and payroll tax.