In reaction to the judgment of the European Court of Justice (ECJ) in the Denkavit case (C-170/05), the Icelandic Minister of Finance proposed a bill to the Icelandic parliament to abolish the existing 15% tax liability on dividends paid to non-Icelandic resident companies.
The bill has now been passed into law and the provision on the taxation of dividends derived by non-Icelandic residents takes effect at the time when taxe…