Former PM of Iceland Posts Tax Information Skip to content

Former PM of Iceland Posts Tax Information

By Iceland Review

This morning, former Prime Minister Sigmundur Davíð Gunnlaugsson posted information on Facebook regarding his and his wife Anna Sigurlaug Pálsdóttir’s tax payments since 2007. The information posted shows that the couple paid a total of ISK 289 million in taxes (USD 2.3 million, EUR 2 million) between 2007 and 2015. During that period, thy paid ISK 85 million (USD 690,000, EUR 606,000) in so-called affluence tax and ISK 174 million (USD 1.4 million, EUR 1.2 million) in capital gains tax.

In his post, Sigmundur states, “Anna’s foreign company [Wintris] has never been concealed and its assets have never been in a tax haven.” He maintains that neither the company nor its country of registration was used to reduce the tax burden. Furthermore, he writes that the company’s assets were registered in his wife’s name since a year before the so-called CFC rules went into effect. “The cautious route was taken to pay taxes on all assets individually, instead of taking advantage of the company and regarding it as a company in business (and filing a CFC return) has resulted in higher taxes to the state than there would have been had the business/CFC route been taken.”

Sigmundur states that his wife has not profited from keeping her assets abroad.

Sigmundur resigned from his post as prime minister in early April, following revelations that he had connections to the company Wintris on Tortola. The revelations came in the wake of the Panama Papers, a leak of more than 11 million documents from a Panama law firm, which connected numerous politicians and officials worldwide to offshore companies. Wintris was found to have registered a claim of ISK 500 million (USD 4 million, EUR 3.6 million) against the assets of the failed Icelandic banks.

In response to Sigmundur’s post, Stundin points out the lack of information regarding Sigmundur’s own taxes 2007-2009, while he himself was a registered owner of the company Wintris. The question, Stundin writes, remains unanswered why the company was registered on Tortola.

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