Long-Term Visa for Remote Work

Iceland's Long-Term Visa for Remote Work enables non-EEA/EFTA nationals who are exempt from the Schengen visa requirement to reside in Iceland for up to 180 days while working remotely for employers or clients located outside the country. Introduced on 30 October 2020 through an amendment to the Regulation on Foreign Nationals, the program is administered by the Directorate of Immigration (Utlendingastofnun). It targets remote employees of foreign companies and self-employed individuals who use information technology to deliver work to locations outside Iceland. Holders do not receive an Icelandic personal identification number (kennitala) and are not considered residents for tax or social insurance purposes.

• Non-EEA/EFTA national exempt from the Schengen visa requirement
• Employed by a foreign company or self-employed with clients outside Iceland
• Monthly income of at least ISK 1,000,000 (solo) or ISK 1,300,000 (with spouse/partner)
• Valid passport with at least 90 days validity beyond the visa duration
• Health insurance with minimum coverage of ISK 2,000,000 per person, valid in Iceland and the Schengen area for the full duration of stay (travel insurance not accepted)
• Must not have received a long-term visa from Iceland in the past 12 months
• No intention to settle permanently in Iceland

• Payment receipt for the ISK 12,200 application fee
• Passport photo (35x45 mm, no older than 6 months)
• Full passport copy including personal information page, signature page, all visas, and Schengen entry/exit stamps from the past year
• Employer confirmation authorising remote work from Iceland, or self-employment verification from the home country
• Proof of income (employment contract, payslips, or bank statements)
• Proof of health insurance meeting the ISK 2,000,000 minimum coverage requirement
• Marriage certificate or proof of at least one year of cohabitation (if applying with a partner)
• Birth certificate and custody documentation for dependent children (no older than 6 months)

The visa is valid for up to 180 days when the application is submitted from the applicant's home country before entering Iceland. If applied after entering the Schengen area, the maximum duration is reduced to 90 days. The visa cannot be renewed or extended. Applicants must leave Iceland and wait at least 12 months from the previous issuance before applying again. Within other Schengen states, holders may stay a maximum of 90 days within any 180-day period under standard Schengen rules.

Spouses or cohabiting partners and children under 18 may apply as family members of the remote worker. The relationship must be documented with a marriage certificate or proof of at least one year of cohabitation. The combined income threshold increases to ISK 1,300,000 per month. Children aged 6 to 16 must provide written confirmation that they will receive remote instruction from a school in the home country, be enrolled in an Icelandic school, or receive homeschooling. Each family member requires their own application fee of ISK 12,200, passport photo, passport copy, and proof of health insurance. All dependants must also be exempt from the Schengen visa requirement.

Holders do not receive an Icelandic ID number (kennitala) and are generally not considered tax residents. Under Icelandic tax law, individuals with limited tax liability who stay fewer than 183 days in a 12-month period are taxed only on income derived from Icelandic sources. Income earned remotely for foreign employers is not subject to Icelandic income tax.

Applications are paper-only. There is no online application portal. The process works as follows:

1. Pay the ISK 12,200 application fee by bank transfer to the Directorate of Immigration
2. Complete the paper application form (L-802) and gather all supporting documents
3. Submit by regular mail to Dalvegur 18, 201 Kopavogur, Iceland, deliver to the drop box at the Directorate's reception, or submit at a District Commissioner's office outside the capital area
4. Applications should be submitted at least 14 days before the current visa-free period expires
5. The Directorate reviews the application over approximately 3 to 4 weeks and may request additional documents
6. The decision is communicated via email
7. Upon approval, the visa becomes valid from its issue date and the holder must contact the Directorate after arriving in Iceland

Visa holders may not work for Icelandic employers or participate in the Icelandic labour market in any way. Only remote work for employers or clients located outside Iceland is permitted. Any form of local employment requires a separate residence and work permit. The visa does not lead to permanent residency or citizenship.