On 6 May 2020, Iceland's parliament approved Bill 1329 on amendments to various taxes and fees. One of the key amendments for corporate taxpayers is in relation to the ISK 100 million safe harbor threshold for Iceland's interest deduction restriction (30% of EBITDA). As previously worded, the ISK 100 million threshold provided that for taxpayers below the threshold, the restriction does not apply, while for taxpayers above the threshold, the restriction applies to all interest expense.
The…