Icelandic PM Halves Tax Bill Between Years Skip to content

Icelandic PM Halves Tax Bill Between Years

By Iceland Review

Sigumundur Davíð Gunnlaugsson, Prime Minister of Iceland, paid roughly half as much tax and duties last year than in 2013.

The main reason for the massive reduction is that the government has repealed the wealth tax.

In 2014 Sigmundur Davíð paid the treasury ISK 8 million (EUR 54,113/USD 59,759) in tax, compared to ISK 18.1 million (EUR 122,430/USD 135,206) in 2013.

Wealth tax was paid only by individuals with net assets worth over ISK 75 million (EUR 507,305/USD 560,245), and couples with assets over ISK 100 million; such as Sigmundur Davíð and his wife.

Austurfrétt first noticed the Prime Minister’s changing tax fortunes when going through tax return records from Fljótsdalshérað in East Iceland, where Sigmundur Davíð has his legal address.

According to his tax record, Sigmundur Davíð paid ISK 2.76 million in local government tax, ISK 5.12 million in income tax and ISK 7.8 million in wealth tax, which has now been repealed.

The wealth tax was imposed during the time of the previous left-wing government and was always controversial.

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