Iceland will soon be implementing a tourist tax

Iceland will soon be implementing a tourist tax

The new fee will be put towards protecting the country’s ‘unspoilt nature’

Iceland’s breathtaking, untamed natural beauty has positioned it as a favorite spot for outdoor enthusiasts. Globetrotters from every corner come to witness its volcanoes, geysers, peaks, cascades, and dark sand shores.

Remarkably, between 2010 and 2018, tourist arrivals soared by a massive 400 percent. This modest-sized island now welcomes 2.3 million guests annually.

Although the pandemic halted this surge, the figures climbed back to 1.7 million by 2022. Further, Iceland’s recognition as the world’s safest, and arguably best, nation amplifies its allure. Who could resist such a call?

The overwhelming influx of admirers of Iceland’s grandeur benefits its economy. However, worries arise over sustainability and the strain on facilities and services.

Consequently, the authorities consider implementing a tourism levy to safeguard Iceland’s pristine wilderness.

The fee’s exact amount remains undecided, but Prime Minister Katrín Jakobsdóttir mentioned it would start off modestly, as per Bloomberg. It seems the approach will take the form of a nightly city tax for tourists.

Iceland isn’t pioneering this; tourism taxes are in place in cities like Paris, Berlin, Rome, Amsterdam, and recently, Venice revealed its own tax specifics.

Environmental preservation underpins Iceland’s latest proposal. The nation targets net zero emissions by 2040, and many tourism businesses are amplifying their green initiatives, like transitioning to electric transport.

Revenue from this tax aims to alleviate infrastructural stress, bolster eco-friendly projects, and repair the wear and tear from overcrowding.

Some speculate the tax might dissuade potential visitors. However, given Iceland’s visual wonders and unique attractions, that’s challenging to envision. Ideally, these funds will be channeled to ensure environmental conservation.

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