Currency Act 1965
No. 95, 1965
Compilation No. 6
Compilation date: 21 October 2016
Includes amendments up to: Act No. 61, 2016
Registered: 15 November 2016
About this compilation
This compilation
This is a compilation of the Currency Act 1965 that shows the text of the law as amended and in force on 21 October 2016 (the compilation date).
The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.
Uncommenced amendments
The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.
Application, saving and transitional provisions for provisions and amendments
If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.
Editorial changes
For more information about any editorial changes made in this compilation, see the endnotes.
Modifications
If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.
Self‑repealing provisions
If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.
Contents
Part I—Preliminary
1 Short title
2 Commencement
4 Interpretation
5 Extension to external Territories
6 Act binds the Crown
Part II—Currency
7 Repeal
8 Monetary unit and denominations of money
9 Transactions to be in Australian currency
10 References to previous currency to be construed as references to currency under this Act
11 Payments to be made in currency under this Act
12 Forms
Part III—Coinage
13 Standard composition of coins
13A Standard weight, design and dimension of coins
14 Treasurer may issue coins
14A Issue price of coins of certain denominations
15 Treasurer may issue coins under repealed Acts for limited time
Part IV—Legal tender
16 Legal tender
17 Coins called in not legal tender
Part V—Transitional provisions
18 Transactions may be in previous currency during transition period
19 Payments during and after transition period
20 Concurrent legal tender
21 Duration of section 18
Part VI—Miscellaneous
22 Prohibition of other than official coins
23 Coins may be called in
24 Certain days to be non‑business days for purposes of Bills of Exchange Act
25 Special provision with respect to certain cheques
26 Regulations
Schedule—Standard compositions of coins
Endnotes
Endnote 1—About the endnotes
Endnote 2—Abbreviation key
Endnote…
Overview
The Currency Act 1965 was enacted to address the need for a modern and streamlined legal framework governing the currency, coinage, and legal tender in Australia. This Act was passed by the Australian Parliament and received Royal Assent on 10 December 1965. It primarily aims to establish the Australian dollar as the official monetary unit and ensure a consistent and regulated system for currency and coinage within the country. The Act also facilitates a smooth transition from the previous currency system to the new decimal system, addressing any potential gaps or ambiguities that might have arisen during the changeover period.
Scope and Application
The Currency Act 1965 is an Australian Commonwealth Act that governs the issuance of currency, coinage, and legal tender within Australia. This Act applies to all persons and entities within the Commonwealth of Australia, including its states and territories. The Act establishes the Australian dollar as the monetary unit of Australia, replacing the previous currency system, and sets forth the denominations of money in Australian currency, namely dollars and cents. The Act mandates that all monetary transactions, sales, contracts, and payments within Australia must be conducted in Australian currency, with specific transitional provisions allowing for the use of the previous currency during a defined transition period. The Act also details the composition, weight, design, and issue price of Australian coins, as well as the legal tender status of these coins. Additionally, it includes provisions for the issuance and potential calling-in of coins, and it outlines specific exemptions and thresholds related to coin usage. The Act’s application extends to all Australian territories, and it binds the Crown in right of the Commonwealth and its states and territories. The Act allows for amendments and further regulation through subordinate instruments, ensuring its adaptability to changing economic conditions.
Key Provisions
- The Currency Act 1965 (Act) establishes the Australian dollar as the official currency of Australia, replacing the previous currency system. Section 8(1) sets the monetary unit of Australia as the dollar, with cents as the subdivision of the dollar. Section 9 mandates that all transactions, contracts, and agreements must be conducted in Australian currency, except where expressly made in another country's currency. This requirement ensures uniformity in financial dealings within Australia. Section 10 provides for the interpretation of references to the previous currency in legal documents and contracts, ensuring consistency in financial obligations and agreements.
- The Act imposes several obligations on the parties it governs. Under Section 11, all payments must be made in Australian currency, unless otherwise specified in another country's currency. This section also details the conversion rates for payments made in the old currency before the transition period. Section 13 specifies the standard composition of Australian coins, while Section 14 authorises the Treasurer to issue these coins. Additionally, Section 14A sets out the issue price for coins of certain denominations, giving the Treasurer the discretion to determine these prices.
- Breaching the provisions of the Act can result in civil or criminal penalties. Section 22, for instance, prohibits the making or issuing of unofficial coins, with a penalty of 1 penalty unit for violations. The penalty unit is a monetary unit of account used in Australian legislation, and its value is set by regulation but is generally equivalent to a specific amount of Australian dollars. This provision ensures that only officially sanctioned currency is used in Australia, maintaining the integrity of the nation's monetary system. Other sections of the Act may impose additional penalties or consequences for non-compliance, although specific penalties are not detailed in the provided text.
- Area of Law
- Commercial Law
- Currency Law
- Instrument
- Act
- Concepts
- Definitions & Interpretation
- Repeal & Amendment
- Licensing & Registration
- Reporting & Disclosure Obligations
- Enforcement Powers
- Regulatory Standards