Competitive business conditions
The Sunshine Coast’s low business costs make the region a highly cost-effective place to operate. The region boasts Australia’s lowest payroll tax environment as well as numerous operating costs that are lower than state averages in Queensland, New South Wales and Victoria.
Payroll tax
Queensland has the lowest payroll tax rate of any state or territory in Australia and provides a competitive advantage to investing in a business on the Sunshine Coast. Additionally, Queensland has one of the highest payroll tax thresholds at A$1.1 million, which means that no payroll tax is due for wages and salaries below this level.
In 2016-17, it was estimated that an overall taxation in Queensland was A$766 per person less than the average of all other Australia states and territories. (Queensland Government, June 2016).
| State or Territory | Basic Flat Tax Rate (%) | Exemption Threshold | |
|---|---|---|---|
| State or Territory, State or Territory Queensland (including Sunshine Coast) | Basic Flat Tax Rate (%) 4.75 | Exemption Threshold A$1,100,000 | |
| State or Territory, State or Territory Victoria | Basic Flat Tax Rate (%) 4.85 | Exemption Threshold A$650,000 | |
| State or Territory, State or Territory South Australia | Basic Flat Tax Rate (%) 4.95 | Exemption Threshold A$1,500,000 | |
| State or Territory, State or Territory New South Wales | Basic Flat Tax Rate (%) 5.45 | Exemption Threshold A$850,000 | |
| State or Territory, State or Territory Western Australia | Basic Flat Tax Rate (%) 5.5 | Exemption Threshold A$850,000 | |
| State or Territory, State or Territory Northern Territory | Basic Flat Tax Rate (%) 5.5 | Exemption Threshold A$1,500,000 | |
| State or Territory, State or Territory Tasmania | Basic Flat Tax Rate (%) 6.1 | Exemption Threshold A$1,250,000 | |
| State or Territory, State or Territory Australian Capital Territory | Basic Flat Tax Rate (%) 6.85 | Exemption Threshold A$2,000,000 | |
| State or Territory, State or Territory National average | Basic Flat Tax Rate (%) 5.49 | ||
| State or Territory, State or Territory Difference to Sunshine Coast | Basic Flat Tax Rate (%) 0.74 | ||
Notes: For annual payroll thresholds between A$1.5 million and A$1.7 million, South Australian payroll tax rates are variable between 0% and 4.95%. For annual payroll thresholds between A$1.25 million and A$2 million, Tasmanian payroll tax rates are 4.00%.
Source: Payroll Tax Australia (2019)
Lowest payroll tax3
4.75% payroll tax
Compared with national average 5.23% and 6.85% in ACT.
Indicative industrial land values (3,000 - 5,000m2)
| Sunshine Coast | A$142/m2 | ||
|---|---|---|---|
| Sunshine Coast, Sunshine Coast Brisbane | A$142/m2 A$347/m2 | Average 59% lower | |
| Sunshine Coast, Sunshine Coast Melbourne* | A$142/m2 A$557/m2 | Average 75% lower | |
| Sunshine Coast, Sunshine Coast Sydney* | A$142/m2 A$896/m2 | Average 84% lower | |
Source: Savills, February 2019
* Median price for CBD and outer suburbs
Commercial office rental (A grade costs)
| Locality | Mid-point | Average Comparison | |
|---|---|---|---|
| Locality, Locality Sunshine Coast | Mid-point A$330/m2 | ||
| Locality, Locality Gold Coast | Mid-point A$350/m2 | Average Comparison 6% lower | |
| Locality, Locality Brisbane CBD | Mid-point A$540/m2 | Average Comparison 40% lower | |
| Locality, Locality Melbourne CBD | Mid-point A$575/m2 | Average Comparison 43% lower | |
| Locality, Locality Sydney CBD | Mid-point A$1,090/m2 | Average Comparison 70% lower | |
Source: Savills, January 2019
Operating costs
| Location | Median Weekly Personal Income | Workcover Premium Cost Per $100 in Wages | |
|---|---|---|---|
| Location, Location Sunshine Coast | Median Weekly Personal Income A$615 | Workcover Premium Cost Per $100 in Wages A$1.20 | |
| Location, Location Queensland | Median Weekly Personal Income A$660 | Workcover Premium Cost Per $100 in Wages A$1.20 | |
| Location, Location Victoria | Median Weekly Personal Income A$644 | Workcover Premium Cost Per $100 in Wages A$1.27 | |
| Location, Location New South Wales | Median Weekly Personal Income A$664 | Workcover Premium Cost Per $100 in Wages A$1.40 | |
Source: Worksafe QLD (2018); Worksafe VIC (2018); Milne Alexander (2017)