Taxation in the Faroe Islands 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 a 14% deduction for fishermen. However, this is limited to 14% of DKK 470,000 corresponding to a maximum annual
Flag of the Faroe Islands of the Norwegian flag, with the fimbriated cross. The flag proportion is usually 5:7. White symbolises the creators of the flag, the foam of the sea and the pure, radiant sky of the Faroe Islands, while the old Faroese blue and red colours are reminiscent of other Scandinavian and Nordic flags; representing the Faroe Islands' bonds with other Nordic countries. The modern Faroese flag was devised in 1919 by Jens Oliver Lisberg and others while they were studying in Copenhagen. The first time Merkið was raised in the Faroe Islands was on 22 June that year in Fámjin on the