Panama

General data
Republic of Panama is located between Costa-Rica and Columbia, on the isthmus, which joins North and South America. Panama legislative drafting is based on the law of England. Official and spoken language – Spanish. Monetary unit – balboa.

Taxation
Income gained outside Panama is not levied.

Contracts made to avoid double taxation
Not available.

Registration procedure
There must be certainly presented company’s resolution foundation, which is signed by Notary and which includes a document for recording in the state register.

Types of companies
Companies are registered according to Trade Unions Act No32 of Commercial Code 1927. There are used limited liability companies and limited partnerships.

Fixed capital of a company
Standard fixed capital – 10 000 USD, which is divided into one hundred voting ordinary shares with the value of 100 USD or into five hundred voting ordinary shares without nominal value. Fixed capital may be in any currency. Minimum issued fixed capital – one share without nominal value or one share with nominal value.

Permitted field of activities
All field of activities, which are not forbidden by law, are permitted. Bank services, insurance services and reassurance services and also offer of trust services is licensed.

State annual fee
250 USD.

Founders of a company
Minimum number of shareholders is 1 (one). Permitted are also nominal shareholders.

Requirements to a business name
All names of Panama companies must end with words Corporation, Incorporated, Sociedad Anonima or with abbreviations Corp., Inc., SA., but must not end with words Limited or Ltd.

Directors of a company
Directors of a company may be both natural and legal persons. Minimum number of directors is 3 (three). They may have any citizenship and must not be residents of Panama. Three obligated persons (president, secretary, cashier) should be appointed in Panama companies, who may be at the same time directors of a company. 

Secretary of a company
A company must appoint a secretary, who may be both natural and legal person. He/she may have any citizenship and he/she must not be the resident of Panama.

Meeting of shareholders/ directors
Meeting of shareholders/ directors may take place in any state.

Registered office
Company must have the registered office address in Panama.

Period of registration of a company
2 (two) weeks.

Presentation and audit of financial and annual statements
Presentation of financial statement is not required if income is not gained on the territory of Panama.

Documents kept in a registered office
List of shareholders, directors and secretaries.

Information about a company available for the third persons
List of shareholders, directors and secretaries. There is no obligation of disclosure of information about (actual beneficiaries) the owners.