Type of Company - International Business Company (IBC).
Legislation – Corporation Law # 32 of 1927; Codigo de Commercio (Commercial Code); Limited Liability Company Law # 24 of 1966.
Company name – The word Corporation, Incorporated, Société Anonyme, Sociedad Anonima or an abbreviation thereof, must be part of the company name.
Time-scale for incorporation - 5 to 7 days.
Disclosure of beneficial owners prior to incorporation is NOT required.
Double tax treaties - NONE.
Ready-made companies are available.
Other corporate or partnership forms - Companies limited by guarantee and having a share capital, limited partnerships, limited duration companies.
Money laundering legislation is in existence.
Local Requirements
Registered Office and Registered Agent must be maintained locally.
Company Secretary is NOT required, but advisable and may be a natural person or corporate body, resident of any country.
Public recording of Directors only, upon the formation of the corporation.
Accounts are NOT required for public filing.
Corporate Requirements
Minimum number of shareholders - Two (2). May be of any nationality and resident of any country. Registered agent must subscribe to the Memorandum and Articles on incorporation.
Minimum number of directors/officers - Three (3) – President, Secretary and Treasurer. They may be of any nationality and resident of any country.
Minimum capital requirement - None.
Standard Authorised Capital - US$10,000.
Bearer shares are permitted.
Corporate Directors are permitted.
Annual Requirements
Annual return and annual statutory meetings are NOT required.
Statutory accounting is NOT required.
Annual Corporate Franchise Tax of US$250 per annum for corporations with authorised share capital of up to US10,000. A penalty fee of US$50 is levied if payment is late and a subsequent US$250 for a second late payment.
Taxation - Fully exempt / Nil, provided company activities are carried on outside Panama.
