More than 900,000 Australians identify as LGBTQI, including almost one in 10 young people.
The Australian Bureau of Statistics on Thursday released for the first time estimates of LGBTI groups, after combining data from almost 45,000 people who took part in a health survey.
The new data found about 4.5 per cent of all Australians aged 16 and older identify as LGBTI, with young people more likely to do so.
About 740,000 people are lesbian, gay, bisexual or use a different term to describe their sexual orientation.
One in three from those communities are married or in a de facto relationship,
Almost 179,000 people - less than one per cent - are trans and gender diverse, including trans men, trans women and non-binary people.
More than 63,000 Australians reported they were born with variations of sex characteristics, about 0.3 per cent of the population.
Although queer communities are present all over Australia, the ACT and Victoria have the highest proportions, at 5.6 per cent and 5.3 per cent, in comparison to other states and territories.
The 2026 Australian Census will include questions on gender and sexual orientation for people aged 16 years and over.
Equality Australia chief executive Anna Brown said up until now almost one million people have been hidden.
"Our communities deserve to be counted and to feel seen," she said.
"We now know that that LGBTIQ+ people live in every part of Australia, in regional, rural, metro and remote areas, and this means local councils, service providers and government agencies will be able to better serve the needs of our communities."
Ms Brown said the estimates demonstrated the need for a more complete picture of Australia in the 2026 Census.
Just.Equal Australia spokesman Rodney Croome said the data showed diverse communities were a powerful voting bloc ahead of next year's federal election.
"It is a reminder to all political parties that they must have policies recognising the human rights of LGBTI+ people and addressing the disadvantages we face in areas such as health, housing, employment, education and public safety," he said.
"This data will also help foster inclusion and equity in the broader community by reminding non-LGBTI+ Australians that we a substantial part of Australian society and that we make an important contribution to national life."
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