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Iceland Tax Information

24% VSK

VSK (VAT) is 24% standard, 11% for hotels/books/food. No threshold - all businesses must register. Source: Icelandic Revenue and Customs.

Auto Mechanic Services to Invoice

  • Oil change
  • Brake service
  • Engine repair
  • Transmission
  • Diagnostics
  • Tire service
  • A/C repair

Invoice Requirements in Iceland

Kennitala
VSK number
Business address
Client kennitala
VSK breakdown
Total in ISK

Payment Terms

Due upon completion. Large repairs may require deposit. Mechanic's lien applies.

Reiðufé14 dagar30 dagarGjalddagi

Payment Methods in Iceland

Bank TransferCredit CardCash

Auto Mechanic Invoice Tips

  • List parts with part numbers
  • Separate labor charges
  • Include vehicle info
  • Note mileage
  • Document warranty terms

Frequently Asked Questions

What tax rate applies to auto mechanic invoices in Iceland?

Iceland has 24% VSK. VSK (VAT) is 24% standard, 11% for hotels/books/food. No threshold - all businesses must register. Source: Icelandic Revenue and Customs.

What payment methods are common for auto mechanics in Iceland?

Common payment methods in Iceland include: Bank Transfer, Credit Card, Cash. Due upon completion. Large repairs may require deposit. Mechanic's lien applies.

What should auto mechanic invoices include in Iceland?

Your invoice should include: Kennitala, VSK number, Business address, Client kennitala. For auto mechanic services specifically, also include: Oil change, Brake service, Engine repair.

How to bill parts?

List part number, description, and price. Markup 20-50% is standard.

Labor rate?

Hourly shop rate ($80-150/hr) or book time for standard jobs.

What VSK rates apply?

Iceland has 24% standard VAT and 11% reduced rate for hotels, books, and some food. No zero-rated goods domestically.