All car owners in Iceland must pay a tax on their car, known as ‘vehicle tax’.

  • Vehicle tax is paid twice a year and is collected by customs directorates.
  • If vehicle tax is not paid on time, the police and inspection authorities are authorised to remove number plates from the vehicle concerned.

Information on vehicle tax and calculator on the Directorate of Internal Revenue (RSK) website.

Information on the duty-free import of vehicles on the Directorate of Customs website.

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