International Business Corporations

Asset Protection
Panamanian Corporations can hold assets internationally and are not required to keep assets or have bank accounts in Panama.

Bearer Shares
A Panamanian Corporation offers shareholder anonymity. There is no minimum number of shareholders required therefore one person can be the sole owner of all stock, holding this in bearer form.

Business Activities
Corporations may undertake any type of lawful business activity.   Contracts, invoices and corporate documents may be maintained in any language, and the records of transactions that take place outside of Panama may be kept in any country.

Confidentiality
The submissions of accounting records, files, correspondence or other documents to foreign authorities are only permitted with the express permission of the Courts of Panama. Information sharing treaties are limited to drug-related offences. All other revelations are expressly prohibited and may result in criminal prosecution.

Nominee Officers and Directors
It is not necessary for the officers and directors to be Panamanian citizens, nor is it necessary for the officers to be directors of the company. A minimum of 3 directors is required.  Corporate officers and directors or nominees can be provided by our agency upon request.

Filing Requirements
There are no requirements to file reports with the Panamanian government regarding any off-shore activities.

Payment of Salaries
Panamanian law dictates that only residents of Panama need declare their salary, wages or other compensation received from a Panamanian Corporation.

Tax Advantages
If a Panamanian corporation engages in business within Panama and also offshore, it is subject to income tax only on that portion of its net income arising from business carried on in Panama. Foreign-source income is exempt from dividend, capital gains tax and interest earned on deposits in local or foreign banks.

Panama Private Interest Foundations

Panamanian foundations are similar to trusts in that the foundation's assets are separate from the founder's personal assets.  The founder and the beneficiaries are not responsible for the foundation's liabilities or vice versa.

Ownership
Foundations do not have owners.

Business Activities
The foundation is a non-profit organization.  It may carry out commercial activities such as: opening of bank accounts, ownership of properties, etc., as long as these are used to meet the foundation's objectives.

Confidentiality
The protector and beneficiaries are not a matter of public record. There is a duty of confidentiality imposed by law over the Registered Agent, members of the Foundation Council, protector as well as public servants or private sector employees, regarding information of the activities, transactions and operations carried out by the foundation. The only exception for this duty of confidentiality arises when Panamanian judges order the disclosure of information related to investigations related to money laundering offences.
It is possible to appoint a “Nominee Foundation Council” to protect the client's identity.

Nationality
There are no restrictions as to the nationality or residence of any of its founders, beneficiaries, members of the Foundation Council or protectors.

Filing Requirements
There are no requirements to file annual returns or financial statements.  

Business License
Panama foundations DO NOT require a commercial business license to operate internationally.

Tax Advantages  
Foundations are exempt from income tax, capital gains tax, sales tax, property tax (for non-Panamanian property, estate tax and gift tax.

To apply for an IBC/Foundation:
IBC Application
Foundation Application