1863 in Australia
- Premier of New South Wales — Charles Cowper until 15 October, then James Martin
- Premier of Queensland — Robert Herbert
- Premier of South Australia — George Waterhouse until 4 July, then Francis Dutton until 15 July, then Henry Ayers
- Premier of Tasmania — Thomas Chapman until 20 January, then James Whyte
- Premier of Victoria — John O'Shanassy until 27 June, then James McCulloch
- 1 January — The Torrens title system is introduced in New South Wales with the commencement of the Real Property Act 1862.
- 7 February — The Sydney-based Royal Navy corvette HMS Orpheus sinks off the coast of New Zealand claiming 189 lives.
- 21 February — James Cockle is appointed the first Chief Justice of the Supreme Court of Queensland.
- 14 March — Queen Victoria issues Letters Patent granting Goulburn, New South Wales city status, making it Australia's first inland city.
- 6 July — Queen Victoria issues Letters Patent annexing to South Australia the part of the colony of New South Wales that would later become the Northern Territory.
- 11 November — Elizabeth Scott is hanged for the murder of her husband, making her the first woman to be executed in Victoria.
Exploration and settlement
- 3 November — Banker wins the Melbourne Cup, in the smallest field in Cup history of six horses.
- 26 January — Charles Wade, Premier of New South Wales (died 1922)
- 26 March – George Philip Barber, politician (died 1938)
- 14 July — Arthur Coningham, cricketer (died 1939)
- 16 July — Anderson Dawson, Premier of Queensland (died 1910)
- 26 October — Neville Howse, first Australian recipient of the Victoria Cross (died 1930)
- 26 October — John Henry Michell, mathematician (died 1940)
- 29 November — Adrian Knox, second Chief Justice of the High Court (died 1932)
- 5 February — John Wroe (born 1782), British evangelist, founder of the Christian Israelite Church
- 8 March – Samuel Stocks, South Australian businessman (b. c. 1786)
- 26 March — James Drummond (born 1786 or 1787), botanist
- 28 April — James Dickson (born 1913), New South Wales politician
- 5 July — Thomas Brown (born 1803), Western Australian politician
- 26 October — Gotthard Fritzsche (born 1797), Lutheran pastor