Queensland Fruit & Vegetable Growers (QFVG) is calling on the Queensland Government to introduce temporary payroll tax relief for primary producers in declared disaster zones, stating the measure would support farm cashflow and recovery.
QFVG CEO Scott Kompo-Harms said the organisation welcomed the activation of disaster assistance but noted an opportunity to strengthen support through targeted payroll tax relief.
"We want to acknowledge the Queensland Government for moving quickly to activate disaster assistance following the recent run of severe weather events," Mr Kompo-Harms said.
"Queensland is the most disaster-prone state in Australia. A responsive disaster recovery framework is critical for growers trying to get back on their feet."
He said that with large areas now declared disaster zones, many horticulture businesses are facing crop losses, infrastructure damage, rising fuel costs, and ongoing labour expenses.
"In these moments, cash flow becomes the single biggest factor determining how quickly a farm can recover," he said.
"That's why payroll tax relief is such a practical solution. It's a policy lever government already controls, and it can be implemented far more quickly than many other support mechanisms."
Payroll tax applies to businesses with total Australian wages exceeding $1.3 million annually, a threshold reached by many medium-sized horticulture businesses due to seasonal labour needs.
QFVG is proposing targeted relief measures, including a temporary 12-month exemption and a grower-declared three-month pause in obligations.
"Every dollar that stays in a grower's business during recovery helps keep people employed, supports replanting and repairs, and reduces the need to take on additional debt just to get operations moving again," Mr. Kompo-Harms said.
"This isn't about special treatment. It's about ensuring policy settings reflect the realities of farming and the unique challenges horticulture businesses face during disaster recovery."
He added that previous changes to disaster assistance frameworks have improved support for growers.
"We've seen some very positive reforms in recent years, including changes to the definition of a primary producer under the Disaster Recovery Funding Arrangements and the recognition that replacing lost crops is a legitimate recovery cost," he said.
"These were practical improvements that made the system work better for growers."
"A targeted payroll tax exemption would be another sensible step that boosts confidence immediately and supports faster recovery across regional communities."
"With so many Queensland regions currently impacted by natural disasters, this is an opportunity to give growers the breathing room they need."
© QFVGFor more information:
QFVG
Tel: +61 (0) 7 3620 3844
Email: [email protected]
www.qfvg.com.au