In this paper, we study how Lesbian, Gay, Bisexual and Transgender people (LGBT) students in Icelandic upper secondary schools interpret their experience of heteronormative environment and how they respond to it. The aim is to explore how sexualities and gendered bodies are constructed through "schooling". The article draws on interview data with seven LGBT students who attended five different upper secondary schools. We also use visual data collected during fieldwork at one upper secondary school and exemplify the results with a poster and a digitalised short-film, produced by the students, to substantiate what participants told us in the interviews. All of the students experienced heteronormative discourse and lack of respect and indicated that they did not feel fully accepted in school. Upon entering the classroom, the visibility of LGBTs and discussion about different performances of gender and sexuality seem to disappear, whether in terms of textbooks, course content, teaching practices and school environment. Furthermore, LGBTs and those who do not conform to the hegemonic performances of gender are often constructed as deviations from the norm, strange, and even depicted as the abjected other. This applies in particular to the informal school, which embraces the traditions, culture and social interactions among students and teachers. This othering occurs, despite relatively positive attitudes towards LGBT people in Icelandic society in general. The results signify a gap between policy and practice as regards the positioning of LBGT students, which affects their schooling and well-being.