Are you living in another Nordic country and receiving social security benefits from Iceland?
This information applies to you who are living in another Nordic country and receiving social security benefits from Iceland. The information only pertains to the taxation of social security benefits. If you are receiving pension from Iceland, please see pension.
Examples of Icelandic social security benefits:
Unemployment benefits, maternity and paternity leave, and sickness benefits.
Taxation in Iceland
You must pay taxes in Iceland of any social security benefits paid from Iceland.
Taxation in the country of residence
Social security benefit payments from Iceland may also be liable to taxation in your country of residence. If the benefits are taxed both in Iceland and in your country of residence, it is the country of residence that is supposed to prevent double taxation. You must declare the Icelandic income on your tax return in your country of residence.