Please be advised that the Icelandic government has introduced a new Road Tax applicable to all vehicles, effective January 1, 2026. According to government officials, fuel taxes will be removed at the same time, resulting in an overall decrease in petrol and diesel pump prices.
In compliance with these new Icelandic laws and regulations, the Icelandic Road Tax fee for rental cars will be 1,650 ISK (approximately 11.5 EUR / 13.5 USD) per day. Auto Car Rental will collect this Road Tax in advance to ensure transparency and convenience for our customers. Please note that all car rental companies in Iceland are required to collect this Icelandic Road Tax either before or after the rental period.
The Road Tax fee and any other associated charges or fines may be debited from the credit or debit card provided by the renter at the commencement of the rental.
