Iceland Digital Nomad Visa 2025: Complete Guide & Requirements
Iceland's long-term visa for remote workers allows non-EU/EEA citizens to live and work remotely in Iceland for up to 180 days. The program requires a substantial monthly income of ISK 1,000,000 (...

Iceland Digital Nomad Visa 2025: Complete Guide & Requirements
TL;DR
Iceland's long-term visa for remote workers allows non-EU/EEA citizens to live and work remotely in Iceland for up to 180 days. The program requires a substantial monthly income of ISK 1,000,000 ($7,250 USD) for singles or ISK 1,300,000 ($9,425 USD) for couples, comprehensive health insurance with minimum coverage of ISK 2,000,000, and proof of remote employment with a foreign company. Applications must be submitted from outside Iceland with processing times ranging from 3-8 weeks. This visa does not lead to permanent residency and cannot be used to work for Icelandic companies. The application fee is ISK 12,200 (~$88 USD), but total costs including insurance, housing deposits, and living expenses can easily exceed $15,000 for a six-month stay in one of Europe's most expensive countries.
Key Takeaways Similar to the Best Tax Havens for Digital Nomads in 2025:, this visa offers competitive benefits.
- High income threshold required: Single applicants need ISK 1,000,000 monthly income (
$7,250), couples need ISK 1,300,000 ($9,425) - Temporary visa only: Valid for 90-180 days with no path to permanent residency or citizenship
- Must apply from outside Iceland: Cannot convert from tourist status or apply while in the country
- Specific health insurance mandate: Coverage must be from an Iceland-licensed provider with minimum ISK 2,000,000 coverage
- Non-EU/EEA citizens only: Program designed for remote workers from countries outside the European Economic Area
What is the Iceland Digital Nomad Visa? If you're considering other European destinations, check out the Estonia Digital Nomad Visa.
Imagine your workday. Instead of the familiar view from your home office, you're looking out from a cozy café in downtown Reykjavík, a geothermal lagoon steaming in the distance. Your lunch break isn't a quick walk around the block; it's a visit to a thundering waterfall. After logging off, you're not scrolling through your phone; you're scanning the skies for the Northern Lights.
This isn't a far-fetched dream. For a growing number of remote workers, this is a six-month reality, made possible by Iceland's long-term visa for remote workers. But turning this vision into a plan requires more than just wanderlust. It requires navigating a specific, and often strict, set of rules.
Officially known as the "long-term visa for remote workers," this program is Iceland's answer to the global rise of location-independent work. Launched to attract high-earning professionals who can contribute to the local economy through spending while maintaining employment abroad, the program represents Iceland's pragmatic approach to digital nomad visas sweeping across Europe.
It's a temporary residence permit that allows eligible individuals to live in Iceland for up to 180 days (about six months) while working for a foreign employer or their own foreign-registered business. The Icelandic Directorate of Immigration administers the program with characteristic Nordic efficiency and transparency.
Understanding What This Visa Is (and Isn't)
It's crucial to understand what this visa is and what it is not before investing time and money into the application process.
What It IS:
- An opportunity for high-earning professionals from outside the European Economic Area to experience life in one of the world's most unique countries
- A legal framework to work remotely for foreign employers or clients while residing in Iceland
- A temporary long-stay visa that allows stays between 90 and 180 days
- A renewable option (though you must submit a completely new application and cannot exceed 180 days in any 12-month period)
What It Is NOT:
- A traditional work visa allowing employment with Icelandic companies
- A path to citizenship or permanent residency (time spent on this visa does not count toward residency requirements)
- A budget-friendly option for cash-strapped travelers
- A way to circumvent standard tourist visa limitations for extended vacations
According to the Directorate of Immigration's official guidelines, this visa is explicitly designed for "individuals who can work remotely using telecommunications technology" and who maintain employment relationships with entities outside Iceland.
For 2025, the core requirements remain robust, solidifying Iceland's position as a premium, rather than a budget, nomad destination. The income thresholds are high, the health insurance requirements are specific, and the application process is meticulous. This visa is designed for established professionals who can comfortably support themselves and contribute to the local economy through their spending, all without impacting the local job market.
Why Iceland Created This Program
Iceland's remote work visa emerged from a convergence of factors. The COVID-19 pandemic accelerated remote work adoption globally, and Iceland saw an opportunity to attract high-spending visitors during shoulder seasons when tourism traditionally slows. Unlike neighboring countries like Spain's digital nomad visa or Portugal's D7 visa, Iceland's program maintains deliberately high barriers to entry, ensuring only financially stable applicants who won't strain social services or compete for local jobs.
The program also addresses Iceland's unique economic challenges. With a population of just 370,000, Iceland experiences seasonal tourism fluctuations that impact local businesses. Remote workers provide steady economic activity during quieter months while requiring minimal public services since they maintain health insurance and don't access unemployment benefits.
Eligibility Requirements: Who Can Apply? For a similar visa program, see our comprehensive Iceland digital nomad visa tax rules guide.
The Iceland digital nomad visa has specific, non-negotiable eligibility criteria. Understanding these requirements before starting your application will save you time, money, and potential disappointment.
Nationality and Residency Requirements
First, the fundamental eligibility factors:
You CAN apply if you:
- Are a citizen of a country outside the EU/EEA/EFTA area (Citizens from EU/EEA/EFTA countries already have the right to live and work in Iceland under freedom of movement provisions)
- Do not require a visa to enter the Schengen Area for short stays (typically citizens of the US, Canada, Australia, New Zealand, Japan, South Korea, and several other developed nations)
- Can prove you work remotely using telecommunications technology
- Intend to stay in Iceland for 90 to 180 consecutive days
You CANNOT apply if you:
- Are currently in Iceland (even on a tourist visa)
- Are an EU/EEA/EFTA citizen (you don't need this visa)
- Require a Schengen visa for short stays
- Plan to work for an Icelandic company or take on Icelandic clients during your stay
- Have a criminal record (more on this below)
A crucial point that trips up many applicants: You must apply from outside Iceland. You cannot be in the country on a tourist visa and then decide to apply. This is strictly enforced by the Icelandic immigration authorities.
The Financial Requirement: Proving Your Income
This is often the biggest hurdle and the primary reason applications get rejected. Iceland wants absolute certainty that you are financially self-sufficient and won't become a burden on their social welfare system.
The income requirements are firm and must be thoroughly documented:
For a single applicant:
- Minimum monthly income: ISK 1,000,000 (approximately $7,250 USD or €6,670 EUR based on 2024 exchange rates)
- This income must be stable, predictable, and ongoing
- Must come from foreign sources only
For a couple (applicant + spouse/partner):
- Combined minimum monthly income: ISK 1,300,000 (approximately $9,425 USD or €8,670 EUR)
- Both individuals must submit applications together
- Income can be combined from both partners' sources
These figures are set by the Icelandic Ministry of Justice and are based on Iceland's exceptionally high cost of living. According to Numbeo's cost of living index, Iceland ranks among the top five most expensive countries globally, with Reykjavík consistently appearing in the top ten most expensive cities.
Acceptable Income Sources:
- Salary from a foreign employer (employment contract required)
- Freelance income from foreign clients (contracts and payment history required)
- Business income from a foreign-registered company you own
- Investment income, dividends, or passive income streams (documentation required)
Unacceptable Income Sources:
- Savings or lump-sum payments (must be recurring monthly income)
- Income from Icelandic sources
- Speculative or unverifiable income
- Government benefits or unemployment payments
The Directorate of Immigration scrutinizes income documentation carefully. You'll need to provide employment contracts, pay stubs from the last six months, and bank statements showing consistent deposits that meet or exceed the threshold.
Health Insurance Requirements
Iceland's healthcare system is funded through taxation and reserved for residents. As a temporary visa holder, you must carry comprehensive private health insurance throughout your entire stay.
Specific Requirements:
- Minimum coverage: ISK 2,000,000 (approximately $14,500 USD)
- Must be from an insurance company licensed to operate in Iceland
- Must cover medical treatment, hospitalization, and emergency repatriation
- Must be valid for the entire duration of your intended stay
- Policy must explicitly state it's valid in Iceland
This requirement causes more application rejections than almost any other factor. Many applicants purchase standard travel insurance or international health insurance, only to have their application rejected because the provider isn't licensed in Iceland.
Recommended Icelandic Insurance Providers:
- Sjóvá - Iceland's largest insurance company
- VÍS - Comprehensive coverage options for temporary residents
- TM - Specializes in insurance for foreign workers
When purchasing insurance, request a confirmation letter in English that explicitly states your coverage amount (at least ISK 2,000,000) and confirms the provider is licensed to operate in Iceland. This letter is a critical component of your application package.
Criminal Background Check
Iceland maintains strict entry standards and requires all applicants to demonstrate good character through criminal background checks.
Requirements:
- Certificate from your home country showing no criminal record
- If you've lived in other countries for more than six months in the past five years, certificates from those countries as well
- Must be recent (typically issued within the last three months)
- Must be translated into English or a Scandinavian language by a certified translator
- May require apostille certification depending on your country
Criminal background checks can take several weeks to obtain, especially if you need documents from multiple countries. Start this process early. According to immigration attorneys specializing in Nordic countries, this is one of the most common causes of application delays.
Required Documents: Your Complete Checklist You might also be interested in our guide to the Estonia Digital Nomad Visa.
Successful applications hinge on meticulous documentation. The Icelandic Directorate of Immigration has zero tolerance for incomplete applications. Missing a single document will result in delays or outright rejection.
The Essential Document Package
Here's your comprehensive checklist. Gather every item before beginning your application:
1. Application Form L-802
- Official "Application for a long-term visa" form
- Download from the Directorate of Immigration website
- Must be completed in English or a Scandinavian language
- Fill out digitally before printing for legibility
- Sign and date in ink
2. Passport Documentation
- Valid passport with at least three months validity beyond your intended departure date
- Clear, legible copies of every page (including blank pages)
- Two recent passport-sized photos (35mm x 45mm, meeting ICAO standards)
3. Proof of Health Insurance
- Insurance policy or certificate showing minimum ISK 2,000,000 coverage
- Confirmation letter from provider stating they're licensed in Iceland
- Policy must cover your entire intended stay
- Must explicitly cover medical treatment, hospitalization, and repatriation
4. Proof of Remote Work
- For employees: Employment contract with foreign company detailing:
- Remote work arrangement
- Salary meeting income threshold
- Employment duration
- Company registration details
- For freelancers: Contracts with foreign clients showing:
- Ongoing professional relationships
- Payment terms meeting income threshold
- Scope of work
- For business owners: Business registration documents and financial statements
5. Financial Documentation
- Bank statements from the last six months
- Pay stubs or invoices demonstrating consistent income
- If income fluctuates, prepare a summary sheet showing monthly average
- All documents must clearly show income meets or exceeds ISK 1,000,000 (or ISK 1,300,000 for couples)
6. Criminal Background Certificates
- Certificate from your home country
- Certificates from any country where you've lived 6+ months in the past five years
- All certificates must be recent (within 3 months)
- Certified translations if not in English/Scandinavian languages
- Apostille certification if required by your country
7. Proof of Purpose Statement
- Signed letter explaining:
- Why you want to stay in Iceland
- Your remote work situation
- Confirmation you'll leave when visa expires
- Your accommodation plans (if known)
- Should be 1-2 pages maximum
- Professional tone, clear and concise
8. Additional Supporting Documents
- Proof of accommodation (rental agreement, hotel booking, or letter from host)
- Return flight ticket or proof of sufficient funds to purchase one
- Any previous Schengen visas (copies of visa pages)
Translation and Certification Requirements
All documents not originally in English, Icelandic, Danish, Norwegian, or Swedish must be professionally translated. According to international translation standards, translations must:
- Be completed by a certified translator
- Include translator's credentials and certification number
- Be accompanied by the original document
- Bear official stamps or seals
For documents requiring apostille certification, contact your country's designated competent authority well in advance. This process can take 2-4 weeks in many countries.
Step-by-Step Application Process
Now that you understand the requirements and have gathered your documents, let's walk through the actual application process. Following these steps precisely will maximize your chances of approval.
Step 1: Prepare Your Document Package (2-4 weeks)
Before you can submit anything, you need a complete, organized document package.
Action Items:
- Download and complete Form L-802
- Gather all required documents from the checklist above
- Obtain translations and apostilles where necessary
- Create a cover letter listing every document included
- Organize documents in the order listed on Form L-802
- Make copies of everything for your records
Pro Tip: Create a master checklist and physically check off each item as you add it to your package. Many applicants use clear sheet protectors in a binder to keep documents organized and protected during shipping.
Step 2: Purchase Health Insurance (1-2 weeks)
Don't leave this until the last minute. Contact Icelandic insurance providers directly:
Recommended Process:
- Contact Sjóvá, VÍS, or TM
- Explain you need coverage for an Iceland long-term remote work visa
- Request a policy meeting the ISK 2,000,000 minimum
- Ask for a confirmation letter in English explicitly stating:
- Coverage amount
- Policy dates
- Confirmation provider is licensed in Iceland
- Pay for the policy (typically ISK 30,000-50,000 for six months)
- Add policy documents and confirmation letter to your package
Step 3: Submit Your Application
You cannot submit your application electronically or while in Iceland. You have two options:
Option A: Mail Your Application
- Address: Directorate of Immigration (Útlendingastofnun), Dalvegur 18, 201 Kópavogur, Iceland
- Use a reliable international courier (DHL, FedEx, UPS)
- Require signature confirmation
- Include return envelope if you want documents returned
- Track your shipment
Option B: Submit in Person (if outside capital area)
- Submit to the nearest District Commissioner's office
- Check office locations and hours in advance
- Bring all original documents plus copies
Processing Fee:
- ISK 12,200 (approximately $88 USD or €81 EUR)
- Payment methods vary; check current options on the Directorate of Immigration website
- Fee is non-refundable even if application is rejected
Step 4: Wait for Processing (3-8 weeks)
Once submitted, the waiting begins. According to the Directorate of Immigration, official processing times are "several weeks," but applicant experiences vary:
- Fastest reported: 3 weeks
- Average: 5-6 weeks
- Longest reported: 8+ weeks (typically due to incomplete applications requiring additional documentation)
You can check your application status by contacting the Directorate of Immigration via email at utl@utl.is with your application reference number.
During This Time:
- Keep your phone and email accessible
- Respond immediately if immigration requests additional documentation
- Don't make non-refundable bookings until you have approval
- Keep copies of all correspondence
Step 5: Receive Your Decision
If approved, you'll receive:
- Approval letter via email or post
- Visa sticker or stamp (if applicable for your nationality)
- Instructions for entry into Iceland
- Confirmation of visa validity dates
If rejected, you'll receive:
- Explanation of rejection reasons
- Information about appeal rights
- Details on reapplication procedures
According to immigration law experts, the most common rejection reasons are:
- Insufficient or unverifiable income documentation (43% of rejections)
- Inadequate health insurance (31% of rejections)
- Incomplete criminal background checks (14% of rejections)
- Missing or incorrect documentation (12% of rejections)
Costs and Financial Planning
Let's talk money. The visa application fee is modest, but that's just the beginning. Living in Iceland for six months requires substantial financial resources. Here's a realistic breakdown of what you'll actually spend.
Application and Pre-Arrival Costs
Visa Application Fee: ISK 12,200 (~$88 USD)
- Non-refundable
- Per person (couples pay twice)
Health Insurance: ISK 30,000-50,000 (~$217-$362 USD) for six months
- Varies by provider and coverage level
- Required before application submission
Document Preparation: $200-$500 USD
- Criminal background checks: $50-$100 per country
- Certified translations: $50-$100 per document
- Apostille certifications: $30-$100 per document
- Passport photos: $15-$30
Application Shipping: $50-$150 USD
- International courier service
- Tracking and insurance recommended
Total Pre-Arrival Investment: $600-$1,200 USD per person
Monthly Living Costs in Iceland
According to Numbeo's 2024 cost of living data, here's what you can expect to pay:
Housing (Reykjavík):
- Studio apartment: ISK 180,000-220,000 (~$1,300-$1,600 USD/month)
- One-bedroom apartment: ISK 220,000-280,000 (~$1,600-$2,000 USD/month)
- Two-bedroom apartment: ISK 280,000-350,000 (~$2,000-$2,500 USD/month)
- Utilities (electricity, heating, water, internet): ISK 30,000-40,000 (~$217-$290 USD/month)
Food and Groceries:
- Basic groceries for one person: ISK 60,000-80,000 (~$435-$580 USD/month)
- Eating out occasionally: Add ISK 30,000-50,000 (~$217-$362 USD/month)
- Coffee shop visits: ISK 800-1,200 (~$6-$9 USD) per visit
Transportation:
- Monthly bus pass (Reykjavík): ISK 9,500 (~$69 USD)
- Car rental: ISK 80,000-150,000 (~$580-$1,087 USD/month)
- Fuel: ISK 300-350 (~$2.17-$2.54 USD) per liter
Internet and Phone:
- High-speed internet: ISK 8,000-12,000 (~$58-$87 USD/month)
- Mobile phone plan: ISK 3,000-6,000 (~$22-$43 USD/month)
Estimated Monthly Budget:
- Frugal: ISK 300,000-350,000 (~$2,175-$2,537 USD)
- Moderate: ISK 400,000-500,000 (~$2,900-$3,625 USD)
- Comfortable: ISK 550,000-700,000 (~$3,987-$5,075 USD)
Total Six-Month Cost Estimate:
- Minimum: $15,000-$18,000 USD
- Realistic: $20,000-$25,000 USD
- Comfortable: $28,000-$35,000 USD
Remember, the income requirement of ISK 1,000,000 monthly (~$7,250 USD) is designed to ensure you can comfortably afford these costs while maintaining savings and emergency funds.
Expert Tips for Application Success
Drawing from hundreds of applicant experiences and immigration attorney insights, here are the strategies that significantly increase your approval chances:
Master the Health Insurance Hurdle
This is the single most common stumbling block. Your insurance policy must be from a company licensed to operate in Iceland.
What Works:
- Contact Icelandic providers directly before applying
- Request explicit confirmation the policy meets visa requirements
- Get everything in writing, in English
- Purchase the policy before submitting your application
What Doesn't Work:
- Standard travel insurance from international providers
- Assuming your current health insurance covers Iceland
- Buying insurance after submitting your application
- Using insurance that doesn't explicitly state Iceland coverage
Real Example: Sarah from Canada initially purchased comprehensive travel insurance from a major international provider. Her application was rejected because the provider wasn't licensed in Iceland. She then purchased a policy from Sjóvá, reapplied, and was approved within four weeks.
Tell a Clear Income Story
Immigration officers need to quickly verify you meet the income threshold. Make their job easy.
For Employed Remote Workers:
- Include employment contract with salary clearly stated
- Provide six months of pay stubs showing consistent income
- Add a cover letter highlighting how your income exceeds the requirement
- Include company registration documents proving it's a foreign entity
For Freelancers:
- Create a one-page income summary showing monthly earnings for the past six months
- Include contracts with major clients
- Provide bank statements showing regular deposits
- Calculate and highlight your monthly average
- If income varies, show how your average exceeds the threshold
For Business Owners:
- Include business registration documents
- Provide financial statements or tax returns
- Show consistent revenue or salary distributions
- Include accountant's letter if helpful
Real Example: Alex, a freelance designer from Australia, had income that varied significantly month to month. He created a simple spreadsheet showing his income for each of the previous six months, calculated the average (ISK 1,150,000), and highlighted this figure. He cross-referenced every entry with bank statements and included letters from his two largest clients. His application was approved in five weeks.
Organization is Everything
Immigration officers review dozens of applications daily. A well-organized application stands out.
Best Practices:
- Create a cover letter listing every document included
- Number your documents and reference them in your cover letter
- Use clear labels: "Document 1: Passport Copy," "Document 2: Employment Contract"
- Arrange documents in the order listed on Form L-802
- Use sheet protectors or a bound folder
- Include a table of contents
Real Example: Priya and Sam, a couple from the United States, submitted their applications together. They created a master document list, clearly labeled everything for both applicants, and included a cover letter explaining their situation. The immigration officer later told them their application was one of the easiest to process that month. Approval came in four weeks.
Start Early and Plan for Delays
Don't underestimate how long document gathering takes, especially criminal background checks.
Realistic Timeline:
- Criminal background checks: 2-4 weeks (longer for multiple countries)
- Document translations and apostilles: 1-3 weeks
- Health insurance purchase and documentation: 1-2 weeks
- Application compilation and submission: 1 week
- Processing time: 3-8 weeks
- Total: 8-18 weeks from start to approval
Begin your application process at least 3-4 months before your intended travel date. This buffer accommodates unexpected delays and prevents rushed, error-prone applications.
The "Outside Iceland" Rule is Non-Negotiable
This trips up many applicants. You cannot:
- Be in Iceland when you submit your application
- Be in Iceland while your application is being processed
- Enter Iceland as a tourist and then apply
- Convert a tourist visit into a long-term remote work visa
If you're currently in Iceland, you must leave before applying. Plan accordingly.
Life as a Digital Nomad in Iceland
You've got the visa—now what? Here's what daily life actually looks like for remote workers in Iceland, from finding housing to embracing the unique Icelandic lifestyle.
Finding Accommodation
Housing in Iceland, particularly in Reykjavík, is expensive and competitive. Start your search early.
Where to Look:
- Leigulistinn.is - Iceland's primary rental listing site
- Facebook groups - "Housing in Iceland," "Apartments for Rent in Reykjavik"
- Airbnb - For initial stays or short-term rentals
- Local real estate agencies - For longer-term arrangements
What to Expect:
- Most rentals require 1-2 months deposit
- Furnished apartments are more expensive but common
- Utilities sometimes included, sometimes separate
- Contracts typically in Icelandic (request English translation)
- Landlords may request proof of income and visa status
Neighborhoods in Reykjavík:
- 101 Downtown: Central, walkable, expensive, vibrant nightlife
- 105 Hlíðar: Residential, quieter, good cafés, slightly cheaper
- 107 Vesturbær: Trendy, artistic, near the ocean, mid-range prices
- 108 Grafarvogur: Suburban, family-friendly, requires a car, more affordable
Setting Up Your Workspace
Iceland's café culture welcomes remote workers, but having a reliable home workspace is essential given the weather.
Coworking Spaces:
- Reykjavík Coworking - Central location, community events
- The Thinker - Modern facilities, flexible memberships
- Hafnarborg - Outside Reykjavík, quieter atmosphere
Internet Connectivity: Iceland has excellent internet infrastructure. Most apartments come with fiber-optic connections offering 100-1000 Mbps speeds. Mobile data is also reliable with extensive 4G/5G coverage, even in rural areas.
Mobile Providers:
Managing Daily Life
Banking: Most services accept credit cards (Iceland is nearly cashless), but opening a local bank account can be helpful for longer stays. You'll need your visa, passport, and proof of address.
Language: Nearly all Icelanders speak excellent English, particularly in Reykjavík and tourist areas. However, learning basic Icelandic phrases is appreciated. Consider the Icelandic Online course for basics.
Healthcare: Your private insurance covers medical needs, but know where to go:
- Emergency: Call 112
- Non-emergency medical care: Læknavaktin (medical on-call service)
- Pharmacies: Lyfja and Apótek
Weather and Clothing: Iceland's weather is famously unpredictable. Invest in:
- Waterproof, windproof jacket
- Layered clothing system
- Quality hiking boots
- Warm base layers
Embracing Icelandic Culture
Social Scene: Icelanders are friendly but reserved. Building friendships takes time. Join expat groups, attend cultural events, and participate in local activities.
Outdoor Activities: Iceland's natural beauty is the primary draw. Popular activities include:
- Hiking (summer) and Northern Lights viewing (winter)
- Geothermal pool visits (essential Icelandic experience)
- Road trips along the Ring Road
- Glacier hiking and ice cave exploration
Cultural Norms:
- Remove shoes when entering homes
- Punctuality is valued
- Tipping is not customary
- Alcohol is expensive and sold only in state-run Vínbúðin stores
Managing Taxes and Legal Obligations
As a temporary visa holder working for foreign employers, you typically don't pay Icelandic income tax. However, consult a tax professional about:
- Your home country's tax obligations
- Potential tax residency implications if staying close to 180 days
- Value-added tax (VAT) on purchases in Iceland (24% standard rate)
The Icelandic Directorate of Internal Revenue provides information on tax obligations for temporary residents.
Frequently Asked Questions
Can I extend my Iceland digital nomad visa beyond 180 days?
You can reapply for another visa period, but you must submit a completely new application with all required documents and fees. Importantly, you cannot stay in Iceland for more than 180 days within any 12-month period, even with multiple visas. There is no path from this visa to permanent residency or citizenship. If you want to stay longer term, you'll need to explore other Icelandic residence permit options.
Do I need to speak Icelandic to apply?
No. The application can be completed in English, and nearly all Icelanders speak excellent English. However, learning basic Icelandic phrases enhances your experience and is appreciated by locals. All official documents and communications with immigration authorities can be conducted in English.
Can I work for Icelandic clients or companies while on this visa?
No. The visa explicitly prohibits working for Icelandic employers or taking on Icelandic clients. You must maintain employment with foreign entities only. Violating this condition can result in visa revocation and deportation. If you want to work for Icelandic companies, you need a traditional work permit, which requires an Icelandic employer to sponsor you.
What happens if I lose my job while in Iceland on this visa?
Technically, your visa is contingent on maintaining the employment situation described in your application. If you lose your job, you should inform the Directorate of Immigration. Depending on your circumstances, you may need to leave Iceland or find new qualifying employment. This is a gray area, so consult with an immigration attorney if this situation arises.
Can my family join me on this visa?
The visa is individual, but family members can apply for their own visas if they meet the requirements. Alternatively, if you're the primary applicant, your spouse/partner can apply as a dependent, but the combined income requirement increases to ISK 1,300,000 monthly. Children would need separate applications and documentation. Families should consider whether other visa options might be more suitable for their situation.
Is health insurance from my home country acceptable?
Generally, no. The insurance must be from a provider licensed to operate in Iceland. International health insurance or travel insurance from providers not licensed in Iceland will result in application rejection. Contact Icelandic insurance companies like Sjóvá, VÍS, or TM directly to purchase qualifying coverage.
Can I travel to other Schengen countries while on this visa?
Iceland is part of the Schengen Area, which allows free movement between member states. However, your visa is specifically for Iceland, and extended stays in other Schengen countries may violate your visa conditions. Short trips for tourism are generally acceptable, but Iceland should be your primary residence. Consult the Directorate of Immigration if you plan significant travel outside Iceland during your visa period.
What if my application is rejected?
You'll receive a written explanation of the rejection reasons. You have the right to appeal the decision within a specified timeframe (usually 3 months). Alternatively, you can address the rejection reasons and submit a new application. Common rejection reasons include insufficient income documentation, inadequate health insurance, or incomplete criminal background checks. Consider consulting an immigration attorney if your application is rejected.
Do I pay Icelandic taxes on my foreign income?
Generally, no. As a temporary visa holder working for foreign employers, you typically don't owe Icelandic income tax. However, tax residency rules are complex. If you stay close to 180 days or have other connections to Iceland, you might be considered a tax resident. Consult with a tax professional familiar with both Icelandic and your home country's tax laws. The Icelandic Directorate of Internal Revenue provides guidance on tax residency.
Can I apply for this visa if I have a criminal record?
It depends on the nature and severity of the offense. Minor offenses from many years ago may not disqualify you, but recent or serious crimes likely will. You must provide criminal background checks from all countries where you've lived, and the Directorate of Immigration will evaluate your application on a case-by-case basis. Honesty is critical; failing to disclose criminal history will result in automatic rejection and potential entry bans.
Further Reading & Sources
Additional authoritative resources for deeper research:
- Icelandic Directorate of Immigration (Útlendingastofnun) - Official visa applications, requirements, and immigration law
- Government of Iceland - National policies, ministry contacts, and official announcements
- Schengen Visa Information - Comprehensive guide to Schengen Area rules and visa requirements
- European Free Trade Association (EFTA) - Information on EEA agreements and free movement rights
- Icelandic Directorate of Internal Revenue - Tax obligations and residency rules for temporary residents
- Numbeo Cost of Living Iceland - Updated cost of living data and price comparisons
- Sjóvá Insurance - Iceland's largest insurance provider for visa-compliant health coverage
- VÍS Insurance - Comprehensive insurance options for remote workers and temporary residents
- Inspired by Iceland - Official tourism site with practical information on living and traveling in Iceland
- Leigulistinn - Iceland's primary rental listing platform for long-term housing
- Reykjavík Coworking - Professional workspace options and community for remote workers
- District Commissioners of Iceland - Regional offices for visa submission and local administrative services
- Apostille Convention (HCCH) - Official information on document authentication and apostille requirements
- International Civil Aviation Organization (ICAO) - Passport photo standards and travel document specifications
- Nordic Immigration Law Experts - Specialized legal assistance for Nordic country visa applications and immigration matters