Iceland Gazettes Law Amending Various Tax Laws Under 2022 Budget

The Icelandic Official Gazette Dec. 30, 2021, published Law No. 131/2021, amending various tax laws under the 2022 budget. The law includes measures: 1) increasing the carbon tax rate by 0.3 percent for gas and diesel oil; 2) reducing the excise tax rates for alcohol and tobacco products; 3) increasing the excise tax rate by 0.75 percent for fuels; 4) increasing the income tax threshold to 1 million Icelandic kronur (US$7,657) from 500,000 kronur (US$3,828); 5) setting a special holiday income limit to 2.4 million kronur (US$18,377); 6) revising the assessment of productivity growth until the 2027 withholding tax year; ...