Just after 1:30am police were notified of a distress call from a vessel taking on water approximately nine miles off the coast of Caloundra.
Water Police commenced search coordination with vessels from Sunshine Coast and Brisbane water police, along with the Coast Guard deployed to the last known location.
All vessels in the vicinity were notified that a 5.2 metres boat was sinking, and two men aged 48 and 39 and a 7-year-old boy were on board.
The trio were spotted in the water by an anchored off-shore tanker who notified authorities and just prior to 8am they were rescued.
The 7-year-old boy was winched into a Rescue 500 helicopter and airlifted to Sunshine Coast University Hospital.
The two men were rescued by water police and transported back to shore.