The WA Liberal party will vote against the state government's new tax on foreign buyers of residential property.
Shadow Treasurer Dean Nalder said the 7 per cent surcharge would add to the tax burden on the property market and weigh down house prices.
But the government insisted the tax, which would not apply to big developers or commercial property investors, would have a minimal impact on the local market.
"A record number of WA homeowners currently have negative equity in their homes and the McGowan Government wants to impose a tax that has been proven in the Eastern States to put the brakes on the housing market and force housing prices down," Mr Nalder said.
"This is base politics by the Treasurer who is appealing to xenophobic sentiment by telling people foreigners are getting away without paying their fair share of taxes.
"Foreign buyers pay the same taxes as West Australians, they are not 'getting away' with anything."
Treasurer Ben Wyatt said the tax was necessary to assist with budget repair.
"Once again, the Liberal and Nationals parties have decided to ignore the financial problems they left the State and simply increase the burden on WA families to fix the mess that their financial mismanagement created," he said.
He said the Liberal party "remain more interested in continuing to play the role of the fiscal vandals".
Mr Nalder rejected Mr Wyatt's assertion the tax was needed to fix the budget and said the tax was to pay for election promises the government could not afford.
"Education, roads, health, police and our prisons system have all had to suffer because this Government made grandiose promises they could not afford," he said.
"Now the Treasurer wants to raise money from foreign buyers with no regard to the knock-on effect that will have on WA homeowners."
The tax was estimated to have generated $123 million in revenue between the 2018/19 and 2012/22 financial years.
Mr Wyatt said the government had an electoral mandate to introduce the tax.
Labor took a policy of introducing a 4 per cent tax on foreign residential property buyers to the 2017 state election, but announced in its second budget it would increase the rate to 7 per cent.