Personal tax credit and income tax brackets
On this page
Personal tax credit amounts
Personal tax credit 2026 is 72.492 ISK per month, or 869.898 ISK for the entire year.
On Skatturinn's service portal, you can see how much of your personal tax credit has been used. It is best to check this information after the 17th of each month, once all information has been received.
Maximum monthly usege
In the year 2026 the personal tax credit is 72.492 ISK per month:
Month | Number of months | Maximum accumulated amount |
|---|---|---|
January | 1 | 72.492 ISK |
February | 2 | 144.984 ISK |
March | 3 | 217.476 ISK |
April | 4 | 289.968 ISK |
May | 5 | 362.460 ISK |
June | 6 | 434.952 ISK |
July | 7 | 507.444 ISK |
August | 8 | 579.936 ISK |
September | 9 | 652.428 ISK |
October | 10 | 724.920 ISK |
November | 11 | 797.412 ISK |
December | 12 | 869.898 ISK |
To calculate the accumulated amount, the personal tax credit already used is deducted from the permitted maximum amount. The difference is the accumulated personal tax credit, which may be used to reduce tax withheld from wages and pensions.
Please note that individuals who have lived abroad for part of the year or who have income from abroad have a limited entitlement to the personal tax credit in Iceland.
See further information on personal tax credit when moving to Iceland, and on personal tax credit and taxation of individuals living abroad.
Personal tax credit for various periods
When calculating the personal tax credit for different pay periods, the following applies for the 2026 figures:
Period | Personal tax credit | Calculation |
|---|---|---|
Entire year | 869.898 ISK | [ Entire year ] |
One month | 72.492 ISK | [ Entire year ] / 12 |
Half a month | 36.246 ISK | [ Entire year ] / 24 |
14 days | 33.366 ISK | [ Entire year ] * 14 / 365 |
One week | 16.683 ISK | [ Entire year ] * 7 / 365 |
One day | 2.383 ISK | [ Entire year ] / 365 |
Other periods | Based on number of days | [ Entire year ] * days / 365 |
Personal tax credit for previous years
Year | Personal tax credit per month | Personal tax credit per year |
|---|---|---|
2025 | 68.691 ISK | 824.288 ISK |
2024 | 64.926 ISK | 779.112 ISK |
2023 | 59.665 ISK | 715.981 ISK |
2022 | 53.916 ISK | 646.993 ISK |
2021 | 50.792 ISK | 609.509 ISK |
2020 | 54.628 ISK | 655.538 ISK |
2019 | 56.447 ISK | 677.358 ISK |
2018 | 53.895 ISK | 646.739 ISK |
Service provider
Skatturinn - Iceland Revenue and Customs