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Vínbúð, Wine shop, is a chain of 46 stores run by the Icelandicmarker alcohol & tobacco monopoly - ÁTVR, locally called ríkið which literally means The State. It is Iceland's sole legal vendor of alcohol for off-premises consumption, though in practice most bars and restaurants will not prevent you from leaving with purchased drinks. High licensing fees make this an expensive option, however, and alcohol is always at least twice as expensive outside the Vínbúð.

Iceland has very high taxes on alcohol. Historically, this was to curtail consumption. Tax rates in stores are not a percentage of price (such as a sales tax or income tax) but are proportionate to the alcohol content.

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