Iceland vs Canada
Corporate Tax Comparison
Time of Update: Iceland: 4/04/2026 / Canada: 4/04/2026
Compare Iceland and Canada corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.
Iceland vs Canada Corporate Tax Comparison
Basic Corporate Tax Comparison
Corporate Income Tax (CIT)
Iceland
Canada
General CIT Rate:
20 (for LLCs and limited partnerships); 37.6 (for other entities)
General CIT Rate:
Federal corporate income tax: 15%. Provincial and territorial CITs range from 8% to 16%.
CIT Return Due Date:
31 May
CIT Return Due Date:
After six months from the end of the company's fiscal year.
CIT Payment Due Date:
November 1st and December 1st
CIT Payment Due Date:
Typically, two months after the end of the company's tax year.
CIT Estimated Payment Due Date:
Except for January and October, prepayments should be made on the first day of each month.
CIT Estimated Payment Due Date:
Tax installment payments are usually due on the last day of each month.
Withholding Tax (WHT)
Iceland
Canada
Resident Withholding Tax (Dividend/Interest/Royalty):
22/22/0
Resident Withholding Tax (Dividend/Interest/Royalty):
N/A
None-Resident Withholding Tax (Dividend/Interest/Royalty):
21/13/22
None-Resident Withholding Tax (Dividend/Interest/Royalty):
25/25/25
Value-Added Tax (VAT)
Capital Gain Tax (CGT)
Iceland
Canada
General Capital Gain Tax Rate:
20 (for corporations, same as CIT rate for LLCs); 22 (for individuals)
General Capital Gain Tax Rate:
Half of the capital gains are considered as taxable capital gains, recorded as company income and taxed at the regular tax rate.
Effective Tax Rate (ETR)
Iceland
Canada
Composite Effective Average Tax Rate:
18.79%
Composite Effective Average Tax Rate:
23.74
Composite Effective Marginal Tax Rate:
14.93%
Composite Effective Marginal Tax Rate:
13.74
