The service
sector contributes 80% of Panama's economy, which is based on insurance, re
exporting, banking, tourism, mining and commerce. The Colon Free Zone is very
successful, accounting for 14% of GNP. In 2006, the Gross National Product (GNP)
was US$26.040.000.000 The government has made productive use of the canal's facilities with
export processing zones and many investment incentives. Growth has been running
at 4% with low inflation (1.3%). GDP per head of $3,260 is only average for the region
and unemployment remains stubbornly high at 11%.Minimun salary is US$266.24.
Considered
a “low tax jurisdiction” because of its territoriality concept, Panama has been able to
attract a number of multi-national companies, banks, reinvoicing operation,
light manufacturing companies and other activities.
Panama become in one of the top offshore jurisdiction because its
geographical position rather than a deliberate attempt to be one. Is consider
between International Community as an Investment Oportunities country not a tax
evader. Panama even have no Tax Information or Double Tax Treaties with
any Country in the world.
Geography
The Republic
of Panama, between Colombia and Costa Rica, the country has an approximate a
population of 2.8million and a land area of 77,000 sq km or 30,000 square miles.
It has a
tropical climate. Panama is a sovereign democracy with a presidential style of
government. A pro-business government fell from power in 1999 and the new
president, Martin Torrijos has made populist promises. The Republic of Panama
possesses a democratic system of government divided intro three separated
branches, the Executive, the Legislative and the Judiciary.
Legal System
Panama laws has Roman Laws
based system, which convenient any Anglo system, in addition there are
several merchant figures established based in the Anglo system. Includes eclectic concepts in tax and invest regime.
Panama Low tax
Specialization
Panama has
territorial taxation, thus only locally-sourced income is taxed. There are no
'offshore' regimes as such other than the Colon Free Zone and the export
processing zones. There are more than 120,000 companies in Panama, most of which
trade or hold assets externally. It is reasonably easy to form corporations, and
privacy is assured. There are no tax treaties. Banking and shipping are Panama's
two main 'offshore' industries. There are more than 140 banks, specializing
obviously in South and Central American business, and Panama is the world's
largest shipping registry. Once, it would have been fair to say that drug
running and money-laundering were well-rooted in Panama, but with lots of US
pushing and shoving, the country seems to have moved in a better direction
lately. There is a small but growing stock exchange, and there is 'captives'
legislation which is little used.
Moderate
Taxation For Local Business
Foreign source profits is not taxable.
Locally-sourced profits are taxed at up to 30%; for individuals this is the top
rate of a sliding scale. There is no capital gains tax but gains on real estate
count as income. There is a small withholding tax. All foreign-source income is
tax-free. There is VAT, and import duties, but these have been reduced
substantially in recent years. The Government's extensive investment incentive
programs give substantial tax benefits to incoming investors in many sectors;
and the free zones are ideal for locating regional distribution centers. No
company with exclusively external assets and commercial operations will pay tax.
Panama Benefits
Minimization taxes is
a legal
way to optimize your profit, when you go offshore at least in Panama you
recieve the following benefits:
No tax reporting requirements.
No income tax.
No capital gains tax.
No interest income tax
No sales tax.
No tax on issuance of corporate shares.
No tax to shareholders.
No stock sale or transfer tax.
No capital stock tax.
No property tax.
No estate tax.
No gift tax.
No stamp tax.
No succession tax.
No inventory tax.
Investment and International Trade
People go offshore to invest and protect asset there is
nothing to concern about it, it is completely legal invest as
sovereign company, let us explain, your status quo as a person is changeable
only when you resign to your nationality, the tax regimes treat people in a
different way than corporations and you can choose the jurisdiction of the
corporation when you are doing international business.
Throughout Triangulated trade
you can
diminish your domestic taxes increasing your costs by an intermediary
company (your offshore company).
Simplify inheritance procedures and taxes.
Panama offshore system is among the best ways to protect your assests in the world, when you
constitute a Panama Corporation and you protect your identity with bearer
shares, with Panama's Private Interest Foundation or Panama´s Trust; you will not lose the
control of your goods, neither you won't lose your anonymity.
Technically spoken, in Panama if you receive profits from foreign source
you must not pay income, it doesn't matter if the company is incorporated in
Panama.
Many people use offshore just to avoid taxes in their enterprises, in
many countries that is a crime including United States, but nobody can deny
you the right to invest in Panama, because of its geographic position the
facilities of its financial center and tax regime.
Asset Protection
Moving your assets into a legal entity which will protect them from attack
of rash litigations, seizure from government, attack from an estranged
spouse. Indeed, anything which may threaten your hard earned wealth.
You could be broke by any of the following
causes:
· Breach of contract by no fault or
fortuitous causes.
· A malpractice lawsuit or another kinds of
lawsuits.
· Divorce.
· Fines for violating state or federal law
due to actions of an employee.
· Claims from creditors if your business
should fail.
· Catastrophic medical fees or anothers
invoices.
· A huge tax bill and escalating penalties
following a tax audit.
. Another reason to go
Offshore is Tax Minimization
Go Offshore in Panama is a wise decision, there is a
lot reason every time more and more people choose Panama as the best
offshore jurisdiction in the world. The characteristics to be considerered
among the top jurisdiction are:
1. Completely Tax Heaven: no foreign
sources income taxes, no capital gains tax, no interest income tax, no
inheritance tax, etc.
2. Easy Incorporation Laws: incorporate the
offshore corporation in less than one week, allow bearer shares, allow
directors, suscriptors and dignataries from any country.
3. Strict and Stable Privacy Laws: reveal
bank information and sharesholders information must to be a crime.
4. Banking Center: The offshore
jurisdiction has to own an excellent bank system that permit make transaction
online or by credit or debit cards.
5. Good Reputation: The offshore
jurisdiction must to be consider by international community a way to invest
not such tax evasion country, because there is susceptible to receive
international economy sanctions.
6. Trust or Foundation System: to make
secure your control of the shares without losing anonymity, give alternative
system to protect your shares in addition to bearer shares.
Minimization taxes is a legal
way to optimize your profit, when you go offshore in Panama you recieve the following benefits:
No tax reporting requirements.
No income tax.
No capital gains tax.
No interest income tax
No sales tax.
No tax on issuance of corporate shares.
No tax to shareholders.
No stock sale or transfer tax.
No capital stock tax.
No property tax.
No estate tax.
No gift tax.
No stamp tax.
No succession tax.
No inventory tax.
The
strategic position of Panama has been recognized as an element of
vital superiority for the international trade. Panama doesn't have Double Tax Treaty with any
nation in the world. It implies that if the company has presenced in severals countries
only gonna pays income respectively in those countries, but others taxes relative to the constitution of the corporation are away from the jurisdiction of the country of the subsidiary.
In Panama you
have a strong banking sector and low taxes regimen, wich means save of a
lot a money destinated to pay in taxes established on others jursidiction
that does not exist in our country.
Re-invoicing or Triangulate Trades optimize your profit,
think in all the asset your company loss paying taxes. 30% to 40% of your
profit go directly to the Government, We are not suggesting you Taxes is
bad, through is better forget to pay it, No, we are not. Your
company still paying income taxes, but this time will be less. How to do
that?. When you make a panama offshore corporation to re-invoice or
triangulate your trades, you will buy the products from Panama to the rest
of the world or you make the invoices from Panama, this services will
increase your costs, by consequence your profit diminish but only in your
book because the panama corporation will collect for this services.
Let see an example.
An US Company discharged to the Goverment of the United States 38% in income
taxes, in other words, every US$50000 they have earned, they must to pay
US$19000 in taxes. This company contract our services and open an offshore
corporation in Panama, this company buy the product in Brazil, then sales in
market prices the same product to the US Company, they sale the product in
USA, but diminish the margin operating profit but just in the books, because
the Panama Corporation belongs to them, but in anonymous shareholders.
Panama offers the most elegible and flexible incorporation
laws available in the world.
Total confidentiality.
Panama corporations & foundations, making it the second most
popular jurisdiction to incorporate in the world, next to Hong Kong,
but in this, the main factors people registered domicile is just for
business, Panam diversify its range to estate planning and assets
Protection.
Panama does not impose any reporting requirements for
non-resident Panamanian corporations.
Disclose of beneficial owners is not a requirement to access
registration by the Public register.
Companies doing business outside Panama are not required to
file annueal return/financial statements or to keep their books in
Panama
Nominative or bearer shares can be issued, with or withoutpar
value
There is no requirement issued share capital.
Annual meeting of shareholders or directors is not a
requirement.
Directors and shareholders may be citizen of any nation of the
world.
Panama corporation or International Business Corporation in
Panama have allowed doing business with foreign and Panamenian
companies around the world and is permitted owns real estate in Panama.
Directors no need to be shareholders.
Corporations conducting business outside of Panama do not
require a commercial license for offshore business activities.
Panama has a onshore system very atractive for the
foreign investment, because our laws are designed to give legal security
to the
investment. As well as several areas that Panama looking to
consolidate as a hub in telecomunication, Airflight, e-commerce, exportation tax free, importation and reexportation in free zones,
real estate, insurance, franchises, retails, international trades and
others.
One of the reason people go offshore is to
protect assets, moving your assets into a legal unconspicous entity
which will protect them from attack by rash litigation, seizure from
government, attack from an estranged spouse, in fact anything which may
threaten your hard earned wealth.
Investment and International commerce and
E-Commerce is
another reason to go offshore
People go offshore to invest depending of
the jurisdiction, Panama is land rich of attributes to business please visit
or investment section inside
About Us.
By means of Triangulation commerce you can
diminish your domestic taxes increasing your costs by an intermediary
company (your offshore company).
Another reason is merely to constitute an Estate Planning.
Simplify inheritance procedures and taxes.
Panama offshore system is one
of the best ways to protect your assests in the world, when you
constitute a Panama Corporation and you protect your identity with anonymous
or bearer shareholders, Panama's Private Interest Foundation or Panama´s Trust; you will not lose the
control of your goods, neither you will not lose your anonymity.
Around the world there is a
lot of companies that prefer protect himself with offshore companies. In
Europe and United States happen almost 4 of 5 Law suit in the world, that is
why a lot of companies are buying offshore companies.You can
protect your assets in Panama, you will be sure of the foreign exchange because Panama's
currency is the US dollar.
Our Panama law firm is
dedicated most of all to sell this offshore legal services to hundred of
persons around the world, also to anothers law
firms or directely to companies who sales services such as
financial services, insurance, banking, gambling, cosultors firms, or any
international trade product, just as clothes and fashion
industry our Panama Free Zone (we have two, one in Pacific and anothers in
the Atlantic), acompain with our Patent, & Trademark laws make it easy to
sales from Panama to anothers countries with substancials saves in taxes,
because Panama is a Tax Heaven.
Technically spoken, in
Panama if you recieve profits from foreign source you don't have to pay income, no matter if the company is
incorporated in Panama.
A lot of people use offhore
just to avoid taxes in their enterprises, in a lot of countries that is a
crime, includes United States, but nobody can deny you the posibility to
invest in Panama, because of its geographic position. the facilites of its
financial center, the simplicity of its taxes, etc.
For thats reason you can
consitute a Panama incorporation and Panama's Private Interests Foundation,
only for two thousand dollars you will protect all your assets, and invest to make
more money, As well you can get a panama corporation (IBC) with a fax and
voice message only US$1,299.00 you can choose between P.O Box for a year or
fax forwarding for six months. For more information, feel free to
contact us.
