Foreigners looking to buy property, farms and businesses in Australia will be the first to help rebuild the federal budget bottom line, with a sharp increase in fees and penalties to net almost $500 million in extra revenue.
The budget is forecast to be in deficit by $78 billion this financial year, although indicative figures released last month suggest strong revenue flows and reduced expenditure have improved the nation’s finances.Chalmers said the increased fees would raise revenue without having an impact on foreign investment levels.
“Australia welcomes foreign investment that is in Australia’s interests. Foreign investment application fees ensure the cost of administering the foreign investment framework is not borne by Australians, and penalties encourage compliance with our rules.”