Guides

In short: For permanent residency through real estate, Executive Decree 17 of September 8, 2026 sets B/.300,000.00 for a first-sale property (new, unoccupied and transferred by the developer) and B/.500,000.00 for a secondary-market property. New or resale does change the minimum: resale requires B/.200,000.00 more. In both cases the figure that counts is the lower of the price actually paid and the documented market value, minus real liens, and the investment must be held for five years. Checked on October 6, 2026. Contents of this guide What the rule requires by property type New versus resale: comparison table What to…

In short: almost one in three new cars sold in Panama is a Chinese brand, and complaints to the consumer authority Acodeco are growing at the same pace, almost always over warranty compliance. Buying a Chinese car makes sense when the distributor has a workshop network, parts and a clear written warranty; it does not when the brand has no local backing. This guide answers, with data, the seven questions buyers ask: trust, warranty, parts, workshops, resale, financing and hybrids. 1. Are Chinese cars reliable? China is now the world's largest vehicle exporter and its brands pass the same safety…

In short: To open an account for a Panamanian offshore company, a bank asks for proof that the company exists and is in good standing (Public Registry certificate and articles of incorporation), the identification of its officers and signatories, the identification of its beneficial owners and written support for the source of funds, under Agreement 1-2026 of the Superintendency of Banks. An application stalls mostly when the bank cannot identify the natural person behind the company or when the financial profile does not match the declared activity. Each bank applies its own risk matrix, so approval is never guaranteed. Information…

In short: a plug-in hybrid (PHEV) is a car with an electric motor and a petrol engine that charges from a socket and can cover daily journeys in electric mode, between 100 and 200 kilometres depending on the model, before switching to petrol. In Panama it is gaining ground because it settles the range question in a country with trips to the interior and few public chargers. Chinese brands dominate the offer: BYD, Changan, Jaecoo, GAC, JETOUR and Lynk & Co, alongside the Toyota RAV4 plug-in hybrid. Unlike fully electric cars, PHEVs do not get the 0% import duty of…

In short: The difference between an offshore company and an operating company in Panama lies not in the type of company but in where the income is generated and what activity is carried out. A company that invoices, sells or provides services inside Panama needs a Notice of Operation (Aviso de Operación) and is taxed on that income. One that runs business, investments or assets outside the territory is, in general, outside Panamanian income tax, with its own compliance duties. From fiscal year 2027, an economic substance rule also applies to certain entities of multinational groups. Contents of this guide…

In short: the most expensive legal mistakes foreigners make in Panama are not exotic: overstaying, working without a permit, buying a "possessory right" believing it is a property, leaving a company without paying its annual fee or believing that marrying a Panamanian grants citizenship. Each has a rule, a fine or a concrete consequence. This guide gathers them with the legal basis and the official figures, so the mistake is known before it is made. The ten mistakes, with their cost Citable fact: in Panama the overstay fine is 50 balboas per month or fraction, not per day; working without…

In short: in Panama anyone can check in two minutes whether a lawyer is real: the Supreme Court of Justice has a public licence search by name or number. Practising without a licence is a crime punishable by two to five years in prison, and yet between 2022 and 2026 Immigration, the Police and the National Bar Association have warned about fake lawyers, "fixers" and misuse of other lawyers' signatures who defraud foreigners with permits that are never filed. This guide gathers seven checks to make before handing over a passport or a payment. The seven checks Citable rule: in…

In short: in Panama no foreigner can file a residency application on their own: article 15 of Executive Decree 320 of 2008 requires every application filed in the country to be handled by a legal representative, that is, a lawyer licensed by the Supreme Court. The lawyer is not an optional intermediary but the only door into the file. This guide explains what they do at each phase, which documents the law requires, what the official fees cost and which timelines are real and which are estimates, because Immigration has only one regulated deadline, the qualified investor's 30 days. Why…

In short: Panama's pensionado visa grants immediate permanent residency to anyone who proves a lifetime pension of at least 1,000 dollars a month, or 750 if they buy a home worth 100,000 dollars or more. It is exempt from the repatriation deposit and the Treasury fee, and opens the door to the discounts of Law 6 of 1987: 25% in restaurants and on air fares, 50% in hotels on weekdays, 25% on electricity up to 600 kWh and 15 to 20% on medical services. The National Assembly approved an expansion of those discounts in August 2026, but the law has…

In short: Panama is still used for international structures, but under transparency rules that no longer fit the opaque image of a decade ago. The country left the FATF grey list in October 2023 and is not on the June 2026 update. On October 9, 2026, EU finance ministers removed Panama from Annex I, the list of non-cooperative tax jurisdictions. Territoriality still applies, now with an economic substance test for certain passive income from 2027. Checked on October 6, 2026. Contents of this guide The short answer What still holds and what changed The international lists, with dates Myths and…

In short: Friendly Nations residency is the route by which citizens of more than 50 countries can live in Panama with an employment contract, a 200,000 dollar property or a fixed-term deposit of the same amount. Since 2021 it is no longer permanent from the start: applicants first receive a two-year provisional permit and then permanent residency. On 1 September 2026 Ecuador joined the list. In the first half of 2026 Immigration approved 1,011 permits under this route, the country's fifth most used category. What it is and who can apply Panama created this subcategory in 2012 with Executive Decree…