Iceland VAT (VSK) rates 2026 and calculator

At 24%, a price of ISK 10,000 before VAT becomes ISK 12,400, of which ISK 2,400 is VAT.

The other way round, ISK 10,000 including VAT is ISK 8,065 before it — divide by 1.24 rather than taking 24% off, which is the usual mistake.

1 of the 16 non-EU European countries on this site charge more.

Under WooCommerce → Settings → Tax → Standard rates, add a row with the country code IS and a rate of 24, leaving the state and postcode empty. Reduced rates go in their own tax class, each with a IS row, and the products that qualify are assigned to it.

If one product you sell is really two things taxed at different rates — a meal deal with food and drink in it, a gift box with a book — a single tax class cannot be right for it. SplitVAT divides that product's price across the tax classes you already have, so the order shows each part at its own rate. It is our plugin, and you only need it if your products are like that.

Rates checked on 30 October 2026. Two published rate tables were compared, and every rate they disagreed on — or that had changed since either was written — was checked against the tax authority or a tax adviser’s published guidance. Rates and the goods they apply to change; confirm with the national tax authority before you file.

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