Father of two young children Corporal Brendan Hannam was killed during an exercise at the Mount Bundey training area in the Northern Territory on Monday evening.
The 28-year-old was survived by a partner and two young children, Chief of Army Lieutenant General Susan Coyle said.
"It is with deep and profound sadness that I can confirm we lost one of our soldiers yesterday," she told media on Tuesday.
Cpl Hannam was described as a "much-beloved junior leader".
"He has served and sacrificed on two operational tours to Afghanistan in 2019 ... and also he trained Ukrainians with the British armed forces," Lieutenant General Susan Coyle said.
"His mates tell me he would give the shirt off his back ... and the thing he'll be most remembered for is the love and support he had for his partner and his kids."
Cpl Hannam was a member of the 5th/7th army battalion based in the NT.
He was a passenger in a troop-carrying vehicle when the incident occurred.
Five other soldiers were injured, with two in hospital in Darwin in a stable condition and the other three being cared for at nearby Robertson Barracks.
The Mount Bundey area, about 120km south of Darwin, is used for Australian and US forces training, including live-fire exercises.
NT Chief Minister Lia Finocchiaro offered condolences to Cpl Hannam's family.
"The support of our entire community is there for all of our service personnel who will be feeling this loss immensely," she told reporters in Darwin on Tuesday.
NT emergency authorities assisted with two medical evacuations to Royal Darwin Hospital by helicopter at 7.30pm local time on Monday.
A further three people were medically evacuated by plane two hours later.
NT police have sent personnel to the training facility to help with investigations into the death.
Prime Minister Anthony Albanese said the nation's thoughts were with the family and friends of the killed soldier and his injured colleagues.
"There are no safe or easy days for those who serve in our country's name," he said in a statement.
"This sad incident is a terrible reminder of what families take on when their loved one bravely puts on our nation's uniform."
Defence Minister Richard Marles said Cpl Hannam was "always thinking about his comrades and others".
"And I know that for him, the greatest love in his life was his partner and his two children,'' Mr Marles said.
Federal Veterans' Affairs Minister Matt Keogh also extended his condolences to the fallen soldier's family.
"We also have been making sure our training systems are fit for purpose and the training is conducted in the safest way possible," he told the ABC.
It was recognised there were unique circumstances when it came to defence force training and there were high levels of risk, he said.
Opposition Leader Angus Taylor said the incident was another tragic reminder defence personnel were putting their lives on the line even when they were not on a mission.
The coalition wished the five soldiers injured in the incident a full and swift recovery, Mr Taylor added in a joint statement with opposition defence spokesman James Paterson.
The death comes months after an Australian Defence Force member was killed in a training exercise in Jervis Bay.
Warrant Officer Class Two Lachlan Muddle, a Special Air Service Regiment operator, died after colliding with a fellow soldier during a parachuting exercise.
In October 2025, a soldier died and two others were hospitalised after a truck rolled over during an army training course.
Jack Fitzgibbon, the son of former defence minister Joel Fitzgibbon, died in March 2024 after a parachuting incident at the Richmond RAAF base outside of Sydney.