A free trader, Taylor became a member of the Victorian branch of the Imperial Federation League in 1885.
He was instrumental in ensuring the Victorian Branch survived the collapse of the parent group in London in 1893.
He joined the Melbourne branch of the Australian Natives' Association, hoping to gain members.
Although Taylor held that trade, defence and financial advantage would flow from Imperial Federation, others feared that in such an organization Australia's voice would be submerged.
He was a foundation member (1886–1906) of the Bankers' Institute of Australasia and contributed articles to its journal.