We are a full-service Panamanian law firm specializing in relocation services in Panama, immigration law, Panamanian real estate law, Panamanian corporate law, and bank introductions in Panama, among other services such as maritime registrations in the Republic of Panama. Our attorneys are registered agents in the Panamanian public registry. We are located in Panama City, Panama, and our physical address and postal box are listed at the bottom of the website.
Our prices aren't the lowest on the market, nor are they the highest. We pride ourselves on offering excellent service at a fair price.
We are a reputable law firm in the Panamanian legal services industry. If you wish, we can provide you with a list of professional references. Unfortunately, due to the confidential nature of our practice, we cannot always provide references to our clients without their permission.
Most of our services, including immigration processing, real estate transactions, and banking introductions, require a personal visit. In some cases, we can incorporate Panamanian companies or foundations without meeting in person. However, Panama is a beautiful country, and we invite you to visit us. Our lawyers would be more than happy to schedule a personal consultation with you, free of charge for the first 30 minutes and $100 for each additional hour.
We offer various relocation services. We can help you obtain Panamanian residency, start a business, introduce banks, and more.
It depends on your needs. We recommend consulting with our real estate professionals to determine what's best for you.
Yes, we can arrange to show you many different properties, depending on what you are looking for and the location you prefer. Once you have decided on a property you wish to rent or buy, we can help you manage the real estate transaction.
Corporations are generally used for profit-making ventures involving commercial activities such as securities trading, banking, international trade, asset ownership, etc. Private interest foundations are generally used for non-profit activities such as charitable giving, receiving or giving, etc., but can also be used to hold purposes such as ownership of a Panamanian company or any other type of business.
Trusts are generally used for purposes such as owning companies or holding assets.
Yes. Foreigners have the same property rights as local Panamanians. You can own property in your personal name without any problems, however, some owners prefer to own property in the name of a Panamanian company for asset protection or specific business reasons
Yes. The government charges a penalty of $50 if you fail to pay your annual corporate franchise tax on time. After the first penalty, the government charges a second penalty of $300 for failure to pay two consecutive tax periods. Our law firm charges a penalty of $50 per tax period for failure to pay resident agent/registered office/chief executive officer fees. It's very important to keep your entity in good standing, otherwise the Panama Public Registry will cancel your company registration, making it costly to reactivate it.
Each Panamanian company package comes complete with a certificate of incorporation (with an official English translation), a resident agent, a registered office, share certificates (issued in nominative form), and a letter of resignation from the shareholders. Foundations include the registered foundation articles (with an official English translation), a resident agent, a registered office, and a certified private protectorate document.
Optionally, you can ask us to provide designated directors or board members. In this case, we will also include pre-signed and undated letters of resignation from each director (or board member), as well as a notarized and apostille-certified general power of attorney.
Designated directors (or designated board members) are directors appointed by our law firm for you. Every corporation or foundation must have three designated directors when the entity is registered in the Panamanian public registry. The directors' names and passport numbers are on the corporation's (or foundation's) public deed, and this information is publicly available. When we appoint designated directors to our clients' entities, we provide our clients with pre-signed, undated letters of resignation from each director so they can replace the directors at any time.
Yes, you can ship your household goods to Panama. It's recommended to ship household goods to Panama after obtaining residency, as you may be able to obtain special import duty discounts if you're a pensioner, for example.
The bank in Panama will require a source of funds to prove that the funds are from legitimate sources. The bank may request documentation, such as your tax return, financial statements, or employment letter, to support the source of the funds.
Yes, we provide legal advice for most types of businesses. Our areas of expertise include relocation to Panama, immigration services in Panama, real estate law, and corporate law.
Article 43 of the Italian Civil Code defines registered residence as the "place where a person has their habitual abode." Registered residence and registered domicile may coincide, but not always. Domicile is always governed by the same article and is the "place where a person has established the principal place of business and interests."
Tax residency is acquired if the taxpayer is registered in the Resident Population Registry or has residence or domicile in Italy for more than 183 days per year . This implies that they are subject to Italian taxation rules for income earned, regardless of the country in which it was generated. Therefore, it is recognized to the individual who meets at least one of the following requirements:
- registration in the Resident Population Registry;
- domicile established in Italy;
- residence established in Italian territory.
Extradition is the formal process by which a state surrenders an individual to another state for prosecution or punishment for crimes committed within the requesting country's jurisdiction. It is typically permitted by a bilateral or multilateral treaty. Some states extradite without a treaty, but these cases are rare. Extradition treaties help governments bring criminals who have fled their country to justice.
An extradition treaty does not guarantee that the signatories will work harmoniously on cases.
In most cases, all countries require work visas. If you are already a resident under other types of visas, you can either apply for a work permit or not be required to do so if the visa itself guarantees the right to work
By contacting us before the close of the fiscal year or renewal date, paying a fee to close it in a few days
In any jurisdiction we deal with and where we broker account openings, be it Panama, Belize, Nevis, or Singapore.
Depending on whether you are a tax resident of a country that provides for information exchange, your approach will vary. If you open an account as an Italian resident or resident of any other European country, you must always indicate ownership of the offshore account and its balances in the appropriate section of your tax return every year when they exceed €10,000. If you are a resident of a country with a preferential tax regime, such as
Panama, you do not need to declare anything.
Tax Havens: What They Are and Where They Are
A view of Panama's coastal belt
Tax havens are jurisdictions with preferential tax rates that allow for a reduction in tax burdens deemed by the OECD to be unfair in terms of competition compared to high-tax OECD countries. Tax havens have streamlined and highly liberal legislation that provides for:
- Territorial Taxation
- Tax residency for individuals and businesses
- Corporate secrecy or Corporate veil
- Banking secrecy under certain conditions to be verified
Tax Havens: What They Are and Residency Rules
Tax havens are also countries where establishing tax residency raises the specter of a reverse burden of proof on the individual who establishes residence in that tax haven. For example, Dubai and Panama are countries subject to the reverse burden of proof. This applies as long as you register with AIRE. Without AIRE registration, no one would know you reside in these countries, but you would not be able to benefit from AIRE registration and therefore from the cancellation of any obligations to the Italian tax authorities. AIRE, in fact, allows you to say goodbye to Italian tax obligations, and therefore we always encourage you to register with AIRE in the country where you establish residence, provided you actually live there. Tax havens are therefore subject to more humane and balanced laws, because they offer the right compromise between cost and efficiency for maintaining companies, accounts, and accounting management. Tax havens are present everywhere in the world. In the Americas, the tax havens of Panama, Uruguay, Paraguay, Belize, Cayman Islands, Bermudas, the Bahamas, and Delaware are famous. Tax havens exist in Europe, as do tax havens in Oceania and Asia. Tax havens have different laws depending on the country and geographic area. The procedures for doing business in tax havens vary greatly, ranging from stringent due diligence in some tax havens to more streamlined procedures in others. What is certain is that all tax havens comply with the law and are required to identify the final customer/beneficiary much more diligently than any European country. The reason why tax havens must proceed with proper identification is because they are subject to scrutiny by the IMF, FATF, FINCEN, and OECD, and a single error in their identification procedures leads to the exclusion of their banking system from international circuits or sanctions for international clients who do business with companies incorporated in sanctioned tax havens. Therefore, it is important to understand that tax havens are not countries where it is even remotely possible to violate the identification and due diligence rules. Tax havens are very strict in this regard and always apply the law to the letter. Tax havens benefit anyone who wishes to legally pay lower taxes by undergoing the due diligence that individual countries apply to international clients, always in compliance with international laws. Tax havens have not accepted hardened tax evaders or those who deal illegally in cash for at least 20 years. These are things of the distant past in these highly technological countries with fully digitalized finances. The general cleanup of tax havens benefits the tax havens themselves, allowing them to access an infinitely larger and richer market of honest clients to legally offer excellent services without having to accept entities deemed unsuitable for these types of services, thus allowing them to count on the opening of the corporate and banking markets to clients from countries that were previously difficult to access.
Generally speaking, any country that allows you to reduce the tax burden compared to your country of origin is classified as a tax haven. Within the OECD itself, due to some legal loophole, countries such as Andorra, Liechtenstein, Luxembourg, the Netherlands, Austria, Malta, Belgium, Cyprus, and Switzerland coexist, all of which are tax havens.
Tax havens are countries that are freely accessible and where you can do business freely.
Consider that it takes two years to make an asset untouchable once it's transferred to a foundation. The two-year wait after the asset's transfer is to prevent foundations from being opened for fraud. To protect the assets, they should be opened early, when there's no legal protection for the assets, preferably as an anti-seizure insurance policy in case things go badly. Generally, three or five years in advance, so that the two years legally required for ownership to be transferred to the foundation have passed.
No. They are two different procedures with two different sets of documents, two different timeframes, two different due diligence requirements, and two different costs, neither included in the other.
If you select the bank account opening option, we will work closely with you to identify the banks best suited to your needs from our network of major banks. The foreign bank will then decide whether the account can be opened, depending on their comfort with the nature of your business and the personal information you provide. However, in over 95% of cases, our clients have obtained their accounts. FAQ
For legal reasons, we cannot disclose the names of the offshore banks we work with. However, we assure you that we only work with top-tier banks that can offer you all the services you may need (internet banking, credit and debit cards). For the US only, we can disclose JP Morgan Chase, Bank of America, CitiBank, and Wells Fargo.
Yes, it's 100% true. The cost is €7,000. How do we do it? To compensate for your absence, which after September 11, 2001, is mandatory for national security reasons, we sign as managers of the company and the account. There are no other 100% legal ways to take advantage of remotely opening a bank account in the US. Therefore, we offer a true fiduciary and management service to help you open an account in the United States.
Almost all jurisdictions do not require accounting or auditing. We also offer CPA and accounting services for every jurisdiction under our control.
However, in some jurisdictions, such as Hong Kong, Singapore, and the United Kingdom, it is actually mandatory for companies to produce annual financial statements and have them audited, and in some cases, to pay taxes (see our jurisdiction comparison table). In the US, accounting is required purely as a bureaucratic matter, but taxes are zero. While a company may not be subject to tax reporting to local authorities, you should consult your tax, legal, or accounting advisor to determine whether you or your business have reporting obligations in other jurisdictions, including the jurisdiction in which you are a tax resident.
NB: FATCA or CRS , most offshore jurisdictions may FAQ
No. It's only needed for Singapore, but a virtual office is enough, which we can set up for you at an additional cost.
No, in almost all jurisdictions. Currently, only Panama offers this option/requirement.
The timeframe varies greatly, from 15 minutes after receiving payment to a month, depending on the chosen country and the company structure. The timeframe for opening an offshore company also depends on how many clients we have pending and how many are listed in the public register of the country where we will open the offshore company
There are numerous eligible jurisdictions; what you need to know is your definition of eligible. There are tax-free countries and high-tax countries, but that doesn't mean you'll pay taxes there. There are tax-free countries whose cost of living is so high that it's like paying a huge hidden tax while remaining tax-free. There are very high-tax countries whose cost of living is up to five times lower, guaranteeing purchasing power often triple that of Italy, and where the inefficient tax system allows you to avoid being taxed.
Generally, a tax haven is a good place to establish a residence, but not a place to live or retire. With tax residency, you generally live in a country with a low tax-free cost of living thanks to the tax haven's tax residency. As a digital nomad, you need to be resourceful to create the most flexible structure for your needs. Generally, there are no digital nomads in Panama , but all digital nomads are resident in Panama and live happily in Mexico, Colombia, Brazil, Ecuador, Peru, and the Dominican Republic. You need to decide your goal, whether fiscal or financial. These two things often don't go hand in hand, so it would be best to invest just $200 for a 120-minute phone consultation that will resolve your smart expatriation. The consultation also offers free, unlimited WhatsApp chat with a specialized lawyer for the following 12 months.
A prospective migrant is treated as a migrant; he or she must first be physically present before the authorities who will decide whether or not their application is admissible. Admission, and therefore eligibility for acceptance as a resident, is based on full compliance with the requirements of the immigration institute and the interior ministry of the chosen country.
As the criteria vary depending on the country chosen, contact us or read the dedicated pages on our website.
Always . Obtaining residency in another country does not affect your ability to continue to hold your original residence in Italy. You can have multiple residences. Having a second or third residence is a Plan B or C that can be dramatically useful in many cases or can be used as insurance for an uncertain future.
Flag Theory is the art and science of being a permanent traveler.
Flag Theory is the idea that you should "go where you're treated best."
The goal is to diversify your personal and financial affairs so that no government has control over you or your money.
Every time you base part of your life in a new country, you plant a “flag” and diversify based on geography, finances, law, lifestyle, taxes, business, health, politics, investments, and more.
Wikipedia covers the topic at this link .
Harry Schultz created the original Three Flags Theory, which gives you advice on planting flags for only three specific parts of your life:
1. Be a resident of a country where foreign income is not taxed
There are three types of taxes that governments can impose on their citizens:
- territorial taxation;
- residential taxation;
- citizenship-based taxation.
Territorial taxation means paying taxes on your income only if you earn it from where you live. Income from other countries is exempt from local taxes. For example, Australian citizens can earn money from anywhere in the world without paying taxes in Australia. However, if they earn money from their restaurant business in Germany, they will pay German taxes on their earnings from their retail establishment.
Residency-based taxation means you pay taxes where you live, regardless of where you earn your income. Many countries, such as Spain, apply a version of the 183-day rule, meaning you pay taxes if you spend half the year in that country. However, you don't pay taxes if you spend less than 183 days in the country, as you won't be considered a resident.
Nationality-based taxation involves paying taxes in your country of origin and wherever you live. This type of taxation is applicable only in two countries: the United States and Eritrea. The only way to avoid paying it is to renounce your nationality. This is one of the reasons why second passports are so attractive, especially for US citizens who pay taxes on their earnings from anywhere in the world. Meanwhile, in the case of Eritrea, taxation is not very severe, as they only levy a 2% tax on the income of its citizens.
2. Keep your assets and businesses in safe and stable tax havens
Either your foreign income isn't taxed based on your citizenship, or you're a resident of a low- or zero-tax country. You can start a business and not pay any taxes on the income you earn. It's highly recommended to choose a low-tax country, as the global community is putting more pressure on tax-free countries, which end up having to make several negative changes for those who choose them as a place to expatriate.
Despite this, you can avoid all the taxes you would be forced to pay on your income if you're a perpetual traveler or live in a tax haven. This is possible in the following countries: Paraguay, Panama, the British Virgin Islands, the Cayman Islands, Hong Kong, Nevis, and the Seychelles. Non-domestic companies typically don't have to pay taxes in these countries. Sometimes they don't even have to submit an annual audit or accounting report. With this in mind, the flag theory can save you a lot of valuable time and money.
3. Live as a tourist in a low-cost country for greater independence
The concept of the perpetual traveler is very evident here. Perpetual travelers are also known as "permanent tourists" because they have no formal residence anywhere. They travel from one country to another as tourists, even if they spend three to six months a year in one country.
Passport holders from wealthy countries can easily enter most of the Americas, Europe, and much of Asia without a visa. They are usually able to stay for three to six months. FAQ
While this eliminates the need for a visa in most countries, it doesn't happen in the US. Therefore, it's illegal and highly discouraged to attempt.
While both offer virtually the same type of tax residency, Paraguay has some advantages in:
- Weak currency and therefore very low cost of living for those who move there.
- There are still few laws against money laundering, which allows people to open accounts easily and set up companies without delay.
- It allows you to travel to the country once every three years to maintain your active residency. But after three years, you apply directly for citizenship.
- It grants the passport after only 3 years compared to 5 in Panama.
- Panama, for its part, offers the advantage of being in the best possible location, making it a logistics and airport hub. Tocumen Airport is the hub of the Americas.
- Panama has the dollar, which, although it makes it much more expensive to live in, also guarantees reduced inflation and goods valued in hard currency, as well as a liberal economic policy.
- It has the largest financial center in the Americas, with the largest concentration of offshore banks in the Americas.
- It has a thriving offshore corporate industry. It's very easy to move money and do business both offshore and onshore.
- For Italians, there's no expiration date on permanent residency, so unlike visas from other friendly countries, there's no obligation to return every two years. Be wary of anyone who claims otherwise.
- Moving to live in Paraguay for Italians and Swiss is exceptionally easy, due to the strong historical and cultural ties between the three countries
- Incomparable and certified cultural similarity considering that Paraguay has 73% and more of its population of European descent
- Living and working in Paraguay once you have taken up residency in Paraguay is not at all complicated and does not require work permits like in Panama
- Taking up residence in Paraguay allows you to obtain a Certificate of Fiscal Residency, while in Panama this is not possible for Italians. In fact, read the page relating to the certificate of fiscal residency and to which countries it applies to Panama.
- In both countries it is easy to register with AIRE, therefore saying goodbye to the Italian tax authorities if you spend more than 183 days outside Italy.
For more information: Secondary site for residency in Paraguay, always our own, How to take up residency in Paraguay , Reddit difference between residency in Panama and residency in Paraguay
!▶︎ ATTENTION : As of February 2023, some conditions for residency in Paraguay have changed. Applications are now even easier, and the requirement to open a bank account has been eliminated; it is now optional if you wish. Blood tests are no longer required for almost all visa categories.
