The frill-necked lizard is an arboreal lizard, meaning it spends a majority of its time in the trees. The lizard ventures to the floor only in search of food, or to engage in territorial conflicts. The arboreal habitat may be a product of the lizard’s diet, which consists mainly of small arthropods and vertebrates (usually smaller lizards). However, the trees are most importantly used for camouflage. There is not one standard colour: rather, colouration varies according to the lizard’s environment. For example, a lizard found in a dryer, clay filled environment will most likely have a collage of oranges, reds, and browns; whereas a lizard found in a damper, more tropical region will tend to show darker browns and greys. This suggests they are adapted to their habitats; their colors are a form of camouflage.
This frog is similar in appearance to the magnificent tree frog (L. splendida), which inhabits only north-western Australia. Older members of that species have very large parotoid glands, which cover the entire top of their heads and droop over their tympana. The parotoid gland of the green tree frog is much smaller, and it also lacks the yellow speckling on the back and the yellow markings on the hand, groin and thigh.
It can be distinguished from the giant tree frog (L. infrafrenata) by the distinct white stripe that that species has along the edge of the lower jaw and extending to the shoulder, which is not present in the green tree frog.