government.is (21.03.2020) During the next 15 months, people can withdraw a monthly sum from their voluntary pension savings, to a maximum of ISK 800,000.
- extraordinary access to voluntary old-age pension funds
All individuals who own third-pillar pension savings (private pension savings) can withdraw up to ISK 12 million. This is based on the individual’s combined third-pillar pension savings as of 1 April 2020. The third-pillar pension savings are paid out over a 15-month period, beginning at the time the application is received. If the amount to be paid is less than ISK 12 million, the payout period is shortened proportionally.
Each monthly payment can range up to ISK 800,000 and will be taxed as regular income. The pension fund or bank that pays out the funds will withhold income tax from the payments.
Details from here: https://www.government.is/default.aspx?pageid=5781e635-46bb-4c79-8218-03d44073071e#Tab1