Yes Sense I guess it should have been called Australian Independence Act 1986 because that's what it acheived .
It would have saved a hell of a lot of debate and confusion .
It was a little easier for India - they were not " ethnicaly " European . Australians were struggling with the complete separation from the "homeland " .

Sorry, but ignoring for a moment the legalese - how is Australia "independent" when we have a foreign Head of State whose local representative still has the power to dismiss a government that has been democratically elected by the Australian electorate?

CJ Morgan , because there is now only a " personal union " relationship between Elizabeth and Australia .
Elizabeth as " British Monarch " no longer exists as far as Australia is concerned .
Remember Australians are no longer " British subjects " meaning they are no longer subject to the British States jurisdiction .( final jurisdiction terminated by the Australia Acts 1986 ) .

In the words of the High Court - " Australians now owe a different allegiance ".

BUT - Australia still operates as a Constitutional Monarchy - so we need a Monarch and the Australian Parliament has given its assent ( or permission ) for Elizabeth ( an individual foreigner ) to occupy that position ( as " Queen of Australia " ) .
The position is however " titular " and the Queen has no executive power - see Queens own website . The GGs position has some executive power ( from the Constitution ) which in extreme situations can be exercised .
Australia is now independant not because of who occupies the position of " Head of State " but because the final remnants of the British Parliaments Sovereignty over Australia was terminated on the 3rd March 1986 .

CJ,

The only role the Queen plays today is to sign letters of appointment. I cannot think of one occasion where the Queen represented Australia as its Head of State whilst overseas, especially since 1986.

check out the GG's Web Site:
It states:

"In fact, since the passage of the Australia Act in 1986, the only action performed by The Queen under the Constitution is the appointment of the Governor-General, on the advice of the Australian Prime Minister."
See Copy of GG's Letter of Appointment or Commission.
http://www.gg.gov.au/governorgeneral/content.php?id=11