Offshore Companies
Choose the jurisdiction which best suits your needs
Panama
Panama Corporation
General Info
Procedures to incorporate
For over eighty (80) years the Panamanian Corporation (“Sociedades Anonimas”) have been recognized, worldwide, as a corporate vehicle that can be successfully used in a variety of International Business, Asset Protection, Estate Planning Structures, among others.
Incorporation in Panama
International investors, financiers and businessmen find Panama an ideal foreign base country for world-wide operations and transactions. Panama taxes according to the territoriality principle (that is, it does not tax foreign-source income), only the income produced locally is taxable, disregarding the citizenship of the taxpayer. Dividends are not included as income subject to income tax.
Due to its structure, geographical position, political stability and characteristics of its economy, Panama has become one of the most important tax havens of the Western Hemisphere. It has excellent international transportation and communication systems; the United States Dollar has been a currency of legal tender for more than ninety years.
Panama has taken several steps to modernise its economy and promote foreign investment. Most Panamanian and foreign investors choose to form Corporations. There are no exchange controls, currency restrictions or reporting requirements, and Panama imposes no limits on monetary transfers to and from the country.
Offshore Incorporation
Names requiring Consent or License: Bank, building society, savings, insurance, assurance, reinsurance, fund management, investment fund, trust or their foreign language equivalents.
Suffixes to denote Limited Liability: All Panamanian corporations must end with the suffix Corporation, Incorporated, Sociedad Anonima or the abbreviations Corp, Inc or SA. They may not utilise the suffix Limited or Ltd.
Compliance
+ Authorized and issued Share Capital
The standard authorised share capital is US$10,000 divided in to 100 common voting shares of US$100 each or 500 common voting shares of no par value; the capital may be expressed in any convertible currency. The minimum issued capital is either one share of no par value or one share of par value.
+ Classes of Shares Permitted
Non-voting shares, preferred shares and registered shares. Bearer shares can be issued but no-par-value and bearer shares must be fully paid when issued. The registered agent must keep the bearer shares certificate in safe custody and must notify the Registrar that the shares have been issued.
+ Double Tax Treaties
In the last twenty months, the Republic of Panama has signed several double taxation treaties with countries such as Mexico, Barbados, Netherlands, Portugal, Spain, Singapore, France, Ireland, Israel, Italy, South Korea, Czech Republic, Qatar, United Arab Emirates and Barbados. They were duly ratified by the Panamanian congress and in consequence are considered local laws of Panama. Recently, the United Kingdom has signed a treaty and is pending to be ratified by Panamanian Congress soon. In the case of Austria and Vietnam they are at different stages of negotiation.
The purpose for the Republic of Panama is triple: first, to cooperate in the implementation of regulations against international tax evasion. Second, to fulfill international requisites with the Organization for Economic Cooperation and Development in order to be considered as non-taxation sanctuary of international tax evasion. Third, to avoid the double payment of taxes of foreign citizens or companies domiciled in Panama and in their countries of origin as well.
+ Taxation
No corporation tax is levied on non-Panamanian sourced income.
+ License Fees
Annual Franchise Tax of US$400 is payable – Please check remarks below.
+ Financial Statement Requirements
No requirement if income is of non-Panamanian sources.
+ Directors
Both corporations and natural persons may act as directors and the minimum number of directors is three. They may be of any nationality and need not be residents of Panama. Panamanian companies are also required to appoint a minimum of three officers (president, secretary and treasurer) who may also be the directors.
+ Company Secretary
A company secretary must be appointed, who may be a natural or corporate person. The company secretary may be of any nationality and need not be a resident of Panama.
+ Shareholders
The minimum number of shareholders is one.
Packages and Prices
Panama
Standard
Package
The cheapest option company formation, payment government fees, registered office, local registered agent, Client Due Diligence (CDD) full and free tax and legal assistance, and much more, to keep your entity fully compliant.
Business
Package
A special package with all services as included on the Standard Package, plus our Bank Account opening services with an internationally known financial institution, offering you online banking, multi-currency account, debit cards and all other major banking services you may need.
Premium
Package
A package with all services as included on the Business Package plus full Nominee Services (Nominee Members and Managers) providing you the highest degree in terms of confidentiality and anonymity.
How can we help you?
Should you have any question, our Business Development Managers team will be ready to guide and assist you!