Right to Appeal Tax Assessment in Iceland
Reviewed by the Commoner Law Editorial Team. Sourced from Icelandic Acts of the Althingi, statutory instruments, and official guidance. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards
What is this right?
Iceland has a two-tier administrative appeal process for tax disputes:
Step 1 — Internal Review by RSK:
- File a written complaint to the Directorate of Internal Revenue (RSK) within 60 days of the assessment date.
- RSK reviews and issues a ruling.
Step 2 — Appeal to Yfirskattanefnd:
- Appeal RSK's ruling within 3 months from the date of RSK's decision letter.
- Yfirskattanefnd must rule within 6 months of receiving all documents.
- No fees for making an appeal.
- If the ruling favours the taxpayer, Yfirskattanefnd can order reimbursement of appeal expenses and overpaid taxes.
Beyond the administrative appeal, taxpayers have access to two levels of judicial courts.
When does it apply?
- You disagree with your tax assessment issued by RSK.
- You believe RSK has made an error in calculating your tax, applied the wrong rate, or denied a legitimate deduction.
What to Do If You Disagree with Your Tax Assessment from Skatturinn in Iceland
- Act within 60 days — file your complaint to RSK promptly.
- If RSK's ruling is unsatisfactory, appeal to Yfirskattanefnd within the deadline stated in the decision letter.
- Gather supporting documentation — tax returns, receipts, calculations.
What should you NOT do?
- Don't miss the deadlines — the 60-day and 3-month windows are strict.
- Don't stop paying taxes during the appeal — filing an appeal does not postpone payment deadlines or remove late-payment penalties.
Common Questions
How do I appeal a tax assessment in Iceland?
Iceland uses a two-tier administrative process. First, file a written complaint to the Directorate of Internal Revenue (RSK) within 60 days of the assessment date. If RSK's ruling is unsatisfactory, appeal to the Internal Revenue Board (Yfirskattanefnd) within 3 months of RSK's decision letter. Beyond administrative appeals, taxpayers can take the case to two levels of judicial courts.
How long does an Icelandic tax appeal take?
Yfirskattanefnd must rule within 6 months of receiving all documents. There are no fees for making an appeal. If the ruling favours the taxpayer, Yfirskattanefnd can order reimbursement of appeal expenses as well as overpaid taxes. Gather supporting documents — tax returns, receipts, and calculations — before filing.
Do I still have to pay tax while my Icelandic appeal is pending?
Yes. Filing an appeal does not postpone payment deadlines or remove late-payment penalties. You must keep paying the assessed tax on schedule even while the dispute is open. The 60-day window to complain to RSK and the 3-month window to appeal to Yfirskattanefnd are strict and cannot be waived for missed deadlines.
When does it apply — right to appeal tax assessment?
You disagree with your tax assessment issued by RSK.You believe RSK has made an error in calculating your tax, applied the wrong rate, or denied a legitimate deduction.
What should I do if I think the Directorate of Internal Revenue (Skatturinn) has assessed my taxes incorrectly in Iceland?
Act within 60 days — file your complaint to RSK promptly.If RSK's ruling is unsatisfactory, appeal to Yfirskattanefnd within the deadline stated in the decision letter.Gather supporting documentation — tax returns, receipts, calculations.
What should you NOT do — right to appeal tax assessment?
Don't miss the deadlines — the 60-day and 3-month windows are strict.Don't stop paying taxes during the appeal — filing an appeal does not postpone payment deadlines or remove late-payment penalties.