Company Registration
3 Week
Bank Account Opening
4 Weeks
Local Director?
Yes
Travel Required?
No
Register Your Company in Iceland with Tax Partners
Registering a company in Iceland is easy when you have Tax Partners by your side. With our deep expertise in company incorporation, we’ll ensure your business is up and running smoothly, allowing you to focus on growing your operations.
Our team guarantees a streamlined process and will have your company operational within 7 weeks.
Our Service Package Includes
Company registration with the Icelandic Companies Registry
Provision of nominee director services
Local company secretary and registered address
Corporate bank account opening services
Annual filing and tax services
How Long Does It Take to Register a Company in Iceland?
At Tax Partners, we complete your Iceland company registration within 3 weeks. After receiving the necessary KYC documents from the directors and shareholders, we will reserve your preferred company name with the Icelandic Companies House.
You won’t need to travel to Iceland during this process. Once your company is registered, you will receive:
Certificate of Incorporation
Memorandum & Articles of Association
Register of Directors and Shareholders
Within 4 weeks, we will open a corporate bank account with a local or internationally reputable bank, and your company will be ready to operate.
Benefits of Registering a Company in Iceland
Strategic Location: Situated between Europe and North America, with excellent connectivity via Keflavik Airport.
Favorable Business Environment: Low corporate tax rates, low cost of operations, and access to renewable energy.
Growing Innovation: Iceland’s tech and biotech industries, including IT, gaming, and aquaculture, are expanding rapidly.
Low Corporate Tax: A 20% corporate tax, one of the lowest in Europe, makes Iceland an attractive business hub.
World's Most Peaceful Country: Ranked 1st out of 162 in the Global Peace Index, Iceland is a politically stable environment for investment.
Can a Foreigner Register a Company in Iceland?
Yes, foreign investors can register a company in Iceland. The only requirements are:
At least one director (non-resident allowed)
One shareholder (non-resident allowed)
A registered office address in Iceland
Tax Partners will guide you through every step and ensure that your company registration is in full compliance with Icelandic law.
Types of Business Entities in Iceland
Sole Proprietorship: Operated by a single individual, with unlimited liability. Ideal for small businesses with low risk.
Limited Liability Company (Einkahlutafélög, ehf.): The most common business structure for foreign investors, offering limited liability to shareholders. Minimum share capital required: ISK 500,000.
Public Limited Company (Hlutafélög, hf.): For larger businesses, requiring a minimum share capital of ISK 4,000,000. Requires two or more shareholders and a board of directors.
Partnership: Simple legal structure where two or more people share responsibility. The liability for all partners is unlimited.
Limited Partnership (LP): Similar to a partnership but includes general partners with unlimited liability and limited partners with liability limited to their investment.
Branch Office: A commercial presence of a foreign company, required to register for tax purposes in Iceland.
Representative Office: Non-commercial, often used for marketing and promotional activities.
How to Register a Company in Iceland
1. Choose the Right Business Structure: We’ll help you choose the most suitable company structure based on your business needs and long-term goals.
2. Meet Registration Requirements: You’ll need at least one local resident director and shareholder, along with the required documentation:
Articles of Incorporation
Business Plan
Company Constitution
3. Reserve Your Company Name: We’ll conduct a name search and reserve your preferred name with the Icelandic Directorate of Revenue.
4: Submit Documents for Registration: We’ll prepare and submit all necessary documents, including the Articles of Incorporation, for approval with the Icelandic Companies Registry.
5. Open Corporate Bank Account: We’ll help you open a corporate bank account to deposit the required share capital.
6. Apply for a Business License: For certain business types, we’ll help you apply for any required licenses.
7. Tax Registration: We’ll ensure your company is registered with Iceland Revenue and Customs for VAT and tax purposes.
Accounting and Tax Obligations in Iceland
Corporate Tax: 20% income tax on profits. Non-resident companies are taxed only on income derived from Iceland.
VAT: 24% standard VAT rate, with some exemptions.
Withholding Tax: 20% on dividends, interests, and royalties.
Personal Tax: Progressive tax rates between 37% and 46%.
Annual Filing: Companies must file tax returns annually.
Why Register a Company in Iceland?
Political Stability: Iceland offers a stable, transparent government and low levels of corruption.
Economic Growth: A robust economy with growth in tourism, fisheries, and emerging sectors like technology and biotech.
Low Tax Rates: Iceland offers one of the lowest corporate tax rates in Europe.
Environment: Iceland has a strong commitment to sustainable practices, making it ideal for green businesses.
Contact Tax Partners to Register Your Company in Iceland
Let Tax Partners handle your Iceland company registration and provide you with comprehensive support for your international business endeavors.
Contact us today, and we’ll guide you through the entire process.