The sources of revenue that help fund NSW Government services are:

  • state taxes and royalties
  • funding from the Commonwealth Government
  • revenue from the sale of goods and services by government agencies
  • dividends and taxes from government owned businesses
  • fines, fees and regulatory charges, and interest income.

State taxation and royalties and Commonwealth funding account for around 38.6 per cent of total revenue. Revenue from the sales of goods and services accounts for around 11.6 per cent of the total. The shares for 2020-21 projected in the 2020-21 NSW Budget are shown in the following chart:

NSW raises revenue from a number of State taxes, including payroll tax, transfer duties, land tax, motor vehicle taxes, and gambling taxes. State taxation, together with Commonwealth grants (including NSW share of GST revenues collected by the Australian Taxation Office) raises the bulk of Government revenue in NSW.

The Office of State Revenue provides more detailed information on the application of NSW taxes.

Separately, local councils raise revenue through rates, fees and charges. Further information on local council rates and charges is available at the website of the Office of Local Government

Click here to find out more about types of NSW taxes.

Last updated: 04/02/2021