Panama Legal Services
We provides a wide range of legal services in Panama, as well as worldwide company and foundation incorporation, corporate services, real estate assessment, mergers and acquisitions, contracts, estate planning, asset protection, and offshore company legal services.
Panama Corporation / Sociedad Anonima
A Panama corporation can be used by individuals from all over the world who are interested in global asset protection, privacy, investment diversification, tax minimization, affordability, and convenience.
A Panama corporation can be used by individuals from all over the world who are interested in global asset protection, privacy, investment diversification, tax minimization, affordability, and convenience.
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No Capital Requirements: Panama corporations do not require Paid-In Capital, nor is there a time limit in which authorized capital must be fully paid.
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Directors: Every Panama corporation requires 3 directors/officers (President, Secretary, and Treasurer).
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Subscribers: Panama corporations must have two subscribers present at the public registry in order to be incorporated.
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Legal Address: When registering a new Panama corporation, it must have a legal physical address that is included in the articles of incorporation. Our Company provides a legal physical address as Registered Agent.
Flat Annual Panama Corporate Franchise Tax
The only tax paid by non-resident offshore Panama Corporations is the flat annual corporate franchise tax of US$300 (referred to as the “tasa unica”).
Late Payment Penalty:
If the flat annual corporate franchise tax (“tasa unica”) is not paid on or before the due dates mentioned above, the entity will be charged a late penalty of US$50 per year that the tax is not paid.
Second Late Payment Penalty:
If the flat annual corporate franchise tax (“tasa unica”) is not paid after two “deadline” periods, the entity will be charged a second late penalty of US$300 per year for every additional “deadline” period missed thereafter.
Procedure to form a Panama Corporation
1. Personal Information: Complete the order form with your personal contact details.
2. Selecting the Name(s): On the application, you should indicate three name choices for each new Panama corporation.
3. Directors: You should indicate who you want to appoint as directors of your corporation(s). Every Panama company requires 3 directors/officers (President, Secretary, and Treasurer).
4. Share Certificates: On the order form, clients should inform us as to how they wish to have their corporation share certificates issued.
5. Time Frame: A new Panama corporation can be established within 3 business days. If you wish to expedite the formation of your Panama corporation, there is a $250 expedite fee, and we can have it completed within 24 to 48 hours.
Panama Foundation
The Panama Private Interest Foundation was introduced by Panama in 1995 and a number of jurisdictions followed this action later on. At the presente time, Panama Private Interest Foundation offers a great measure of confidentiality, flexibility and is used for a range of purposes including asset protection, inheritance plannig, etc.
Fiscal advantages of Private Interest Foundations:
A Private Interest Foundation, national or offshore, is exempted from all taxes, contributions, fees or duties almost in the same manner as a Trust. This is why, constitution, modification, or extinction acts, as well as transfer, transmission, or encumbrances acts of the assets of a Foundation and the income generated by said assets or any act in respect of said assets, are exempted if and when:
1- The goods are located abroad
2- The monies deposited by natural or juridical persons or their revenues are not from a Panamanian
source nor taxable for any reason in Panama
3- Shares or securities of any type issued by corporations whose income are not from a
Panamanian source nor taxable for any reason, even when said shares or securities are deposited in Panama
4- All acts related to the transfer of real estate, titles, certificates of deposit, securities, monies,
actions carried out related to the compliance of the purposes or objectives or the extinction of the foundation, in favor of first-degree relatives or the spouse of the founder.
Only economic activities, which take place within the country, are taxed, if the taxable income is not generated from a Panamanian source.
Procedure to form a Panama Foundation
1. Personal Information: Complete the application with your personal contact details.
2. Indicate what type of entity(s) you want: Indicate whether you want a new Panama Foundation or a Panama shelf Foundation.
3. Selecting the Name(s): On the application, you should indicate three name choices for each Panama Foundation. Panama Foundations names can be in any language and must include the word “Foundation or Fundacion” within the name (in any language).
4. Foundation Council (Directors): On the online application, you should indicate who you want to appoint as council members (directors) of your Panama Foundation(s). The council members can be either individuals or entities. If the council members are individuals, the law requires 3 council members (President, Secretary and Treasurer). If the council members are entities, the law only requires one council member.
5. Beneficiaries: The Beneficiaries of the Foundation need not to be known by us when registering the Foundation. When you receive the Foundation documents, you will appoint the Protector, by signing the Private Protectorate Document. The Protector will need to write a Letter of Wishes, indicating who the beneficiaries of the Foundation are.
6. Time Frame: A new Panama Foundation can be established within 3 to 5 business days. Panama shelf foundations are also available if you need a Panama Foundation immediately.