Iceland: Guidance on lodging tax, infrastructure charges for cruise ships

Operators required to submit electronic reports within seven days of leaving Iceland

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July 22, 2025

Icelandic Revenue and Customs published guidance on lodging tax and infrastructure charges for cruise ships, requiring operators to submit electronic reports detailing passenger numbers and pay taxes accordingly.

The lodging tax of ISK 400 applies to domestic voyages per 24-hour period, while an ISK 2,500 infrastructure charge applies to international voyages when docked in Iceland.

Reports are due seven days after leaving Iceland's customs territory, with exceptions for emergencies and crew members.


For more information, contact a KPMG tax professional in Iceland:

Soffía Eydís Björgvinsdóttir | sbjorgvinsdottir@kpmg.is

Tina Paic | tinapaic@kpmg.is

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