Since March 25th 2001, Iceland has fully implemented the Schengen Agreement. The Schengen Agreement exempts travelers from border controls travelling between 26 EU and EFTA states (Iceland, Norway, Liechtenstein and Switzerland).
A uniform Schengen visa issued by one of the Schengen states is valid for travel within the whole Schengen area. Schengen visa should be applied for at an Embassy representing the state where the main destination is within the Schengen area.
All persons requiring visas, must apply for a visa at the applicable embassy/consulate before travelling to the Schengen area. For a list of embassies/consulates which handle applications for Iceland, see here.
The validity of a uniform Schengen visa is up to 90 days.
Citizens from the EEA and EFTA states do not need a special residence permit to stay in Iceland, but must register with Registers Iceland. A foreigner from a country outside of the European Economic Area and/or EFTA, who plans to stay in Iceland for more than three months, must have a valid residence permit.