Panamanian Offshore Corporations – General Information 

Panama is a Premier Offshore Jurisdiction. A Panamanian Offshore Company (Panamanian Corporation) is used for International Trade, Investment and Tax Planning. This type of entity is popular for trading companies and investment companies. Bearer shares are allowed.`

A Panamanian Corporation cannot trade within Panama. Banking, insurance, assurance, reinsurance business, fund management, collective investment schemes, trust management, trusteeship business provision are not permitted.

A Panamanian Corporation does not pay any tax on its worldwide profits and there is no requirement to file accounts with the Panama authorities.

Panama is not party to any double tax treaties.

Principal Corporate Legislation 

Corporation Statute Law 32 of the 1927 Commercial Code as amended.

Type of Law 

Common.

Language of Legislation and Corporate Documents

Spanish. 

Type of Company for International Trade, Investment & Tax Planning

Corporation.

Share Capital 

Standard authorised share capital is US$10,000 divided in to 100 shares of US$100 each. Minimum paid up share capital is US$1.

Classes of Share Available

Registered shares, shares of no par value, bearer shares, preference shares, redeemable shares and shares with or without voting rights.

 

Bearer Shares

Permitted. 

Restrictions on Trading

Cannot trade within Panama. Banking, insurance, assurance, reinsurance, fund management, collective investment schemes, trust management, trusteeship business provision are not permitted.

Registered Office Required

Yes, must be maintained in Panama.

Directors

The minimum number of directors is three. Director can be of any nationality and need not be resident in Panama. Corporate directors are permitted.

Shareholders

The minimum number of shareholders is one.

Publicly Accessible Records 

No.

Nominee Shareholders and Nominee Directors

Allowed.

Location of Meetings of Directors and Shareholders

Anywhere.

Disclosure of Beneficial Ownership to Authorities

No. 

Personal Presence Required

No.

Taxation 

Nil.

Double Taxation Treaty Access

None.

Requirements to File Accounts

None.

Requirement to File Annual Return

None.

Audit Requirements

None.

Currency

US Dollar and Balboa (PAB). 

Exchange Control

None. 

Language of Name 

English.

Required Words 

Words such as “Assurance”, “Bank”, “Building Society”, “Royal”, “Trust Company”, “Trustee Company” etc. will require justification.

Name of a Company

The words “Corporation”, “Incorporated”, “Societe Anonyme”, “Sociedad Anonima” or Corp., Inc., S.A. must be part of the name of every company.

Time to Incorporate

Two weeks, subject to name approval.