'Stop killing your people': Australia's message to Iran

More than 500 people have been killed in the demonstrations according to human rights groups, but some activists believe the true number of fatalities may run into the thousands.

Dozens of security personnel have also died and thousands of protesters have been arrested.

Anthony Albanese said the Iranian government was an "oppressive regime" which should be replaced by democracy.

"We stand with the people of Iran in fighting against what is an oppressive regime, one that has oppressed its people. One that is, I hope... removed by the people," he told reporters at Parliament House on Tuesday.

"We want to see a functioning, democratic Iran in which human rights are respected," Mr Albanese said.

Foreign Minister Penny Wong said Iran's crackdown on protests had become increasingly brutal as Ayatollah Ali Khamenei tried to retain power.

"What I would say to that regime is, not only is the world calling on you to stop killing your people, but a regime that requires the murder of its own people to maintain authority is not a regime with any legitimacy," she said, speaking alongside the prime minister.

Members of Australia's Iranian community say they're feeling numb and helpless as they watch from afar while the death toll from the protests rises.

The demonstrations began in response to soaring inflation but quickly turned political, with protesters demanding clerical rulers step down. 

US President Donald Trump has said he would "be hitting them very hard where it hurts" if Iran began killing demonstrators like it did in the past, but is yet to declare any military action.

In response, Iran has said it is "prepared for war", but also willing to negotiate with American officials.

Siamak Ghahreman, president of the Australian-Iranian Community Organisation, said many have struggled to contact family back home due to an internet blackout, cutting the nation off from the rest of the world.

"This is really sad and the whole community is numb, plus there isn't much people can really do from here," he told AAP.

"We've done demonstrations and sent letters to the government, but that's as far as we can take it. It's been like that for 47 years."

There are fears the death toll will escalate, with protesters and the government both not backing down. 

"There is no common sense in the Iranian government and for it to survive, they are prepared to kill as many as it takes just to be in power," Mr Ghahreman said.

"The way that it's going is that the people are not going to stop until they overturn the government. They are totally fed up this time."

Kambiz Razmara, vice president of the Australian-Iranian Society of Victoria, said feelings among the community were mixed. 

"On one hand, people are suffering and are being brutalised under the same oppressive regime as the last 50 years," he said. 

"On the other hand, if there is any silver lining, the end of the oppression is near and people are fighting hard to get there."

Australian Associated Press