Iceland has 41 tax agreements in force, as reported in its response to the Peer Review questionnaire, including the multilateral Nordic Convention concluded with Denmark, the Faroe Islands, Finland, Norway and Sweden (the “Nordic Convention”).1 Nineteen of those agreements, the agreements with Belgium, Canada, France, Georgia, India, Ireland, Japan, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, Poland, the Slovak Republic, Slovenia, Switzerland, Ukraine and the United Kingdom as well as the Nordic Convention, comply with the minimum standard.
Iceland signed the MLI in 2017 and deposited its instrument of ratification on 26 September 2019. The MLI entered into force for Iceland on 1 January 2020. Iceland has not listed its agreements with Austria, Germany and Greenland but indicated in its response to the Peer Review questionnaire that bilateral negotiations would be pursued with respect to those agreements.
The Parties to the Nordic Convention signed a complying instrument in 2018. The protocol entered into force on 28 November 2019 and its provisions took effect on 1 January 2020.
Iceland is generally implementing the minimum standard through the inclusion of the preamble statement and the PPT.2
The agreements modified by the MLI come into compliance with the minimum standard once the provisions of the MLI take effect.