Tiktok, Snapchat and Reddit are among the social media platforms that will have to ban children under 16.
Communications Minister Michelle Rowland introduced world-first legislation to federal parliament on Thursday, saying it would make the online environment safer for young people.
Tiktok, Facebook, Snapchat, Reddit, Instagram and X (formerly Twitter) are among the platforms that will have to impose age limitations on users.
However, Messenger Kids, WhatsApp, Kids Helpline, Google Classroom and YouTube are expected to be classified as “out of scope services.”
Including messaging apps in the ban could have broader consequences by making communication within families more difficult, Rowland said.
Companies that fail to comply with the minimum age obligation will face fines of up to $49.5 million.
“The Bill…does not provide the magic pill to solve or eliminate all the harms children face online, nor does it seek to rule out young people’s digital participation and inclusion,” Ms Rowland said.
“This is about protecting young people, not punishing or isolating them, and letting parents know that we are on their side when it comes to supporting the health and well-being of their children.”
Under the bills, social media platforms would have to take reasonable steps to prevent young people under 16 from having accounts.
There will be a minimum introduction period of 12 months before the ban is activated.
Parents will not be able to give consent for their children to use social media and users will not be required to provide confidential identification documents to the platforms.
The measures will also allow the minister to exclude some services from the ban, including messaging services, online gaming, and health and education platforms.
Australia would be the first country to have an age ban on social media.
Age verification tests are being carried out to determine how the ban would be enforced.