Customs Duties or Import dutyA tax charged on certain goods which are brought into a coun... and taxes will be pending and need to be cleared while importing goods into Iceland whether by a private individual or a commercial entity.
The valuation method is CIF.
Below table provide the Duty and Sales taxKnown as VAT (Value Added Tax) in the UK. A tax based on the... for Iceland:
| Duty Rates | Average Duty Rate | Sales Tax(GST) | Threshold on goods |
|---|---|---|---|
| 0% to 76% | 10% | VAT=24%, VAT=VAT%(CIF + duty) | No threshold |
More information on VAT
VAT is a consumption taxTax paid which is based on the price of services or goods, e... levied on all stages of domestic business transactions. VAT is levied on all goods and services, as well as on the imports of goods and services, unless specific exemptions apply.
The following goods and services are subject to a reduced VAT rate of 11%:
- Rental of hotel and guest rooms and other accommodation.
- Transportation of passengers, such as for whale watching, horseback riding, and snowmobile tours.
- The services of travel agencies and tour operators for services used in Iceland.
- Admission fees to spas, saunas, sanatoriums, and health facilities.
- Subscription to radio and television.
- Newspapers, periodicals, and magazines.
- Books, both Icelandic and translated, musical notation as well as their audio recordings. Same applies to compact discs and other similar media as well as electronic media.
- Geothermal hot water, electricity, and fuel oils used for heating houses and swimming pools.
- Food and other consumables for people as detailed in an addendumAn added section of information in a letter or report. to the VAT Act.
- Access to roads and other transport related constructions.
- Compact discs, records, audio cassettes, and other equivalent mediums for music only and not videos. Same applies to electronically published music without video.
- Condoms.
- Reusable cloth diapers and diapers inserts.
- Guiding services.
- Commodity, general commodity and special commodity taxA fee imposed by a government on personal or corporate incom... will be applied.
- Excise duty is charged at specific rates on alcoholic and Tobacco products.
For more information on excise and other duties please refer this website.