Austria
Austria Red-White-Red Card Overview
Austria’s Red-White-Red Card for Start-up Founders gives third-country nationals the right to establish and operate an innovative company in Austria, granting fixed-term settlement and self-employment rights for an initial period of two years.
The program sits within Austria’s points-based Red-White-Red Card system and targets founders whose ventures introduce genuinely new products, services, processes, or technologies to the market.
Applicants must score a minimum of 50 points across qualification, work experience, language skills, and bonus criteria, and demonstrate a minimum company capital of €30,000 (approx. US$35,400) with at least a 50% personal equity stake.
The main applicant can include a spouse or partner and dependent children through family reunification, provided the applicant demonstrates sufficient accommodation and income to support the family unit.
Eligibility Requirements
All applicants must meet the following base conditions and score at least 50 points from the criteria table below.
Base Conditions
- Establishment of a company in Austria to develop and launch innovative products, services, processing methods, or technologies
- A coherent and detailed business plan for establishing and operating the company
- Personal and controlling influence over the management of the newly established company
- Minimum company capital of €30,000 (approx. US$35,400) with the applicant holding at least a 50% equity stake
- Valid travel document, health insurance covering all risks, and proof of the above conditions
Points Criteria
A minimum of 50 points is required from a maximum of 85. Points are awarded as follows:
Qualification (maximum 30 points):
- Completed vocational education, training, or demonstrated special know-how in the prospective occupation: 20 points
- Completed programme of at least three years at a tertiary education institution: 20 points
- Completed diploma, Bachelor’s, Master’s, or Doctoral programme, or vocational training completed in Austria: 30 points
Work experience (maximum 10 points):
- Relevant work experience: 1 point per half-year
Language skills (maximum 15 points):
- German at A2 level: 5 points
- German at B1 or B2 level: 10 points
- German at C1 or C2 level: 15 points
- English at B2 level: 10 points
- French, Spanish, Bosnian, Croatian, or Serbian at B1 level: 5 points each
Bonus points (maximum 30 points):
- Evidence of additional investment capital of at least €50,000 (approx. US$59,000): 10 points
- Admission to an Austrian business incubator or funding by an Austrian start-up funding agency: 10 points
- Age up to 35 years at time of application: 10 points
Route to Citizenship
After two years on the Red-White-Red Card for Start-up Founders, holders who meet all legal requirements receive a Red-White-Red Card Plus, valid for three years and granting unlimited labour market access. After five years of continuous legal residence in Austria on a settlement permit, holders become eligible to apply for permanent residence.
After ten years of continuous and lawful residence in Austria, of which at least five years must have been on a settlement permit, holders become eligible to apply for Austrian citizenship by naturalization.
Naturalization requires German language proficiency at B1 level, a passing result on a civics test covering Austrian history, culture, and democratic values, proof of financial self-sufficiency, a clean criminal record, and a positive attitude toward the Republic of Austria.
The residence requirement may be reduced to six years for applicants who demonstrate enhanced personal and professional integration, including German proficiency at B2 level.
Naturalization is discretionary and not automatic upon meeting all formal criteria. Austria does not permit dual nationality in standard naturalization cases, with limited exceptions for those who acquire dual citizenship at birth or under restitution provisions.
Mobility and Taxation
Mobility
The Red-White-Red Card grants the right to live, work on a self-employed basis, and operate a company in Austria for the duration of the permit.
As Austria is a Schengen Area member, permit holders can travel freely across all Schengen member states for short stays of up to 90 days in any 180-day period.
After transitioning to the Red-White-Red Card Plus, holders gain unrestricted access to the Austrian labour market, including the right to take up employment with any employer in addition to self-employment.
Upon acquiring Austrian citizenship, holders become EU citizens and gain full freedom of movement across all 27 EU member states and the EEA countries of Iceland, Norway, and Liechtenstein, as well as Switzerland.
Austrian citizens can access approximately 188 destinations visa-free or visa-on-arrival, ranking among the top five passports globally, including the United States, the United Kingdom, Japan, Australia, Canada, and all EU and Schengen member states.
Tax
Austria taxes residents on worldwide income. Start-up Founders who establish tax residency in Austria by registering a primary residence are subject to Austrian income tax on all income from all sources, at progressive rates from 0% to 55% for the highest income bracket.
Corporate income tax applies at 23% on profits generated by the Austrian company. Austria has no wealth tax and no inheritance tax between direct family members. Capital gains on the sale of shares held for more than one year are taxed at a flat rate of 27.5%.
Austria has double taxation agreements with over 90 countries, which may reduce withholding taxes on foreign income.
The Red-White-Red Card does not carry any special flat-tax or non-domicile regime; all tax obligations are determined by standard Austrian tax law.
How to Apply
The program is administered by the competent residence authority in Austria, either the Provincial Governor (Landeshauptmann/Landeshauptfrau), the Regional Administrative Authority (Bezirkshauptmannschaft), or the Local Administrative Authority (Magistrat), depending on the applicant’s place of registration, under the Settlement and Residence Act.
The process typically runs as follows.
- Step 1: Use the official points calculator at the Federal Ministry of the Interior to confirm that the minimum 50-point threshold is met; prepare the business plan demonstrating the innovative character of the venture and evidence of minimum company capital of €30,000 (approx. US$35,400) with at least 50% equity.
- Step 2: Compile all required documents, including a valid passport, recent photograph, health insurance evidence, educational and professional qualification certificates, language test certificates no older than five years, evidence of investment capital, and if applicable a contract with an Austrian business incubator or confirmation of start-up funding.
- Step 3: If applying from abroad, submit the application in person at the competent Austrian embassy or consulate in the country of residence; if already legally present in Austria, submit directly to the competent residence authority found via the Austrian Federal Government’s authority finder; pay the application fee of €218.
- Step 4: The residence authority refers the application to the Public Employment Service Austria, which issues a macroeconomic expertise within three weeks assessing the benefit of the planned venture, including the transfer of investment capital and potential for job creation.
- Step 5: Upon a positive AMS opinion and confirmation that all general requirements are met, the residence authority issues the Red-White-Red Card; non-EEA nationals who applied abroad must obtain a Type D visa to enter Austria and collect the permit from the residence authority in person.
- Step 6: Operate the company and maintain all qualifying conditions throughout the two-year period; apply for the Red-White-Red Card Plus before expiry of the initial card, providing evidence of continued compliance.
