New tax to raise air fares from Norway
The tax will be levied on flights departing from Norway. Photo: SAS
A new air-travel tax set to kick in next April is set to raise some air fares from Norway to Iceland by over 20%.
Norway is the third most popular destination from Iceland’s main international airport at Keflavík and considerable number of Icelanders live in Norway or choose the fellow Nordic country for their holidays.
As reported by Icelandic tourism and travel website turisti.is, the Norwegian government has announced a new air-travel tax from 1 August 2016, which is expected to bring in over NOK 1 billion (approx. ISK 15.3 billion; €109 million) into the national coffers.
The total tax will be NOK 88 (approx. ISK 1,340; €9.50) to be levied for each departure from a Norwegian airport.
Both Norwegian and SAS have already announced that the extra tax will be passed on entirely to passengers.
Norwegian’s cheapest fare to Iceland has hitherto cost NOK 399 – with the extra tax, this would be NOK 487, an increase of some 22%.
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