Nearly 2,200 Icelanders are currently living solely off their investments, according to figures prepared by the Internal Revenue Directorate for daily Morgunbladid. Over 6,600 of those who filed tax returns, or 4 percent of the total, had higher earnings from capital gains than from regular earned income last year, as reported by RÚV online today.
Capital gains tax in Iceland is 10 percent and part of the personal tax allowance may be claimed against it. Taxes on regular earnings are 37 percent, and the full personal tax allowance may be claimed against it.
