More Tourists to Iceland, Less Revenue Skip to content

More Tourists to Iceland, Less Revenue

By Iceland Review

Revenue from the tourism industry in Iceland has decreased despite the increase in visitors to Iceland, Minister of Finance Bjarni Benediktsson said at Alþingi, the parliament, on Thursday.

Vigdís Hauksdóttir, chair of the parliament’s finance committee, said that the Valued Added Tax (VAT) on the tourism industry needs to be raised so that it is in line with other industries in Iceland. The tax rate is currently significantly lower than for other industries.

Vigdís added that she would like to see a small fee charged for every tourist visiting Iceland, similar to the U.S. system. Vigdís also said that she disliked the idea of a nature pass, arguing that it would be a very complicated system set up, reports.

Sign up for our weekly newsletter

Get news from Iceland, photos, and in-depth stories delivered to your inbox every week!

* indicates required

Subscribe to Iceland Review

In-depth stories and high-quality photography showcasing life in Iceland!