Imagine a place where your business can thrive without the constraints of stifling taxation. Opening a company in Panama means entering one of the most efficient and respected offshore jurisdictions in the world. Thanks to the territorial tax system, you only pay taxes on locally generated profits, guaranteeing you significant savings and the ability to reinvest in your ambitions. Whether you are a global entrepreneur or a remote worker, Panama offers an unbeatable combination of tax convenience, privacy and flexibility. You will be totally exempt from taxes on earnings received from abroad no matter from which country or group of countries. With a corporate system with a modern infrastructure, access to international markets and a stable political and economic environment, Panama is the perfect tax haven for those seeking limitless opportunities.

Opening a company in Panama allows you to take advantage of a perfect tool for your offshore business. At Studio Panama Italia , you can meet your corporate needs and open companies in Panama in full clarity and Panamanian law. Opening a company in Panama is a very simple and immediate operation. What are the benefits of opening a company in Panama?

• Panamanian companies enjoy a lot of respect in the world, they are in fact the first to be used for the registration of vessels in the world, especially in the logistics and NGO fields, and
• they are the third in the world for aircraft registration.
• Opening a company in Panama also allows you to manage businesses and real estate assets: Panama companies are the third in the world for real estate registration and the fifth in the world for online business.
• Opening a company in Panama allows you to exploit the company as a holding company: Panama companies are the third in the world for holding purposes, and the fourth in the world for asset protection use.
• Approximately 40% of the global logistics market operates with Panamanian companies. This makes it clear how much value the world places on Panama, how much respect Panamanian companies enjoy and how flexible Panamanian companies can be. In fact, Panamanian companies lend themselves to a multiple diversity of operations.
• Opening a company in Panama is easy and can be done remotely from your home without having to physically move to Panama.
• You do not need to be a resident of Panama to open a company in Panama; but you can open a Panama company to obtain residency in Panama.
• Panama companies are issued in their original language which is Spanish and can be translated into any language upon prior notice and additional upfront cost.

Why open a company in Panama

Panama is an international commercial and financial center strategically located between the Americas. Its politically stable environment, business-friendly legislation, attractive tax regime, and large and developed banking sector have made Panama one of the most popular jurisdictions for establishing international companies. Panama has excellent infrastructure and communications and is one of the largest international distribution and free trade centers in the world. Panama imposes taxation on a territorial basis, therefore Panamanian companies that conduct their business exclusively outside Panama, are exempt from all local taxes, including income tax, capital gains tax, withholding taxes and stamp duty on the transfer of company shares and other property. Also, interest paid by local banks is tax-free and there are no exchange controls. Opening a company in Panama in this idyllic tax and logistical context is extremely suitable for any business of any nature that wants to take advantage of a competitive advantage both in fiscal and bureaucratic terms against competitors in the same sector in other countries.

Open Company in Panama and zero income taxes

Opening a company in Panama allows you to legally avoid 100% of the taxable income. Panamanian companies are also exempt from local taxes on incomes earned from international maritime trade and the commerce of Panama-registered vessel owners, regardless of where the contract is performed. Opening a company in Panama also provides the right tool to obtain certain privacy. companies , in fact, can benefit from the confidentiality guaranteed by the Panamanian corporate veil. Panama's corporate secrecy.

Open company in Panama and nominees : corporate veil

As anticipated, opening companies in Panama allows you to take advantage of the corporate or corporate secret secret and therefore in fact to have a real anonymous company of Panama. Opening a company in Panama allows you to conceal the details of the actual shareholders and beneficiaries. These details are not disclosed in a public register and the actions can be registered with the bearer, but must be deposited with a custodian or resident agent (us). The confidentiality of commercial and banking transactions is protected by law. Although the names and guidelines of the administrators and officials are included in the articles of association and available to the public, the use of fictitious holders or nomenees or nominees are also allowed also called testaferro.

Open a company in Panama for any business

Panamanian companies can be incorporated for any legal purpose and business and only require a license to conduct financial or insurance business. They can have a single shareholder but at least 3 officers are required, who can be the same person and can be companies or individuals, resident or non-resident. Annual general meetings are not mandatory.

There are no initial capital requirements and shares can be issued with or without par value.

Panamanian companies that operate exclusively outside the country also benefit from minimum reporting requirements as they are not required to file their annual return or tax return, or submit any type of financial statement or report.

Open Company in Panama : Tax structuring and account

Opening a company in Panama is on average quick, the incorporation process is straightforward and ongoing maintenance costs are low.

Opening a company in Panama is also the necessary requirement to obtain residency in Panama for Italy via the Panama Italia treaty

Panama is a compliant jurisdiction and has implemented the OECD Automatic Exchange of Information for Tax Purposes (AEoI) on non- residents. When one assumes tax residence in Panama both via company and personal residence, one becomes immune to the exchange of information between Panama and Italy.

Panamanian companies are commonly used for international tax structuring, international commercial transactions, commercial and bank account access, ecommerce and internet services, trading, wealth management or as a holding company.

Compliance and Compliance: Panamanian companies are required to maintain accounting records and underlying documentation, which must be available for 5 years. Records may be maintained at the Panama resident agent's office or at any other location determined by the board of directors.

Open Company in Panama and Territorial Taxation

You do not need to file accounts, annual returns, or tax returns, as long as the company does not conduct business or hold assets in Panama.

The registered agent, which is us, is required to maintain a share register for the company and a copy of shareholder identification. Panamanian companies are expected to keep a minute book and share register, which can be kept anywhere in the world. If interested, read our FAQ.

Company in Panama to operate offshore : Structure

Country code: PA

Legal basis: Civil law

Regulatory framework: Ley No. 32 de 1927 sobre Sociedades Anónimas, Código de comercio (Decree-Law No. 5 of 1997, article 5).

Company form: Sociedad Anónima (SA) (joint company).

Liability: The shareholder's liability for the company is limited to the amount of their respective holdings.

Share Capital: Standard authorized capital is US$10,000 , divided into 100 shares of US$100 each . The share capital can be in unpaid form. It can be denominated in USD or any other currency. Bearer shares and shares of no par value are permitted, but must be fully paid upon issue. The certificate of bearer shares must be kept by the registered agent in custody and the Registrar must be notified of such shares.

Shareholders: Corporations in Panama can be formed by one or more shareholders, who can be natural or legal persons, resident or non-resident, without restriction. Shareholder details may not be publicly available.

Directors: At least three directors and officers. President, treasurer and secretary, who may be directors and officers simultaneously. They can be individuals or companies. Administrator data is available in the public register. Nominee directors are allowed.

Secretary: A secretary is required who can be an individual or a company, resident or non-resident. The administrator may also act as the company secretary.

Registered Address : Companies must have a registered physical office address located in Panama.

General meeting: Annual general meetings are not mandatory. However, if meetings are held, they can be held anywhere in the world and can be held by proxy.

Electronic signature: Allowed.

Redomiciliation: Inbound and outbound redomiciliation is allowed.

Company in Panama to pay zero taxes

Tax Residence: A company is  tax resident in Panama if it is incorporated under Panamanian law or if it is managed and controlled in Panama. Opening a company in Panama is therefore convenient when it is necessary to use a tax residence in the company name for obvious privileged treatments.

Basis: Panamanian corporate income tax is levied on a territorial basis. Both resident and non-resident companies are subject to tax on Panamanian income. Foreign-source income is not subject to tax, whether remitted or not. Opening a company in Panama therefore allows you to pay zero taxes on foreign source income.

Tax Rate: Income tax is levied on local source income at the higher of 25% flat rate on net taxable income or 1.17% on gross taxable income.

Capital gains: Capital gains are taxed separately at a rate of 10%. If the capital gains arise from the sale of real estate and constitute the taxpayer's main economic activity, they are subject to the ordinary rate of corporate income tax. Capital gains of foreign origin are exempt from taxation.

Dividends: Dividend distributions may be subject to a withholding tax of 10% on domestically sourced earnings and 5% on foreign sourced earnings (export income).

An exemption from withholding tax on dividends may apply for companies whose business activities are exclusively outside Panama. Dividends received from foreign entities are offshore in nature and therefore not subject to taxation.

Interest: Interest income is subject to tax at standard rates.

Royalty: Royalty income is subject to income tax to the extent it reflects operations conducted in Panama.

Foreign Sourced Income: Foreign sourced income is generally exempt from corporation tax. Some export income may be taxed as a dividend at a rate of 5%.

Withholding Tax: As mentioned above, dividend distributions are subject to a withholding tax of 10% on locally sourced profits and 5% on export income. If the entity's shares are issued in bearer form, the dividends may be subject to a dividend tax of 20%.

An exemption from withholding tax on dividends may apply for companies whose business activities are exclusively outside Panama.

Interest and royalties paid to non-residents are subject to a 12.5% ​​withholding tax.

Losses: Losses from taxable income can be carried forward for 5 years (maximum 20% of losses per year), but may not exceed 50% of taxable income in any year. The carry forward of losses is not permitted.

Inventories: Inventories are generally carried at cost and may be measured using the average compound cost method, the FIFO (first in first out) method, the retail method or the specific identification method.

Anti-avoidance rules: Transfer pricing rules are applicable to all transactions with non-domiciled related parties.

The informative declaration must be presented within six months of the end of the tax year. A further economic report on arm's length must be kept and made available for inspection by the tax authority upon request.

Panama has not issued rules on thin capitalization, nor regulations on controlled foreign companies.

Employment Taxes: Employers and employees are required to pay Social Security contributions of 12.25% and 9.275% respectively of the monthly income of Panamanian-resident employees, with no cap. In addition, there is an education insurance levy of 1.50% for employers and 1.25% for employees, with no cap. Nothing is paid when the employer and employees are all employed. 'abroad.

Some sectors are subject to an occupational risk tax of up to 6.25% on employees' wages, paid by the employer.

Tax Credits and Incentives: Companies established in free zones are eligible for a tax exemption on import duties, income tax, sales tax, export tax and selective consumption tax.

Companies engaged in tourism activities that have signed a tourism agreement with the government are eligible for various tax advantages.

Individuals or companies engaged in agricultural production activities may be exempt from income tax if the annual gross income is less than US$250,000.

Companies carrying out forest plantations can be exempt from income tax until 2018, provided that the lot has been duly registered in the Forest Registry of the National Environmental Authority.

Other tax benefits may apply to companies that carry on certain activities such as call centers or real estate investments, or companies that establish their regional headquarters in Panama.

Compliance: On average, a company operating in Panama may require 52 payments and 417 hours per year to prepare, file and pay taxes.

Corporation in Panama and Personal Income Tax

Personal Income Tax – An individual is a tax resident in Panama if he spends more than 183 days a year in the territory.

Opening a company in Panama is an easy operation to do remotely. Panama companies work perfectly in symbiosis with American companies such as LLCs. You can operate both purely offshore or holding or mixed activities using both, and you can make them more anonymous using both American LLCs as shareholders and directors of a Panama company and vice versa

Open LLC in Delaware | Open LLC in Wyoming | Open LLC in New Mexico | Open LLC in Florida

It is possible to use a Panamanian company as an account holder for Forex Trading or Crypto Trading, such as accounts in crypto exchanges and crypto trading platforms. We work diligently with the major crypto exchanges and forex platforms. We currently supply established and operational companies to around 3000 clients operating on exchanges and forex platforms such as:

• Binance
• Kraken
• Gemini
• okex
• Huobi
• Bitstamp

And

• Etoro
• I detour
• TDAmeritrade
• IG
• Interactive Brokers

Our operation of opening companies that comply with the requirements of these platforms is ascertained. However, we do not open accounts in these platforms and therefore this part will be at your expense

The cost for a Panama company that fully meets the above criteria to operate easily is USD 2850, and you can use the same company to apply for Panama residency.

Corporations in Panama are the most incorporated companies on the globe. They have surpassed those of Hong Kong and are more used than US LLC companies when the business is strictly offshore and a certain anonymity must be guaranteed in the board of directors. But they are mostly used when it is necessary to use a bank that can transact millions or billions of dollars in a few seconds. This becomes impossible for a foreign investor who wants to do the same with a US LLC if he decides to open the LLC and rely on the solution of an American online bank. While it becomes equivalent to the Panamanian one if you have the possibility to travel to the USA and open a physical US bank account at a branch. Panama allows you to immediately and remotely open a corporate account in Panamanian multinational banking companies, therefore it is an extreme advantage for those who decide to join certain Panamanian corporate institutions. Panama's companies are, thanks to the super evolved and updated pro crypto, pro DAO pro Artificial Intelligence corporate regulations updated in 2024 the best you can open to manage cryptobusiness. Thanks to the most modern and advanced corporate legislation on DAO, Crypto and Artificial Intelligence, Panama companies are the most digitally advanced companies in the world. Opening a company in Panama to manage businesses related to AI, Blockchain, or to carry out ICOs and DAOs, is not only recommended but desirable given the pleasant and open protech climate established in Panama, and the arrival of a huge community of enthusiasts of technology that by taking up residence in Panama is creating the foundations for a new Silicon Valley 3.0 in the heart of Central America.

Panama Company : Nominees

<a i=0>Opening a Panama company is not always convenient. It is often necessary to open other types of companies and the reasons can be many. Firstly the costs. A Panamanian company, although cheap, with frontmen not exceeding 2500 dollars, is still a multi-manager company. To be open, 5 directors are required. Assuming you are one of the 5, who will be the other 4? It is one thing to open the company in Panama to take up residence and then close it. There you will be one of the 5 directors and the other 4 will be figureheads of the studio. Of course you could apply the same practice to open one and do business. But the problem is that you will then have to open an account for us if you want to operate there and you will have to provide information of all the directors, passport, identity card, bank reference, personal reference, taxes paid and clearly no law firm will provide this information for its frontmen and therefore the main obstacle, such as that of opening an account both in Panama and outside Panama becomes great. Furthermore, the documents are drawn up in Spanish, to use it with banks outside Panama you will have to translate it and apostille the documents, which involves other costs. Finally, maintenance is still quite expensive, around 1800 dollars annually between resident agent and tax return. Our advice is if you want to open an easy, single director company, ready in 48 hours, to</a> <a i=1>open a simple USA LLC with our firm.</a>

The greatest difference between SA and Srl of Panama, lies in the fact that the anonymous companies (SA) are joint -stock companies, whose shareholder must not be registered in the public registers, for which it remains anonymous to the public and its information not available on the web (OpenCorporates and Panata for example). The share certificate remains in the hands of the resident and bank agent. The limited liability company (srl) must provide for the identity of the shareholders to the public register. The Panamense Srl is made up of a minimum of two responsible members and clear owners of the company. The Srl unlike the SA does not issue actions but only participations (minimum 2). The main requirement of the Srl is the transparency of its corporate structure. A Sa or Sociedad anonymous of Panama, is more used and can be converted into an Srl and vice versa. In the event of a passage, sale or transition of shares (in the case of SA) or participations (in the case of Srl), it is much simpler, economic and immediate to do so with the SA (Sociedad anonymous) than with the srl. If you are looking for properties, intangible goods or doing business offshore, the SA has evident advantages as an asset protection and asset management tool also acting as a vehicle for the protection of privacy. SA can also act as a holding, natural environment for this type of society. For consultancy companies you know are preferred compared to the Srl for issues of anonymity and total protection of the shareholder compared to the member of the Srl (against complaints, or legal actions taken by customers, authorities, etc.).

A company's web presence is essential. Through a dedicated hosting service and localized servers, our hosting service partner offers special discounts and fast servers in any location of your choice. Contract a service with Cloudways. Opening a company in Panama without giving it a web presence nowadays seems like something anomalous. Banks, institutions and customers, especially if remotely, will need to interface with a virtual identity of the Panamanian company (or any other country). Opening a company in Panama and not giving it a direct and secure method of intermediating and interfacing with clients from all over the globe through an institutional website would lead to clients and institutions "trusting" them less when doing business.

Opening a Panama company is not always convenient. It is often necessary to open other types of companies and the reasons can be many. Firstly the costs. A Panamanian company, although cheap, with frontmen not exceeding 2500 dollars, is still a multi-manager company. To be open, 5 directors are required. Assuming you are one of the 5, who will be the other 4? It is one thing to open the company in Panama to take up residence and then close it. There you will be one of the 5 directors and the other 4 will be figureheads of the studio. Of course you could apply the same practice to open one and do business. But the problem is that you will then have to open an account for us if you want to operate there and you will have to provide information of all the directors, passport, identity card, bank reference, personal reference, taxes paid and clearly no law firm will provide this information for its frontmen and therefore the main obstacle, such as that of opening an account both in Panama and outside Panama becomes great. Furthermore, the documents are drawn up in Spanish, to use it with banks outside Panama you will have to translate it and apostille the documents, which involves other costs. Finally, maintenance is still quite expensive, around 1800 dollars annually between resident agent and tax return. Our advice is if you want to open an easy, single director company, ready in 48 hours, to open a simple USA LLC with our firm.

Finally, opening a company in Panama is a great opportunity to start having relations with the Republic of Panama, take advantage of residence in Panama, operate in an offshore regime and not pay taxes thanks to Panama's territorial taxation, manage mandatory accounting in Panama for all earnings made in the territory (if any) but streamlined and tax free for extraterritorial offshore earnings. Furthermore, opening a company in Panama allows you to interface globally with a first-level company with which your clients and companies around the world want to do business due to the professionalism, seriousness and admiration that the world has for Panama.

This page was written and then checked by an expert and authorized lawyer using updated information from the Publica de Panamá register, and the system of corporate laws present in Panamá. Any improvements in grammatical or lexical terms can be obtained through the lexical correction of the AI used to improve the expression of the texts.