Iceland
Vat Registration Thresholds No threshold; mandatory registration for all businesses performing taxable supplies.
Vat Rates Standard rate of 24%, with reduced rates for food and services (e.g., 11% for food).
Vat Registration Process Businesses register with the Icelandic Tax Administration, usually done online via the tax portal.
Taxable Transactions Sale of goods and services, including services from outside Iceland (e.g., digital services).
Registration Exceptions Certain small businesses or start-ups under a specific threshold may be exempt.
Vat Filing Frequency Monthly VAT returns required for businesses with larger turnover; small businesses can file quarterly.
Intra Community Transactions Iceland applies VAT for goods and services sold within the EU and to EU citizens, as part of the EEA agreement.
Exemption Schemes No VAT exemption for small businesses; mandatory registration is required for all taxable supplies.