Tax Map · Relocation rankings

Tax residency in Faroe Islands

How to become a tax resident — and how hard it is to leave.

How to become a tax resident

Typically after 180+ days of presence in a year — or any of:

• resident in the Faroe Islands (accommodation is acquired and residence is taken up)
• stay at least 180 days in any 12‑month period

There is no investment or nomad route; apart from Nordic citizens who can freely move, a foreign individual generally needs a Faroese job offer, study place, or family tie and must obtain a combined work/residence permit via the Danish immigration authorities.

Tax residency generally ends once the individual leaves the Faroe Islands with their family and no longer has accommodation available for permanent use, so physically moving away and giving up a Faroese home is usually sufficient.

“Full tax liability in the Faroe Islands applies to persons who are resident in the Faroe Islands or who stay there for at least 180 days in any 12-month period.[3] … A foreign individual becomes resident for tax purposes if accommodation is acquired and residence is taken up in the Faroe Islands.[1] … The tax liability ends when the individual leaves the Faroe Islands with his family, if accommodation in the Faroe Islands is no longer available for permanent use.[1]” — TAKS (Faroe Islands Tax and Customs Administration)

Estimate — confirm against the linked sources. See methodology.