Taxation in the Faroe Islands has differed from the taxes in Denmark since home rule was granted in 1948.
[1] All citizens of the Faroe Islands are subject to personal taxation.
The government tax rate on incomes up to DKK 500,000 is 20%.
The corporate tax rate in the Faroe Islands stands at 18%.
Generally, the income period for companies follows the accounting year, which has to be no longer than 12 months.