The cost of registering light vehicles, including trailers and motorbikes, will be reduced from September 16.
Premier Steven Miles said the initiative, announced on Saturday, could save the state's car owners up to $172 each.
"For many families rego is one of those bigger bills and having a car can be really necessary," he said.
The government has already announced a a $1000 electricity rebate for all Queensland households and a six month trial of 50 cent public transport fares, due to start in August.
Slashing the cost of car registration is expected to cost the government $435 million, treasurer Cameron Dick told reporters on Saturday.
"That's $435 million that will go back to Queenslanders in cost of living relief," he said.
An expansion to the state government's 'FairPlay' program was also announced on Saturday.
The Qld premier says families shouldn't have to choose between children's sport and affording food. (Dave Hunt/AAP PHOTOS)
Under the program, families with children between five and 17 years old will get a $200 voucher - up from $150 - to participate in junior sports.
"We have two kids who play soccer and one who plays cricket in our household, and those club fees add up," Mr Miles said.
"These vouchers are designed to make sure that families don't have to choose between sending their kids to play soccer and putting food on the table."
The program will receive $40 million in the state's budget, which will be revealed on Tuesday.
"We know how important it is that Queensland kids are active, social and feel connected with the community, which is why we are expanding FairPlay to help more families overcome the financial barriers associated with organised sport," Mr Dick said.
"In this year's Budget we are allocating a further $32.5 million to expand the FairPlay program to $40 million."
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