From Thursday the coalition wants applicants to face a stand-alone English test and ask them to commit to embracing Australian values.
Some of the new citizenship test questions would canvass issues such as domestic violence, genital mutilation and child marriage.
Prime Minister Malcolm Turnbull and Immigration Minister Peter Dutton held a joint press conference in Canberra to announce the crackdown.
One of the new initiatives was for new arrivals to have a higher English language proficiency.
"You will need to have competent English. That is a vital requirement, not a requirement at the moment," Mr Turnbull said.
"We all know that the key to successful integration into the Australian community, to economic success and every success - social success - in becoming part of the community is being able to speak English."
Mr Turnbull reiterated that the new initiatives were to "make the country stronger".
"What we're doing is strengthening the multicultural society and strengthening the commitment to Australian values," he said.
"This is about strengthening the Australian values which are at the heart of citizenship, of being an Australian citizen."
When pressed about the need citizenship applicants to have a commitment to "Australian values", Mr Turnbull said: "You see are you proud of our Australian values? Are you a proud Australian? You should stand up for it. You should stand up for those values and that's what we're doing."
"To become citizens applicants will need to have been a permanent resident for four years - up from 12 months now," Mr Turnbull added.
"This is defending, reinforcing, Australian values."
Applicants will only be allowed to fail the citizenship test three times - at present, there is no limit to the number of times a person can fail the test.
"Commitment to our values, allegiance to our country, competent English, being here for four years, integration, demonstrating that you have made that commitment, that this is not just an administrative process of achieving some, you know, particular qualification," Mr Turnbull said.
"This is not about administration. This is about allegiance and commitment to Australian values."
Mr Dutton denied they were targeted at a particular religion.
"They're pointed at people who might think that domestic violence is okay. Well it's not," he told the Seven Network ahead of the announcement.
The minister insists 99 per cent of the Muslim community are law-abiding.
"What I want is, frankly, for people to abide by our laws, adopt our values, I want them to send their kids to school, if they're of working age and have an ability to work, I want them working... I want people to be able to become great Australians."
Malcolm Turnbull's citizenship crackdown comes just two days after the prime minister outlined an overhaul of the 457 temporary foreign worker visa system.
"Membership of the Australian family is a privilege and should be afforded to those who support our values, respect our laws and want to work hard by integrating and contributing to an even better Australia," he said.
"We must ensure that our citizenship program is conducted in our national interest."
The government is also pursuing several other citizenship reforms, which will apply to all new applicants, including:
- Applicants must show the steps they have taken to integrate into and contribute to the Australian community (evidence of employment, membership of community organisations, school enrolment for all eligible children);
- The citizenship test will include "new and more meaningful questions" about an applicant's understanding of and commitment to Australia's shared values and responsibilities;
- Applicants who cheat during the citizenship test will automatically fail.
Any conduct inconsistent with Australian values will be considered as part of the citizenship process.
"Criminal activity including family violence or involvement in organised crime is thoroughly inconsistent with Australian values," Mr Turnbull said.
Prospective citizens with a permanent or enduring incapacity, as well as those aged under 16, would be exempted from the English reading, writing and listening test.
The prime minister said five million people had committed to becoming Australian citizens since 1949, helping to secure and enrich the nation.
Wong rejects crackdown
Labor's foreign affairs spokeswoman Penny Wong doesn't understand the need for the changes.
"If English grammar is the test there might be a few members of parliament who might struggle," she told ABC radio.
The existing pledge ensured new citizens committed loyalty to Australia, its people and its laws.
"I think those sentiments are pretty good," Senator Wong said, noting the opposition was yet to see the details.
One Nation leader Pauline Hanson is again taking credit for the government's latest crackdown.
"Good to see the PM is finally acting on the suggestions I made to him about the citizenship test," she tweeted on Thursday.
Earlier in the week, Senator Hanson said while the government might deny it was talking tough on temporary foreign worker visas because of One Nation, "we all know the truth".
"Looks like Malcolm Turnbull has been reading One Nation 2016 campaign flyers for inspiration. Should I get a speech writing credit?" she said.
