Government’s Plans for Stamp Duty Criticized Skip to content

Government’s Plans for Stamp Duty Criticized

Managing director of the Federation of Icelandic Industries (FI) Jón Steindór Valdimarsson has issued criticism of the government’s plans to abolish the stamp duty for people buying their first apartment and wants it to be abolished for everyone.

Stamp duty, or stimpilgjald, is a fee homeowners pay to the state when they sign a contract for a new apartment, the amount depending on the price of the apartment.

The Ministry of Finance is currently working on a bill on the abolishment of stamp duty for young homeowners, which is expected to be submitted to the Althingi parliament next week. Valdimarsson told Morgunbladid this change will cause confusion.

“When are people buying their first apartments and when not? What about a couple who have recently begun dating and one of them has owned an apartment before and the other not?” Valdimarsson said, adding the only right thing to do is to abolish the stamp duty completely.

Click here to read more about the government’s plans.

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