Part VI Federalism, Ch.32 Money

This chapter outlines the main provisions of the Australian Constitution dealing with money. It describes how the provisions of the Constitution address the many financial questions which arose at the establishment of the Commonwealth of Australia. These included: how the establishment of the Commonwealth would be funded, what powers the Commonwealth and the States would have to raise money, how the governments of the States would continue to be funded after the former colonies lost some of their taxing powers on becoming States, and what would be the responsibilities of the legislative and executive branches in the financial affairs of the Commonwealth. The chapter then outlines the principal High Court decisions which have guided the understanding of these provisions. The decisions are of two kinds: those concerning the interpretation of the Constitution and the federation more generally, and those about financial matters in particular.