CREATE YOUR COMPANY IN PANAMA

Why Panama Corporations?

The Republic of Panama has a long standing on the company and foundations formation because of the series of benefits and uses it offers. Panama is consider the gateway to the Americas, given the privileged location and hub for international banking, trade, flight frequency and the famous Panama Canal, that has contributed to the economy development of the region.

Panama has different types of companies, we will compare the most usual ones as follows:

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Type of EntityMembersDirectorshipAbreviationDue Diligence Disclosure Days to incorporate
IBC Corporationone shareholder, natural or juridical personminimum three persons of any nationalityS.A. / Inc. /Corp.Disclose of Directors not Shareholders3
LLC Corporations
at least two shareholders and maximum of twenty, natural or juridical person
minimum one administrator, natural or legal person of any nationality
S de R.L
Disclose of Directors not Shareholders
3
Partnership Companies
at least two professional members only from Panama, only natural person
three directors
N/A
Disclose all members
3
Non-Profit Corporation
Natural or legal person
three directors
N/A
Disclose all members3 Weeks

The Panamanian territorial regime of taxation, makes a huge advantage for International business establishment, because all the income generated overseas are not taxable.

ADVANTAGES

  • Easy and quick company formation, no need to be present can do and deliver to you by courier.
  • Panama has not restrictions on money remittance to overseas and no currency exchange controls as well.
  • Is commonly used as asset Holding Company of other company´s shares in different jurisdictions or for holding intellectual property rights.
  • Also can be used as council member, founder of protector in a case of management of trust or foundation assets.
  • On Real Estate property the panama corporation is frequently used to hold the title property for easy transfer or asset protection.
  • Depending on your region, the Panama Company can be used as trading company to export to USA for example, bringing you cost efficiency and advantage on commercial treaties.
  • The corporation can be used on any Panama Special economic zones for free trade, manufacturing, call centers, logistic company, IT and others.
  • You can use it for the setup of gaming licenses, e-casino licenses in Panama or financial licensed companies.

CORPORATE TAXATION

The Panama territorial tax system states that the only taxed income is the one produced or derived on Panama sources.  Profits obtained from overseas activities such as property transfer or sale, securities transfer or acquisition,  profit generated from investments are exempted from income or withholding tax. Dividends received from overseas are taxed with 5%.

For operative companies (With income from local source) the net Income Range Rate from  USD 0.00 to USD 1,500,000 is 25%

From  USD 1,500,000 onwards is 4.67% of taxable income (when this value is greater than 25% of the profit).

Companies where the Government has a 40% or more participation is 30% of taxable income. For dividends 10% tax applicable to income is generated locally and 5% if benefit is generated overseas.

REGISTERED AGENT and REGISTERED OFFICE

By regulation the company must have a resident agent in Panama and Registered office here as well, for registered office we can provide virtual office solutions of physical offices on demand.

PURPOSES & RESTRICTIONS

There are no restrictions to conduct any business except for that which is unlawful or requiring a licence.

CAPITAL REQUIREMENTS

Minimum registered capital for Panama companies is USD 10,000. There is no maximum capital restriction.

Download our PANAMA COMPANY
brochure now

Services Included

+ Articles of Incorporation
+ English Translation of Articles of Incorporation
+ Good Standing Certificate
+ Minutes Issuing Shares
+ Share Certificates
+ Minutes of Accounting Records
+ Share Register Book
+Certificate of Incumbency
+ Resignation of the Subscribers

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$1,400.00

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