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Diagram: Money and government services

Catalogue no: 0031

Source/copyright: PEO

Parliamentary Education Office, 2008. Please visit the Image Library page for important information about use of images.

Description

This diagram is about money and government services.

Where the money comes from and how it is spent:

  • The federal government raises money through income tax and charges and spends it on national matters: e.g. security, defence, immigration, the environment.
  • State governments receive more than half their money (including all the GST) from federal government and spend it on state matters: e.g. schools; housing and hospitals; roads and railways; police and ambulance services.
  • Local councils collect taxes (rates) from all local property owners and receive grants from federal and state governments and spend it on local matters: e.g. town planning; rubbish collection; water and sewage; local roads; and dog control.

The Australian Government implements federal law.

State and territory governments implement state and territory law.

Executors of shire councils implement local by-laws.