Amid escalating anti-Semitic graffiti, firebombings and most recently a thwarted plot targeting the Great Synagogue and the Jewish Museum in central Sydney, the NSW government will make it easier to jail perpetrators for up to two years.
Displaying a Nazi symbol on or near a synagogue or otherwise intentionally inciting racial hatred will be explicitly outlawed, among several changes.
"Crucially, these reforms will make those intent on stoking hatred and division think twice before they act," NSW Jewish Board of Deputies president David Ossip said on Thursday.
"We have been saying for weeks now that the Jewish community is the target of an ongoing campaign of domestic terrorism designed to tear at our social fabric.Â
"This is now beyond dispute and we welcome moves to protect the harmony of our society which is currently under attack."
Thursday's announcement followed more than a year of campaigning from Jewish leaders and came shortly before hate speech laws enforcing controversial minimum mandatory jail terms passed federal parliament.
The circumstances confronting NSW were "so extreme' they required state law changes, Premier Chris Minns earlier said.
"If it subsequently emerges that a Commonwealth piece of legislation is tougher, more stringent, applies to more offences and supersedes state laws, fine, no problem," Mr Minns told reporters.
"But I just don't want to take that risk."
The proposed laws will be introduced to state parliament next week.
But their difference to "very strong" legislation already on the books in NSW was questioned by the opposition.
"This (wave of hate crimes) is a policing issue, by and large, to catch the criminals and throw the book at them," shadow attorney-general Alister Henskens said.
"There are many existing provisions on the statute books now to throw the book at these people."
He also criticised Labor for failing to brief the opposition or otherwise release the draft legislation.
Crossbench members crucial to passing the laws through the upper house were due to be briefed on the proposed changes on Thursday afternoon.
The announcement also came before the government met with a faith leaders council created to provide advice on religious and community issues.
The laws had been drafted in response to horrifying anti-Semitic violence, but will apply to acts targeting all religions, the premier said.
Graffiti laws will be amended to create an aggravated offence relating to places of worship.
Another law will target people intentionally blocking, harassing, intimidating or threatening worshippers from accessing their local synagogue, church or mosque.
The changes come despite a November review that recommended not broadening the laws or introducing other offences to curb public incitement of hatred.
Like most Australian state and territory hate laws, NSW requires proof that the offender threatened or incited physical harm to people or property.
Since December, a synagogue has been firebombed, multiple cars torched and swastikas and anti-Semitic slogans scrawled on vehicles and buildings in areas with large Jewish communities.
A NSW Police taskforce with 40 detectives has been established to target anti-Semitic crimes.
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