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I am an Indian citizen returning to India from Iceland with a layover at Frankfurt. I have 2 questions:

  1. Do I need a transit Visa?
  2. Since I have a Schengen Visa for Iceland, can I leave the airport during layover at Frankfurt?

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Yes, you can. Since Iceland and Germany are both in the Schengen zone, your flight from Iceland is effectively "domestic" (within Schengen) and your Schengen visa remains valid.

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  • This depends on the "valid for" on the visa, whether it says "Schengen" or "Iceland"? Dec 29, 2023 at 10:10
  • @JiříBaum Schengen visas are by definition valid for the entire Schengen zone. Dec 29, 2023 at 10:25
  • "Article 25 Issuing of a visa with limited territorial validity 1. A visa with limited territorial validity shall be issued exceptionally, in the following cases: [...] 2. A visa with limited territorial validity shall be valid for the territory of the issuing Member State. It may exceptionally be valid for the territory of more than one Member State, subject to the consent of each such Member State." Dec 29, 2023 at 10:33
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    @JiříBaum Yes, LTVs exist but they're reserved for exceptional cases, not tourism, and don't even allow transit. Since OP is from India, which has no direct flights to Iceland, we can deduce that they have a regular Schengen visa, not an LTV. Dec 29, 2023 at 12:42

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