A Branch in Austria: The Branch Office for Foreign Companies

Last updated: October 2026 · Official sources linked

Many entrepreneurs from abroad ask us: do I need a GmbH straight away? Often the answer is: not necessarily. A branch office is a lean way in. Your company stays the same. It simply gains a location in Austria.

Who is this route for?

A branch office suits companies that are entered in a commercial register in their home country. A comparable register is sufficient. The legal form does not have to exist in Austria. The WKO cites the German UG and the English Ltd as examples.

Branch office or subsidiary GmbH?

	Branch office	Subsidiary GmbH
Separate legal personality	no	yes
Minimum capital	none	€10,000 (WKO)
Notarial deed (Notariatsakt)	not necessarily required; certification of signatures	yes
Separate balance sheet	no, but tax records are still required	yes
Who is legally responsible?	the foreign company	the GmbH
Closure	usually simpler	liquidation

The branch is not a legal entity in its own right. The foreign company remains the legal entity behind it. It can be sued at the branch’s location if the claim arises from the branch’s business.

Help with the decision: A branch is the better fit if you want to start quickly and with few formalities. A subsidiary GmbH is the better fit if liability in Austria is to be kept separate. Have this choice reviewed from a tax perspective.

Five questions before you decide:

1. Is your company based in the EU or the EEA? If not, you need a permanent representative in Austria.
2. Should the parent company be directly liable for the business in Austria? If not, consider a subsidiary GmbH.
3. Do you already have an office or a lease? Without an actual establishment, there is no entry in the register.
4. Is your trade regulated in Austria? Then you need a person with a certificate of competence (Befähigungsnachweis).
5. Do you want to send staff from the group? Then plan the ICT applications early.

Requirements

1. Entry in the home register of the foreign company.
2. Actual establishment of the branch. Premises and an organisation must exist, for example an office with a lease.
3. Permanent representative if the company is based outside the EU and the EEA. This person is habitually resident in Austria and can act with legally binding effect for the branch.
4. Proof of business activity in the home country, for companies outside the EU.
5. Trade licence (Gewerbeberechtigung) at the location, if the branch carries on a trade. For this, foreign companies need a registered branch office or a subsidiary.
6. Managing director under trade law (gewerberechtlicher Geschäftsführer) resident in Austria, the EEA or Switzerland.

Process, step by step

No.	What you do	Where
1	Secure an office or location, for example with a lease	on site
2	Pass a resolution of the parent company to set up the branch	in the home country
3	Obtain documents and have them certified and translated	home register, notary, court interpreter
4	Submit the application with certified signatures	Companies Register court (Firmenbuchgericht) at the location
5	Register the trade, appoint the managing director under trade law	GISA or trade authority
6	Notify the tax office, obtain a tax number and VAT ID (UID)	Austrian Tax Office (Finanzamt Österreich)
7	Register employees before they start work	health insurance fund, usually via ELDA

Company name: It must essentially contain the name of the foreign company. An addition such as “Niederlassung Wien” (Vienna branch) is possible and recommended. The name must not be open to confusion with other companies in the same district.

Documents

Checklist for the Companies Register (Firmenbuch) according to the WKO and the USP:

• application with the signatures of the authorised representatives certified by a notary or a court
• certified extract from the register in the home country, with a certified translation
• articles of association or statutes, certified and translated by court interpreters
• resolution to set up the branch and description of its activities
• proof of actual establishment, for example a lease
• details of the branch’s name, location and address for service
• specimen signatures (Musterzeichnungen) of the corporate bodies and the permanent representative
• proof of regular business activity (companies outside the EU)
• in some cases, a tax clearance certificate (Unbedenklichkeitsbescheinigung) from the tax office

For the trade registration (Gewerbeanmeldung), additionally: proof regarding the managing director under trade law. If this person lives abroad or has lived in Austria for less than five years, a criminal record certificate from the home country is required. It must be no older than three months.

Tip: Ask early which documents need an apostille. Translations and certifications often take longer than the procedure itself.

Costs and duration

Item	Amount
Minimum capital	none
Court fees, Companies Register	filing fee and registration fee; no official amount stated
Trade registration	free of charge
Certifications, apostilles, translations	depending on the country of origin
Tax advice	by agreement

Deadlines: You may carry on the trade from the day you register it. An appeal against a decision of the trade authority is possible within four weeks. You report the start of business and the location to the tax office no later than one month after starting.

After the entry: checklist

• Taxes: As a rule, the branch is liable to tax in Austria. A double taxation agreement governs how profits are allocated. The yardstick is arm’s-length prices (USP).
• VAT: You need a tax number and a VAT identification number (UID-Nummer). You file VAT returns monthly or quarterly, plus an annual return. Everything runs through FinanzOnline.
• Accounting: The branch does not need its own balance sheet. At most, the parent company’s financial statements are published in the Companies Register (WKO). Keeping tax records remains mandatory.
• Social insurance: A commercial activity triggers insurance under the GSVG. Register employees before they start work.
• Public presence: The location needs an external business sign.

Staff from the group (ICT)

For group employees from third countries, there is the ICT residence permit (Aufenthaltsbewilligung ICT):

• managers and specialists: up to 3 years, after at least 9 months with the group
• trainees: up to 1 year, after at least 6 months with the group
• Apply at the Austrian embassy in the home country, or the branch files the application with the residence authority in Austria.
• An employer’s declaration (Arbeitgebererklärung) is part of the application.

Competent authority

• Companies Register: the Regional Court (Landesgericht) at the branch’s location. In Vienna, this is the Commercial Court Vienna (Handelsgericht Wien); in Graz, the Regional Court for Civil Matters (Landesgericht für Zivilrechtssachen) (Ministry of Justice).
• Trade licence: In Vienna, the Municipal District Office (Magistratisches Bezirksamt); elsewhere, the municipal authority (Magistrat) or the district authority (Bezirkshauptmannschaft). Online via GISA.
• Taxes: Austrian Tax Office, via FinanzOnline.
• Initial advice for investors: ABA – Invest in Austria. According to ADVANTAGE AUSTRIA, the first meeting is free of charge and confidential.

Common pitfalls

• Registration before establishment. The Companies Register only enters what actually exists. A letterbox is not enough.
• No permanent representative. For companies outside the EU and the EEA, one is mandatory. This person’s right of residence must be settled.
• Translations too late. Plan apostilles and court interpreters early.
• Underestimating liability. The foreign company is liable for the branch.
• A different trade from the parent company. For this, you need a separate trade licence.

Related routes

• Founding a GmbH or FlexCo as a foreigner
• Investing in Austria without relocating
• Red-White-Red Card
• Self-employed Key Worker

FAQ

What is the difference between a branch office and a subsidiary? A branch office is part of the foreign company. It has no legal personality of its own. A subsidiary GmbH is a separate company with a minimum capital of €10,000.

Does a branch office need share capital? No. According to the WKO, no minimum capital is required.

Does the head of the branch have to live in Austria? Companies outside the EU and the EEA need a permanent representative with habitual residence in Austria. The managing director under trade law must live in Austria, the EEA or Switzerland.

Does a branch office have to pay tax in Austria? As a rule, yes, on the branch’s profit. The applicable double taxation agreement governs the allocation.

Can I send employees from abroad to the branch? Yes. For group employees from third countries, there is the ICT residence permit.

When may the branch start operating? The entry requires the branch to actually exist. You may carry on the trade from the day you register it.

Sources and legal basis

• USP: Branch offices (as of 2025-01-01)
• WKO: Branch offices of foreign companies (as of 2026-10-06)
• WKO: Trade licences for third-country nationals (as of 2026-09-21)
• USP: Managing director under trade law (as of 2026-03-20)
• USP: Intra-corporate transfer (ICT) (as of 2025-01-01)
• USP: VAT identification number
• BMWET: Trade registration; Ministry of Justice: Companies Register
• ADVANTAGE AUSTRIA (WKO): Company formation
• Laws according to the USP: Business Code (Unternehmensgesetzbuch) (§ 12), Companies Register Act (Firmenbuchgesetz) (§ 3), Trade Regulation Act 1994 (Gewerbeordnung) (§§ 39, 46, 345), GSVG (§§ 6, 18), Private International Law Act (IPR-Gesetz) (§§ 9, 10). Also the NAG and AuslBG (ICT), Directive 2014/66/EU. Full text in the RIS.

General information based on official sources. Leading Viennese law and tax firms review your individual case, and we guide you personally all the way to your goal.