🏗️ For construction contractors

FreelancePay for Construction Contractors

High invoicing amounts, complex expense deductions, and input VAT on materials. FreelancePay handles all tax compliance — you focus on building.

😤 The problem you know

High invoicing amounts (500k–2M+ ISK/month) = complex taxes

Many deductible expenses: tools, vehicle, materials, safety gear

Multiple clients and projects simultaneously

VAT on materials — need to recover input VAT

Forgetting to file VAT and getting fined

Automatic tax filing regardless of amount — same cost, max 16,900 ISK/month

Tracks all deductible expense categories automatically

Creates invoices in seconds, as many clients as needed

VAT registration and filing — input VAT recovered

Files automatically on correct deadlines — no penalties

Example: Construction contractor earning 1,200,000 ISK/month

Deductible expenses

400.000 kr

Tools 80k + vehicle 120k + materials 200k

Tax saving

125–185k kr

per month

Savings vs. accountant

13–63k kr

Accountant 30–80k vs. FreelancePay 16.9k

Create an invoice

Enter amount and client — done in 30 seconds

We handle tax compliance

Income tax, social security, pension, and VAT — all automatic

You get paid

Invoice goes to client, you receive net pay after taxes

Can I deduct tools?

Yes. All tools used for business are fully deductible. Larger machinery is depreciated over several years.

What about materials I buy for a client?

Deductible. You can also recover input VAT on purchased materials as a VAT-registered contractor.

Do I need VAT registration?

Almost certainly yes at this income level. FreelancePay handles VAT registration and filing in one package.

How does vehicle deduction work for large vehicles?

Business % × total car costs = deduction, filed via RSK 4.03. See our vehicle expenses guide for details.

No commitment. No setup fee. Pay only when you issue an invoice.