Tax could take shine off Queensland

New Zealanders fleeing to the sun across the Tasman would pay a special tax for the privilege of moving to Queensland under a proposal floated by state Premier Peter Beattie.

Accused by his political rivals of policy on the run and by tax experts of dreaming, Mr Beattie raised the prospect of taxing newcomers to Queensland ahead of a mini-budget to be announced next Tuesday.

The tax would be applied to anyone arriving to live in Queensland - including 35,000 Australians who move there from other states every year - and would be spent on boosting the state's flagging health system.

More than 5600 New Zealanders settler there annually, and about one-third of all expatriate Kiwis eventually end up in the Sunshine State.

Mr Beattie floated the proposal after a review of his health system found Queensland was spending 14 per cent less than the national average on health and that new funding of up to A$1.5 billion ($1.63 billion) would be needed to cope with future demands.

"We have 1500 extra people coming into the state each week from interstate and overseas, and that sort of pressure doesn't exist in any state other than Queensland," he said.

"It is not unreasonable for us to say to people who are moving here every week, who are putting pressure on the health system, you should make a contribution."

A spokesman for Mr Beattie said the Premier was not likely to comment further on the proposal until he delivered the mini-budget.

He said there were no firm proposals on the nature or method of collection of any tax that might be levied and could not confirm that a specific measure would be announced next Tuesday, but he said that any such tax would be applied to all newcomers, including New Zealanders.

Mr Beattie was also convinced any new tax would not deter people from moving to Queensland, a view shared by Opposition Leader Lawrence Springborn.

But a spokesman for Mr Springborn said the proposed tax would not be workable.

"We see it as nonsensical, effectively," he said. "You can hardly put a big gate up at the border and charge them entry."

The spokesman said that in any case as soon as people relocated to Queensland they were paying state taxes and as soon as they bought a house they were contributing massively.

"It's typical of Beattie at the moment with his 'policy on the run' position," he said. "At the moment he will do anything, he will say anything to take the attention off his failures."

Evan Lancaster of Taxpayers Australia said any creative new tax would be opposed and that a tax of the kind proposed by Mr Beattie would be horrendous to administer.

"I don't know if it would be constitutional for one thing, and you would have to wonder whether in fact it might even discourage people from going there, which you would think would be the antithesis of everything they stand for," he said.

Mr Lancaster said the tax would have to be linked with property but it would be hard to envisage a tax imposed with a test based on prior residency.

Taxes on property were also very unpopular with voters, he said.