Iceland: Parliament approves the BEPS Actions 4, 7 and 13
Parliament approved Bill No. 787 (the Bill) implementing BEPS Actions 4, 7 and 13 on 13 October 2016. Details of the Bill are given below. Bill No. 787 adopted by the parliament proposes a fixed ratio rule, limiting corporate tax deductions for net
See MoreIceland: New deadlines for filing tax returns
Tax procedures of tax return filling for legal entities has been amended by Law No. 124/2015 as adopted by the parliament on 28 December 2015. The deadline for filing tax returns is 31 May for legal entities with turnover exceeding ISK 600 million
See MoreIceland Modifies Transfer Pricing Rules
Iceland's Parliament has approved a Bill on 15 June 2015 amending article 57 of the Icelandic Income Tax Act No. 90/2003 setting out transfer pricing rules. According to the Bill entities with turnover or total assets exceeding ISK 1 billion need
See MoreIceland: IMF makes recommendations on fiscal policy
The International Monetary Fund (IMF) has issued a report following a visit by staff to Iceland for consultations under Article IV of the IMF’s articles of agreement. A selected issues paper has also been published highlighting important themes
See MoreIceland: Final regulation on transfer pricing documentation
Accordance with the Regulation No. 1180/2014 the Ministry of Finance issued the final regulation on transfer pricing on 16 December 2014, which entered into force on 1 January 2015. The final regulation clarifies that the transfer pricing rules and
See MoreCyprus: Double Tax Agreement With Iceland Come Into Force
The Income Tax Treaty between Cyprus and Iceland entered into force on 23 December 2014 and its provisions apply from 1 January 2015. The treaty was signed on 13 November 2014. Under the treaty, withholding tax on dividend will be 5 % if the
See MoreCyprus and Iceland sign Double Taxation Agreement
The Republic of Cyprus and the Government of Iceland signed a Double Taxation Avoidance Agreement, on 13 November 2014, concerning income and capital. The agreement is based on the OECD Model Convention. By signing this agreement both countries aim
See MoreEFTA and Bosnia-Herzegovina: FTA enters into force
The multilateral free trade agreement (FTA) between Bosnia and Herzegovina and EFTA (the European Free Trade Association) states- Iceland, Liechtenstein, Norway and Switzerland signed on 24 June 2013 and the agreement will enter into force for
See MoreIceland: Released draft regulation on transfer pricing documentation
The Icelandic Ministry of Finance released the draft regulation on transfer pricing on 13 October 2014. According to the draft regulation outlining detailed transfer pricing rules was released on 13 October 2014 and when finalized this will apply
See MoreIceland-Albania: Signed an income tax treaty
Iceland and Albania signed an income tax treaty on 26 September 2014. Further details will be reported
See MoreHong Kong signed exchange of information agreement with Iceland
The Government of the Hong Kong Special Administrative Region of the People’s Republic of China and the Government of Iceland signed an agreement regarding exchange of information relating to tax matters on 22 August 2014. Under the agreement,
See MoreFree trade agreement between EFTA and Central American states set to enter into force
The free trade agreement between EFTA states (European Free Trade Association) - Iceland, Liechtenstein, Norway and Switzerland and the Central American States of Panama and Costa Rica was signed on 24 June 2013 and this agreement will become
See MoreIceland-United Kingdom: Ratified the tax treaty
The income tax treaty between Iceland and United Kingdom (2013) was ratified, (Double taxation relief and International Tax Enforcement of Iceland) by United Kingdom on 16 July 2014.After sanctioned by United Kingdom this new treaty will replace the
See MoreSwitzerland-Iceland: Signed Double Taxation Agreement
Iceland and Switzerland signed double tax treaty on 10 July 2014 and after July 2014; this new treaty will replace the 1988 treaty between Switzerland and
See MoreIceland enacted its own transfer pricing legislation
Iceland has recently enacted its own transfer pricing legislation, which became effective from January 1, 2014. The transfer pricing rules are now regulated by Article 57 of Act No. 90/2003 on Income Tax based on the arm's length standard. There
See MoreTIEA between Costa Rica and Iceland published in gazette
The Costa Rica – Iceland TIEA, 2011 (Law No 9196) was published in the Official Gazette (Gaceta Digital de la Imprenta Nacional) No. 20 of Costa Rica on 29 January 2014. This completes the ratification process on the side of Costa
See MoreUnited Kingdom and Iceland sign a DTA
The United Kingdom and Iceland signed a double taxation agreement (DTA) on December 17,
See MoreProtocol to treaty between Iceland and Poland enters into force
The amending treaty protocol signed on 16 May 2012, to the Iceland and Poland Income and Capital Tax Treaty (1998) entered into force on 23 August 2013, . The protocol generally applies from 1 January
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