Second Residence

The Best Quality of Life in the World— Why and How to Become A Resident or Citizen of Austria

Why would someone want to become a resident or a citizen of Austria?

The simple and persuasive reason is that this country offers an excellent quality of life as well as a safe and healthy environment. In fact, Austria boasts one of the highest standards of living of any country in the world. The Mercer Consulting group, in particular, has ranked Vienna, as the city with the world’s highest quality of life for the past three years running.

Note that Austrian residency and citizenship bring other, more practical advantages. Austria is one of 25 European states that are part of the “Schengen agreement.” A resident or citizen of one Schengen country enjoys visa-free travel to all other Schengen countries.

In addition, an Austrian passport has a very good global reputation, thanks to its neutral political position and skillful foreign policy in recent decades. After gaining independence in 1955, Austria has maintained friendly relations with both East and West. Together with Switzerland, it has emerged, therefore, as a traditional point of global neutrality. In 1979, the United Nations opened a regional headquarters in Vienna at the “Vienna International Centre.”

In short, Austria is one of the best places in the world to spend time. As a result, it does not need to work to try to attract foreign residents and would be at the top of any list of countries that are very demanding when it comes to granting foreign residency or citizenship.

Immigration is difficult, and the longer you would like to reside in Austria, the more complicated it becomes. It is easier to gain permission to spend only a limited time in Austria for a defined reason. This kind of permit, usually linked to a special purpose, such as studying, working only for a season of the year, or preparing a special project, is called a “sojourn.” On a “sojourn,” you would not be permitted to stay in Austria permanently and would not quality for citizenship.

People who might typically apply for sojourn status include artists, journalists, scientists, au pairs, and students.

Two Paths to Residence

Citizens from most EU countries and Switzerland have the automatic right to take up residence in Austria under the following conditions:

  • If employed or self-employed in Austria, or have sufficient means to support themselves and their families without relying on the social assistance system or claiming compensation allowance, or
  • The primary purpose of their stay is to complete their studies including vocational training at a legally recognized Austrian university or educational facility.

For persons from non-EU countries, there are only two possibilities to qualify for longer-term residence in Austria:

1.)  Private means. In 2006, Austria brought a new law, the “Niederlassungs-und Aufenthaltsgesetz,” into force. This law has been amended several times since it took effect, which makes it difficult for anyone other than Austrian immigration specialists to keep up.

This option is available to pensioners or people with sufficient means to support themselves living in the country, and who have a clean criminal record. The applicant must file in person with all required personal documents. The process takes approximately six months if all documents are in order and the applicant can meet all other legal requirements.

Once residence has been granted, it must be renewed every year. After five years of residence, the permit will be issued on an unlimited basis. To obtain this unlimited permit, it is necessary to demonstrate some degree of proficiency in German. The law requires fulfillment of level B1 of the European reference guidelines for languages. Most language schools in Austria offer a test to demonstrate proficiency at this level, which represents an intermediate level of fluency.

Individuals unable or unwilling to learn German who have a high school or university diploma can obtain a three-year permit. This means well educated foreigners can now live in Austria without having to prove any language skills in German!

2.) Key Manager. It is possible to obtain residence more quickly than by Private Means by becoming a Key Manager of an Austrian-based company. This permit includes not only the right, but also the duty to work. The estimated time frame for the processing of this application is three months. The application process is similar to that of Private Means. The only real difference is that the public employment service has to make a determination as to whether the applicant is a Key Manager or not.  The renewals process is the same as for the Private Means visa.

Becoming an Austrian “Civis”

Under both options, after 10 years residence, it is possible to apply for Austrian citizenship and subsequently receive an Austrian passport. To qualify, the applicant must pass a simple exam demonstrating German language skills (although this requirement may be waived in some circumstances) and answer basic questions regarding Austria’s history, constitution, and geography.

In addition, the applicant must demonstrate:

  • Permanent legal and uninterrupted residence in Austria for a minimum of 10 years, or a minimum of five years with an unlimited residence permit. In exceptional cases (and for EU citizens) only six years of residence is required. In some cases, a permanent stay of 15 or 30 years is necessary.
  • Integrity as demonstrated by no judicial condemnation, no pending criminal action (either in Austria or abroad), and no severe administrative offenses
  •  Self-sufficiency as demonstrated by proof of one’s own fixed and regular earnings, judicial claim to maintenance, or insurance benefits for the three years preceding the decision to grant citizenship
  • Positive attitude towards the Republic of Austria and demonstrate that the applicant poses no danger for the public peace, order, and security of Austria
  • No current prohibition of residence (in Austria or any other EU country) or pending process that would terminate residence at the end of the current residence period.
  • No eviction order within the last 12 months
  • No close relationship to any extremist or terrorist group
  • No involuntary loss of previous citizenship
  • Finally, the applicant’s acquisition of Austrian citizenship must not significantly affect Austria’s international relations or harm its interests.

The law provides a two-stage assessment according to § 10 StbG (Austrian Citizenship Act):

1.) The meeting of the general conditions as the first step

2.) Right of discretion. This right provides Austria authorities the ability to reject an application even if the requirements of Part 1 have been met. Only after successful completion of both steps will Austrian citizenship be awarded. Austria does not allow dual citizenship, so applicants must give up their current citizenship once they become Austrian.

Immediate Citizenship in Austria

The award of Austrian citizenship in accordance with § 10 Section 6 StbG is a privileged naturalization that waives many of the otherwise necessary conditions for naturalization. For instance, applicants qualifying under this section are not required to have 10 years of continuous residence in Austria.

The Citizenship Act of 1965 stipulates that citizenship should be granted under § 10 Section 6 StbG only if the applicant can demonstrate extraordinary achievements in the interest of the Republic. If the Council of Ministers confirms the achievement, and all other requirements have been met, Austrian citizenship is granted after the applicant swears an oath to the Republic of Austria.

While a period of extended residence is not required under § 10 para 6 StbG, an applicant for citizenship under this section still must satisfy other requirements:

  • Integrity as demonstrated by not being condemned to a sentence, not having committed any serious crimes, or having a residence prohibition in Austria;
  • The international relations of Austria must not be significantly affected by the applicant’s naturalization
  • The applicant is truthful to and of no risk to the public peace, order, and security of Austria.
  • The foreigner is not in a relationship with a foreign state that might damage the interests of Austria.

“Extraordinary achievements” is an undefined legal term. In general, though, extraordinary economic, scientific, or artistic efforts as well as extraordinary achievement in sport may qualify. Here are some brief examples of achievements that have qualified the applicant for Austrian citizenship:

  • Economic achievement. Saudi Arabian Mohamed Bin Issa Al Jaber invested millions of Euros in Austrian real estate and the national Austrian airline, and created hundreds of new jobs.
  • Scientific achievement. In 2006, a well-known Asian stock specialist and internationally known trader was naturalized. His scientific achievements as a journalist and television broadcast were shown to be of an overriding interest to the Republic of Austria.
  • Artistic achievement. The Russian opera singer Anna Netrebko became Austrian in 2006.
  • Sports achievement. Numerous foreign sportsmen have become Austrian citizens based on this provision, including Hugo Simon, Emese Hunyady, Ivica Vastic, Mirna Jukic, and Kate Allen. An outstanding athlete may be naturalized very quickly, sometimes within only two or three months.

Changes Ahead

The Austrian citizenship law continues to evolve. Currently, the government is considering naturalization of foreigners after six years of residence if they can show a high level of integration. Such a level could be shown by having done charity work, for example.

In conclusion, if you are interested in quality of life above all else, then you should place Austria at the top of your list of places to consider establishing residency and, perhaps, gaining citizenship.

Copyright (c) 2013 by The Nestmann Group, Ltd.

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Immediately upon graduation from law school in 1996, Dr. Gabriela Kleeber started working in a law firm specializing in Austrian immigration law. In 2008, she completed post-graduate studies in Austrian citizenship law. Dr. Kleeber specializes in immigration and citizenship matters in Austria and throughout the European Union. She also operates the Vienna representative office for The Nestmann Group, Ltd. and can assist qualified applicants in obtaining legal residence in Austria.

The Nestmann Group, Ltd.

c/o AVENTA Consulting Services Ltd.

Representative Office

Hertha Firnbergstrasse 9/311

1100 Vienna, Austria

Tel.: +(43) 1 587 57 95 60

Fax: +(43) 1 587 57 95 26

E-mail: drkleeber [at] nestmann.com

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