Iceland Capital Gains Tax
Detailed capital gains tax rates and rules for Iceland in 2026.
Capital GainsISK
Capital gains in Iceland are taxed at 22% for individuals. This applies to gains from shares, bonds, real estate (other than primary residence), and other capital assets. The rate applies uniformly without distinction between short-term and long-term holdings.
Standard Rate
22%
Exemptions
- Principal residence gains are exempt if owned and resided in for at least 2 years
- Gains from sale of shares in closely held companies may benefit from reduced rates under certain conditions
How Iceland Capital Gains compares
Iceland’s capital gains tax rate of 22% is the 38th highest of 203 countries TaxAtlas tracks, above the global average of 13.8% and Europe’s regional average of 17.8%.
Iceland
22%
Europe average
17.8%
Global average
13.8%
