"Where do the Federal, State and Local Governments get their money from? Thank you."

Thank you for the great question! The Australian Constitution gives the Australian Government the power to raise money through taxation. These taxes include:

Income tax is not listed as a power of the Australian Government in the Australian Constitution. Until World War II, income tax was raised by the states but this power was taken over by the Australian Government. Income tax is now a major way the federal government raises money.

The state and territory governments raise money from:

Section 96 of the Australian Constitution allows the federal government to grant money to the states. It also allows the federal government to tell the states how this money is to be spent.

Local governments raise money from:

You can find out more information on this topic by investigating the three levels of Australian law-making and the federal budget. If you are really keen, the Budget papers outline in detail where federal revenue comes from and how the government plans to spend it.

diagram to help explain Where do the Federal, State and Local Governments get their money from? Thank you.