Australia's one-time world No.2 reeled off four birdies in a five-hole stretch on the back nine en route to a five-under-par 67 at Nudgee Golf Club on Thursday.
Smith was outright third, trailing only joint clubhouse leaders Phoenix Campbell and exciting young amateur Billy Dowling by one stroke after the morning wave of starters completed their opening rounds.
The US-based 2022 British Open champion is back home for a four-tournament summer stint in Australia, keen for competition after plying his trade these days on the relatively leisurely but lucrative LIV Golf Tour.
After starting from the 10th tee, Smith took a while to shake off the rust.
He bogeyed his first hole before collecting his first birdie of the day on the par-4 16th, then edging in to red figures with another on the next.
Smith clicked into top gear with four further birdies on the second, fourth, fifth and sixth holes before finishing with three straight pars.
Clearly the class act in the field, the 30-year-old is a hot favourite to win the $250,000 PGA Tour of Australasia event.
Smith will also contest the NSW Open in two weeks at Murray Downs near the Victorian border before shooting for a fourth Australian PGA Championship crown at Royal Queensland from November 21-24.
The proud Queenslander will round out his busy summer down under at the Australian Open co-hosted by the Victoria and Kingston Heath golf clubs in Melbourne from November 28 to December 1.