Wat Dhammarangsee was the first Buddhist temple to be established in Melbourne, and is one of four Thai Buddhist centres in Victoria. According to the 2001 census, of the 23,600 Thai-born people in Australia, 5,487 or 23.3% live in Victoria. Most of the Thai-born people in Victoria live in the Local Government Area of Greater Dandenong (637 or 11.6%), Melbourne City (400 or 7.3%) and Boroondara (389 or 7.1%).

The origins of Wat Dhammarangsee dated back to 1982 when Theravada Buddhists of Thai, Lao, Cambodian, Sri Lankan, Indian and Anglo-Australian origins formed the Buddhist Foundation of Victoria. In June 1984 the group took a six month lease on a house in the eastern suburb of Melbourne, Forest Hill and invited Ven. Chaokhun Suviriyan and Ven. Phra Yoi Pussiyo to spend the Rain Retreat at this house. The community supported the monks during this time and the monks served the community by offering a variety of religious activities. At the end of the six months period it became evident that there was strong community support for the two monks to stay on. They were asked to have their stay extended for another six months. Ven. Chaokhun Suviriyan was asked to take up the position of abbot at this centre. At the end of this period Ven. Chaokhun Suviriyan had been asked to remain at the centre indefinitely, and he accepted this proposal. In June 1985, the Buddhist Foundation of Victoria and the committee of monks' residence merged, and in January 1986, the name Wat Dhammarangsee was given to the centre and the group decided to purchase a permanent place. The group original plan to establish a large centre in the country was later changed and they decided to buy a smaller place in the suburb. This was not only seemed a more practical option in terms of cost, but it was also agreed that members preferred a place at a convenient distance for regular gathering and meeting. After a period of fundraising the group purchased a house as the residence for the abbot, and in 1993 the centre also purchased the adjacent house. A large multi-purpose hall was constructed and opened in 1999 as a place for worshiping.

The current abbot of Wat Dhammarangsee is Ven. Phra Tanee. He was ordained in 1992 at Wat Phrasrimahathat Buddhist temple in Bangkok and as a part of his training he did further study in the area of religion worker. In 1999 he was invited by the previous abbot of Wat Dhammarangsee, Ven. Phra Khru Yoi, to stay at the centre as a resident monk. He became the abbot of Wat Dhammarangsee in 2001. This temple is affiliated with the Wat Phrasrimahathat Buddhist order in Thailand. The current abbot and the previous two abbots of Wat Dhammarangsee, were all ordained and completed their training at Wat Phrasrimahathat Monastery in Bangkok.