Inheritance

Source: Inheritance Act (Erfðalög, No. 8/1962, as amended by Act No. 20/1991 and subsequent amendments)

Written in plain language for general understanding. This is educational content, not legal advice. Based on Icelandic Acts of the Althingi, statutory instruments, and official guidance.

Icelandic National Law

What is this right?

Iceland has a mandatory forced heirship system — certain heirs cannot be disinherited:

  • Forced heirs: Spouse and children (including legitimate, illegitimate, and adopted children equally).
  • A testator may freely dispose of only 1/3 of their estate by will if they have a spouse or descendants.
  • Children's forced share: At minimum half of their intestate share as protected inheritance.

Intestate succession (without a will):

  • With children: surviving spouse inherits 1/3; children collectively inherit 2/3 (divided equally).
  • Without children: surviving spouse inherits the entire estate.

Will requirements: Written, signed by the testator, witnessed by 2 witnesses who are not beneficiaries. Testator must be age 18+ and mentally competent.

No inheritance tax: Iceland imposes no inheritance or estate tax.

When does it apply?

  • A family member has passed away and you are an heir.
  • You wish to make a will to distribute your estate.

What should you do?

  • Contact the District Commissioner (Sýslumaður) to initiate probate proceedings.
  • If you are a forced heir and have been excluded from a will, consult a lawyer — the forced heirship rules protect your minimum share.
  • When making a will, consult a lawyer to ensure it complies with the Inheritance Act requirements.

What should you NOT do?

  • Don't assume a will can exclude forced heirs — forced heirship is mandatory under Icelandic law.
  • Don't delay probate — contact the District Commissioner promptly after a death.

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