Queensland 2022-23 Budget


Last year’s budget predicted a budget deficit for 2021-22, however, this has now been revised up to a $1.9 billion net surplus, thanks largely to a surge in coal and oil royalties, and an unexpected windfall in transfer duties (stamp duty) as a result of the property boom.

Overall, state revenue is up by just over $10 billion, or 15.9 per cent, in the 2020-21 financial year.

Tax relief for small business

More than 12,000 small-to-medium-sized Queensland businesses with payrolls up to $10.4 million will receive a cut to payroll tax.

“This will provide benefits of up to $26,000 per year for over 12,000 small-and-medium-sized businesses,” the Treasurer said.

New tax for larger businesses

Businesses with an annual payroll of more than $10 million will pay a levy of 2.5 cents for every $10 of taxable wages they pay above $10 million.

Very large businesses, with payrolls of more than $100 million, will pay 5 cents for every $10 of taxable wages they pay above $100 million.

Revenue from this levy will fund a $1.64 billion spend over five years to improve mental health and wellbeing, and combat substance abuse and suicide.

Coal exporters to pay more

The state government is introducing tiered royalty levels from 1 July 2022. The current 15 per cent flat royalty rate will rise to:

  • 20 per cent for prices above $175 per tonne
  • 30 per cent for prices above $225 per tonne
  • 40 per cent for prices above $300 per tonne

With the higher percentages only applying to the portion of the price in each of the tiers.

“For example, if coal prices are $302 per tonne, a very high price by usual standards, the 40 per cent tier will only apply to the $2 portion,” the Treasurer said.

More spending on health

The government has allocated $23.6 billion to the state health system for next financial year, representing a 5.6 % increase on the previous 12 months.

This includes a commitment to hire 9,475 new frontline nurses, doctors and paramedics by October 2024 as well additional hospital beds in 15 locations.

Cost of living assistance

Queenslanders will automatically receive a $175 cost-of-living rebate on their next power bill.

Off to the races

A 5% Racing Levy is being added to the current 15% tax on all bets placed by punters. This is not paid by the punter, but by the gambling companies themselves. Interestingly, both the new levy and existing tax will now apply to bonus bets.

Want more information?

If you think any of these updates may affect you and would like to discuss them further, please contact our budget experts, Director of Taxation Advisory, Kim Reynolds or Director of Superannuation Advisory, Brett Griffiths.

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