The short answer

read a bill and explanatory memorandum

Read the bill's operative clauses alongside the existing Act it changes, then use the explanatory memorandum for intended operation and examples. A bill is a proposal for a new law or a change to an existing law. To understand what a bill does, start with the long title and the main operative clauses, which set out the substantive legal changes. If the bill amends an existing Act, you must read the bill alongside that Act because amendment bills often state only the words to be inserted, deleted or substituted. The explanatory memorandum (EM) accompanies most government bills and explains each clause in plain language, including the policy rationale, intended operation and practical examples. The EM also includes a statement of compatibility with human rights. The EM assists interpretation but is not the enacted text; courts may refer to it when the meaning of a provision is unclear. Bills are published on the Parliament of Australia website and the Federal Register of Legislation.

This is a federal system guide. State constitutions, parliaments and local-government laws can allocate comparable functions differently.

The useful question is not only “what is the rule?” but also “who administers it, which document controls it, and when might it change?” That distinction prevents an accurate general explanation from becoming wrong advice in a particular election, chamber or policy setting.

Evidence review

Anatomy of a bill

A Commonwealth bill has a standard structure. It begins with the long title, which describes the bill's purpose in a single sentence. This is followed by a short title clause (clause 1) that gives the bill its formal citation name, and a commencement clause (clause 2) specifying when its provisions take effect. The operative clauses follow and contain the substantive legal content. A definitions section defines key terms used throughout the bill. If the bill amends an existing Act, schedules at the end set out the specific amendments.

Bills come in several types. Government bills are introduced by ministers and form the vast majority of legislation. Private members' bills are introduced by non-minister members or senators. Amendment bills change existing Acts, while original bills create entirely new legislation. Appropriation bills authorise government spending. Each bill page on the Parliament of Australia website displays the bill's type, originating house, portfolio, current status and the full text of the bill and explanatory memorandum.

Evidence review

How amendment bills work with existing Acts

Most bills before Parliament are amendment bills that change existing Acts rather than creating new ones. These bills use drafting conventions that specify precise changes: text to be inserted, deleted or substituted in the principal Act. This means you cannot understand an amendment bill by reading it alone; you must read it alongside the Act it amends.

Amendments typically appear in schedules at the end of the bill. A schedule will specify the Act being amended, then use instructions such as omit a subsection and substitute new text, insert a new section after an existing one, or repeal an entire Part. The Federal Register of Legislation at legislation.gov.au provides compilations of Acts that show the law as currently in force, including all amendments to date. When reading a bill, locate the current compilation of the principal Act and trace each amendment to understand how it would change the law.

Evidence review

The explanatory memorandum (EM)

The explanatory memorandum is a document that explains the purpose and operation of each clause in a bill. It is prepared by the government department or agency that developed the policy and is tabled in Parliament alongside the bill. The EM is not part of the bill and does not have legal force, but it plays an important role in the legislative process by helping parliamentarians and the public understand what the bill is intended to do.

A typical EM includes: an outline of the bill's purpose and policy background; a clause-by-clause explanation of each provision in plain language; a statement of compatibility with human rights required under the Human Rights (Parliamentary Scrutiny) Act 2011; a financial impact statement; and a regulation impact statement where applicable. The EM often includes worked examples showing how a provision would apply in practice, which can be particularly helpful for understanding complex tax or social security amendments.

Courts may refer to the EM as an aid to statutory interpretation under section 15AB of the Acts Interpretation Act 1901, but only when the meaning of a provision is ambiguous or obscure, or the ordinary meaning would lead to a manifestly absurd or unreasonable result. The EM is one of several extrinsic materials courts may consider, alongside second reading speeches and parliamentary committee reports.

Evidence review

Reading bills on the Parliament of Australia website

The Parliament of Australia website at aph.gov.au hosts the Bills and Legislation section, where you can find every bill currently before Parliament and every Act passed since Federation. Each bill has its own homepage showing: the bill type (government, private members' or private senators'), the portfolio responsible, the originating house, current status (before House, before Senate, assented to, or not proceeding), and links to the bill text, explanatory memorandum, second reading speech and any proposed amendments.

The bill text is published in PDF and HTML formats. The HTML version allows easier searching and copying of text. For amendment bills, the bill homepage also links to the principal Act on the Federal Register of Legislation. The Parliament website tracks the progress of a bill through each stage: introduction and first reading, second reading debate, consideration in detail or committee of the whole, third reading, and transmission to the other house where the process repeats. Once a bill has passed both houses in identical form and received royal assent from the Governor-General, it becomes an Act of Parliament.

Evidence review

Practical tips for understanding legislation

Start with the explanatory memorandum rather than the bill text. The EM's outline and clause-by-clause explanation provide context that makes the bill's drafting easier to follow. Pay attention to the commencement clause: provisions may commence on royal assent, on a date to be fixed by proclamation, or on a specified date, and different parts of the same bill may commence at different times.

For amendment bills, open the current compilation of the principal Act on legislation.gov.au in a separate window and trace each amendment. Pay particular attention to definitions (section 4 or equivalent) and to how the amendments interact with each other. Some amendments only make sense when read in conjunction with other amendments in the same bill.

Watch for transitional and savings provisions, usually found at the end of a bill or in a separate schedule. These tell you what happens during the changeover period: which version of the law applies to pending matters and how existing rights and obligations are preserved. Without reading the transitional provisions, you may misunderstand the practical effect of the changes. Also check the notes section at the end of the bill or EM for references to related legislation and international agreements.

Common questions

Before you rely on the answer

What is the difference between a bill and an Act?

A bill is a proposal for a law that has been introduced into Parliament but has not yet completed all stages of the legislative process. An Act (also called a statute or legislation) is a bill that has been passed by both Houses of Parliament in identical form and has received royal assent from the Governor-General. Once a bill becomes an Act, it is published on the Federal Register of Legislation and has the force of law according to its commencement provisions.

Do I really need to read the explanatory memorandum?

For most purposes, yes. The explanatory memorandum translates legal drafting into plain language and explains the policy rationale behind each clause. If you are trying to understand what a bill does in practice, the EM is much more accessible than the bill text. It is also the document most often cited by parliamentarians during debate and by courts when interpreting ambiguous provisions. The EM is particularly useful for understanding how amendments to complex legislation like tax or social security laws would operate.

Where can I find the current version of an Act that a bill is amending?

The Federal Register of Legislation at legislation.gov.au provides authoritative compilations of all Commonwealth Acts. Search for the Act by name or year and select the compilation showing the latest date. The compilation integrates all amendments that have already taken effect. Each bill homepage on the Parliament of Australia website also links to the principal Act being amended. For very recent Acts, check whether any uncommenced amendments are listed separately.

Source spine

Primary material used for this guide

Review trigger: Changes to the standing orders of the House of Representatives or Senate that alter the legislative process; changes to the Acts Interpretation Act 1901 affecting statutory interpretation; changes to the format or publication requirements for bills or explanatory memoranda; reforms to the parliamentary committee system for bill scrutiny; changes to the Federal Register of Legislation platform or access

Archive note: Written 2026-07-17 using Infosheet 7 (Making laws) from the Parliament of Australia, the Bills and Legislation portal at aph.gov.au, and the Federal Register of Legislation at legislation.gov.au. Describes Commonwealth legislative processes as they operated at the time of writing. Procedural reforms and changes to parliamentary practice may alter aspects of the bill passage process.

Primary links are provided without affiliate or tracking parameters. Confirm that the source still applies to the bill, sitting date, jurisdiction or reporting period before relying on it.