Taxation in the Faroe Islands to be no longer than 12 months. However, the first accounting year can vary from 6 to 18 months. Taxation in the Faroe Islands Taxation in the Faroe Islands has differed from the taxes in Denmark since home rule was granted in 1948. This gives the Faroe Islands control over their own taxes. All citizens of the Faroe Islands are subject to personal taxation. The government tax rate on incomes up to DKK 500,000 is 20%. Incomes higher than this pay a fixed amount, always resulting in a higher percentage. There are multiple tax deductions in the Faroes. This includes
Geology of the Faroe Islands erupted, plate tectonics has slowly moved the Faroe Islands away from the active volcanic region, which today is concentrated in Iceland and along the Mid-Atlantic Ridge. Meanwhile, the majority of the Faroe–Rockall Plateau has subsided beneath sea level while erosive forces–especially during the last few million years of alternating glacial and interglacial periods–have sculpted the landscape into their present-day shape. The overall thickness of volcanic and intervening rock layers of the Faroe Islands is more than , of which only is located above the present sea level. A deep well in Lopra, Suðuroy, has revealed details of the lower strata.