Anne Stanley (Werriwa, Australian Labor Party) Share this | Hansard source

I rise to make my contribution on the Foreign Acquisitions and Takeovers Fees Imposition Amendment Bill 2024. The measures in this bill will take effect from 1 April 2024 or the day after the bill receives royal assent, whichever occurs later. This bill implements the increase to foreign investment fees announced in the 2023-24 Mid-Year Economic and Fiscal Outlook. It does this by increasing the maximum fee that can be imposed by regulation to $7 million to facilitate the increases being implemented by the regulations in schedule 2 of this bill. As a result of the bill, foreign investors who apply to purchase an established dwelling will have their fees tripled. Further, all property owners who purchase an Australian dwelling after 9 May 2017 and leave it empty will have their vacancy fees doubled. Finally, new purchasers of existing properties who leave them vacant will have their vacancy fees increased by six times as a result of the tripling of the application fee and the doubling of the vacancy fee. Application fees for new dwellings, vacant land, agricultural land, commercial land and business entities will remain unchanged.

Regularly constituents come to me and complain about overseas investors, particularly when they leave their properties empty, and the potential issues, particularly in my part of the world, for homebuyers and for people seeking to rent when there are empty properties. The government puts the interests of Australians seeking to find somewhere to live or to buy their first home first. These changes are our way of doing something to make a difference in this space. Higher fees for the purchase of established homes, increased penalties for those that leave their properties vacant and strengthened compliance will help ensure that foreign investment in residential property in Australia is in our national interest. Importantly, application fees for new dwellings and vacant land remain unchanged.

The Treasury Laws Amendment (Foreign Investment) Bill, which is also being debated today, amends the International Tax Agreements Act 1953 to clarify that foreign investment fees and similar state and territory property taxes prevail to the extent of any inconsistency with Australia's double-tax agreements. This will ensure that such fees can continue to be imposed on foreign nationals who purchase Australian property. This measure will have a retrospective effect, applying the relevant taxes that are payable on or after 1 January 2018. This time limitation broadly aligns with the statue-of-limitation periods under state legislation.

I'm proud to stand on this side of the chamber to support the bills before us today, and I do so in the knowledge that the Treasurer is putting the interests of Australia and Australians first. This was demonstrated by the recently announced tax packages and is demonstrated again by this piece of legislation. I'm sure it will be welcomed by members of my community.

I commend the bill to the House.

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