I don't know what tölt means in Iceland, but here in Finland (where the only breed of gaited horses is icelandics) all the soft gaits really are called tölt, but that doesn't mean they are all considered good tölt. The only acceptable tölt is clear four-beat, any variations to pacy or trotty side are considered faulty. But I haven't seen/heard anyone here differentiate between what I think is called rack/saddle rack and say the other is correct tölt and the other is not. Haven't really thought is before but I think many horses are doing "saddle rack" when moving slower and "rack" when moving faster?
Krisse