Sam Mohammad and Hayley Lock give a rundown of the key developments in the 2017 Queensland Budget.
On 13 June 2017 the Queensland Treasurer, Curtis Pitt, delivered the 2017-18 Queensland State Budget. The Government is expecting a wafer-thin $146 million surplus for the fiscal year, due in part to the $1.1 billion impact of Cyclone Debbie earlier this year.
The Queensland Government has described this Budget as a 'jobs bonanza' with a focus on employment opportunities, infrastructure and economic growth. In particular, the Government is extending the regional Back to Work Scheme to south-east Queensland with grants of up to $15,000 per new hire – details on the extension to south-east Queensland are yet to come but this will be a first in, best dressed opportunity with a limited funding pool of $14 million for FY18 and FY19.
The big ticket items in the Budget this year include:
From a State taxes perspective, however, the Budget was a little more muted. The Queensland Government has committed to:
The introduction of the land tax surcharge brings Queensland into line with New South Wales and Victoria, which have their own ‘absentee’ land tax surcharge, as summarised below:
|Foreign purchaser duty surcharge (residential land only)||Absentee owner land tax surcharge|
|NSW||Original rate: 4 percent
From 1 July 2017: 8 percent
|Current: 0.75 percent
2018: 2 percent (residential land only)
|Vic||Initial rate: 3 percent
Current rate: 7 percent
|2016 year: 0.5 percent
Current: 1.5 percent
|Qld||Current: 3 percent||Current: Higher companies/trustees rate applies to absentee owners rather than individual rates
From 1 July 2017: Existing higher rate plus 1.5 percent surcharge
On the Queensland Back to Work Scheme, we are working with a number of clients to manage applications and claims under the Scheme. Contact us to find out more.