• Government Increases Cost of Residence Permits; Retains Work Restrictions for Croatians
  • July 17, 2013
  • Law Firm: Fragomen Del Rey Bernsen Loewy LLP - New York Office
  • Luxembourg’s one-time tax on residence permits for workers increased to EUR 50, up from EUR 30 on July 1, 2013. To work in Luxembourg, third-country nationals first obtain a paper-format temporary work authorization before travel. After arrival, they must convert the temporary document into a plastic, credit card format residence permit for workers, at which point they pay the tax.

    Work Requirements Retained for Croatians

    The government of Luxembourg will treat nationals of Croatia - the newest EU member state - as third-country nationals with regard to work authorization requirements. However, Croatian nationals will be treated as EU nationals and become work permit exempt after working in Luxembourg for at least one year. Croatian nationals may also be work permit exempt in other limited circumstances, such as if they are highly skilled workers, researchers, trainees or students, are already working in Luxembourg, or are family members of an EU citizen.

    Though Luxembourg is retaining some work restrictions for Croatian nationals, it will treat Croatians as EU citizens with regard to residency rules. Croatians may enter Luxembourg without a visa and reside there for up to three months without completing any formalities. Longer stays require a local registration.

    Luxembourg officials have confirmed to Fragomen that they are closely looking at policies regarding Croatian nationals in surrounding countries, and might abolish work restrictions for Croatians at the beginning of 2014.