WE ASSIST YOU TO ESTABLISH A COMPANY IN PANAMA
OUR CORPORATE ATTORNEYS CAN SET UP A COMPANY FOR YOU IN LESS THAN 7 DAYS
It is a fact that Panama is known to be the BEST TAX HAVEN JURISDICTION IN THE WORLD. Investors who are interested to protect their assets, choose Panama to set up a company & foundation. The simple reason is that a Panama Company structure and corporate laws are far superior than other countries. Here's list some of its features;
- FLEXIBLE REPORTING REQUIREMENT
- ANONYMOUS COMPANY STATUS
- TAX EXEMPTION LAWS
- CORPORATE SECRECY & PRIVACY
BENEFITS OF A PANAMA COMPANY
1- TAX EXEMPTION; Panama is considered the best tax haven jurisdiction in the world.
2- OFFSHORE BANKING; We assist you to open an offshore bank account.
3- RESIDENCY; By having a company in Panama, you may be eligible for Panama residency.
4- ASSET PROTECTION; By having a foundation in Panama, you can shield your assets from creditors and avoid probate tax.
5- FAST & EASY TO FORM A COMPANY; We can assist you to establish a company in Panama in less than a week.
6- STABLE ECONOMY; Panama is a small democratic country located in Central America
7- SECURITY; Panama is a secure country and the crime rate is very low.
8- CURRENCY; Panama’s currency is US dollar.
9- FINANCIAL HUB; Panama is a financial hub in Latin America
10- EASY TO MAINTAIN; Panama company allows you to manage your business from anywhere in the world.
CONTACT US TODAY FOR ESTABLISHING YOUR OWN COMPANY IN PANAMA. OUR TEAM OF CORPORATE ATTORNEYS ASSIST TO PROTECT YOUR ASSETS & INVESTMENT.EMAIL: CUSTOMER@PANAMALEGALCENTER.COMCHAT: +(507) 6404-0388 |
COMPANY SET UP REQUIREMENTS
Our attorneys are expert in forming a company in Panama and ensure that your company is in compliance with the Panama corporate laws. Below we list the requirements;
- Name of the company ( we do search for unique name )
- Founders names such as president, secretary and treasurer
- Address of the company in Panama
- Capitalization of the Company ( minimum capital amount is $10,000. )
- How many shares are being issued?
- Who owns the shares of the company?
- Name of the registered agent ( Panama attorney )
- Name of the accountant ( CPA )
- Types of activities of the company
The Board of Directors consist of president, secretary and treasurer. The corporate laws require that a company have a Panama attorney to act as its registered agent. In addition, each company needs to have a certified public accountant on its board. We would assist you to appoint a corporate attorney and a CPA to join your company. Share certificates will be issued to the shareholders and owners of the company when the company is established.
When a Panama company has been established, there is a need to apply to the Panama Tax Office ( DGI ) to obtain a unique company tax identification number ( RUC ). In addition, there is a need to apply and receive a BUSINESS LICENSE from municipality of Panama. (Aviso de Operacion ).
PANAMA FOUNDATION
Private Interest Foundation
THE PANAMA FOUNDATION HAS BEEN EMERGED AS A VIABLE ASSET PROTECTION TOOL & ESTATE PLANNING BASED
LEGAL STRUCTURE FOR INTERNATIONAL PRIVATE WEALTH AND CORPORATE PLANNING. THE
PANAMA FOUNDATIONS LAW, ENACTED IN 1995, BUILDS ON THE EXPERIENCE OF THE
FOUNDATIONS LAWS OF A NUMBER OF EUROPEAN CIVIL LAW JURISDICTIONS.
Given its competitive cost structure and the wide use of English among local professionals, use of Panama foundations has
broadened beyond civil law-based advisors, to include an increasing number of professional intermediaries operating in common
law jurisdictions.
ESTABLISHMENT
> A standard foundation charter can be used.
> Optional use of standard foundation regulations.
> Charter and regulations can be tailored to client’s requirements.
> Minimum assets to be transferred to the foundation to satisfy statutory requirements is US$10,000.
> Establishment by registration of the foundation charter with the Panama Public Registry.
> On establishment a separate legal persona comes into existence.
PURPOSE
The foundation cannot be used for commercial purposes but it can hold shares in a company, which itself is engaged in a
commercial activity.
GOVERNANCE
> A foundation council is responsible for the management of the foundation.
> The council consists of a minimum of three individuals. A company also can act as the sole member of the foundation council.
> The foundation council is responsible for preparing financial statements if required by the charter or regulations.
FOUNDER RIGHTS
> Disclosure in the charter of the founder’s identity is required. Nominee founders can be employed.
> The founder can retain a right of revocation or assign that right to the foundation council.
> The foundation can be irrevocable.
PROTECTORS
> Foundation law recognises the office of protector to supervise and if necessary intervene in the conduct of the foundation council.
> Protector can also be given veto rights over foundation council decisions.
FORCED HEIRSHIP
Rights of forced heirship are not recognised with regard to assets held by the foundation
ASSET PROTECTION
Foundations can be employed for asset protection planning. A transfer of assets to the foundation can be set aside within a threeyear period following the transfer on the grounds that the transfer was made with intention to defraud creditors.
FILINGS
> The foundation charter is filed with the Public Registry and is available for public inspection.
> The names of the founder and foundation council members are also filed with the Public Registry and are available
for public inspection.
TAXATION
> Foundations are exempt from all Panama taxes on assets held by the foundation outside of Panama and on all income earned
from non-Panamanian sources.
> The foundation pays a licence fee of US$350 on establishment and from the second year an annual licence fee of US$400.
COMPLIANCE
> The foundations law expressly makes all foundations subject to the Anti-Money Laundering Regime of Panama.
> A statutorily imposed confidentiality requirement is imposed on all persons dealing with a foundation and unapproved disclosure
is punishable by monetary penalties.
ADMINISTRATIVE FLEXIBILITY
> Administration of a foundation can take place anywhere in the world.
> The foundation council can be located outside of Panama.
> The protector can be located outside of Panama.
REGISTERED AGENT
> Each foundation is required to have a registered agent in Panama at the time of its establishment and on an ongoing basis.
> We provide clients with a registered agent & Foundation address.
WHY TO SET UP A PANAMA FOUNDATION?
YES.We can assist you to establish a FOUNDATION in Panama. Setting up a Panama Foundation consist of structuring an entity to achieve your goals. We provide you with comprehensive assistance & know- how, so you can benefit from having a Panama Foundation.
Individuals or corporations could set up a Panama Foundation for many reasons. Panama Foundation is designed to take advantage of Panama foundation laws to assist with TAX EXEMPTION, ASSET PROTECTION, ESTATE PLANNING & PRIVACY.
BENEFITS OF A PANAMA FOUNDATION
“Panama Foundation mainly is used for asset protection, tax planning, and probate.”
A Panama Foundation provides many benefits to individuals and corporations looking to protect their assets, estate planning, optimize their tax exemption, and benefit from confidentiality. It is a fact that Panama Foundation is much more beneficial when compared to other countries.
One of the main advantages of a Panama Foundation is asset protection. The Founder of the Foundation can transfer their assets to the Foundation, which then becomes the legal owner. As a separate legal entity, the Foundation can manage the assets and distribute them to beneficiaries as per the foundation charter. Another benefit is the tax benefits of the Foundation. Panama Foundation is not subject to income or capital gains tax, making it an excellent option for international tax planning. Moreover, the Foundation is not required to keep accounting records or file tax returns.
Confidentiality is vital to many clients and Panama Foundation provides an ideal solution. The details of the founder, beneficiaries, and assets are kept anonymous, ensuring that names are not available to the public or any third parties.
Can Panama Foundation Protect Your Assets?
YES. Panama Foundation ise designed to protect and preserve all kinds of assets such as real estate properties, stocks, bonds, cash, etc. A Panama Foundation structure enables assets of Foundation to be held in an entity that is protected from foreclosures, bankruptcy courts, creditors, divorce proceeding, etc. In effect, asset protection of a Foundation is an integral part of a traditional estate planning.
PANAMA PRIVATE INTEREST FOUNDATION FACTS
- No Reporting Requirements: Panama does not impose any reporting requirements or taxes for Panamanian Foundations as long as their income is generated outside of the territory of Panama.
- No Piercing the Corporate Veil: Panama does not allow “piercing the corporate veil” (in civil cases).
- Private Ownership and Control: Panama Foundations Protectors can be appointed through a Private Protectorate Document, and the Beneficiaries can be appointed through a Private Letter of Wishes, written and signed by the Private Protector.
- No Capital Requirements: Panama Foundations do not require Paid-In Capital.
- Directors: Every Panama Foundation must have a council (same as directors of a corporation), who’s names and addresses are registered in the public registry. The council members can be either individuals or entities of any nationality and resident of any country. If the council is made up of individual persons, then it requires 3 council members (President, Secretary and Treasurer). If the council is an entity, then only one council member is required.
- Nominee Foundation Council: We offer our clients the optional service of using our “Nominee Council” for their Panama Foundation(s). When we appoint nominee council members for the Foundations that we establish for our clients, we always provide our clients with pre-signed, undated letters of resignation from the council members so that our client can replace those council members at any time.
- Directors or Beneficiaries Meetings: Annual general meetings of council members of the Panama Foundation are not mandated or required. However, if meetings are held, they can take place anywhere in the world by proxy – via telephone, email or other electronic means. Any resolutions passed are valid regardless of whether they are signed on different dates or in different jurisdictions.
- Corporate Books: Every Panama Foundation should maintain a minute (council meeting) record book, which can be held anywhere in the world.
- Annual Corporate Franchise Tax: Panama foundations must pay a low annual corporate franchise tax of US$400 to remain in good standing. The deadline for the tax payment depends on when the entity was formed. If the entity was formed from 1 January to 30 June, then the tax is due on the 30th of June. If the entity was formed from 1 July to 31 December, then the tax is due on the 31st of December. If the tax is not paid on or before the due date, the entity will be charged a late penalty of US$50. If the tax is not paid after the following “deadline” period, the entity will be charged a second late penalty of US$300.
- Convenience: It is not necessary for the interested parties to be present in Panama for the purpose of establishing a Panama Foundation.
- No Business License Requirement: Panama Foundations DO NOT require a Panama commercial business license to operate internationally, outside of the Panama territory.
- Re-Domiciliation: Foundations from other jurisdictions may be “re-domiciled” to Panama, and vice-versa.
- Corporate Seal: A Panama Foundation seal is optional. We also offer Foundation seals if you want one. Please see our Fee Schedule for pricing details.
- Legal Address: When registering a new Panama Foundation, it must have a legal physical address that is included in the articles of incorporation. Our law firm provides a legal physical address as Resident Agent and Registered Office.
The Foundation Council
Panama Foundations must have a Foundation council which is similar to the board of directors of a company, regarding this point you have three alternatives:
A. To appoint your own Foundation council (must be formed by 3 persons).
B. To appoint one Corporation as the Foundation Council.
C. To use our nominee services in order to appoint a nominee Foundation Council.
NOMINEE FOUNDATION COUNCIL
In order to gain more privacy we could appoint the three member of the Foundation Council required by Law. In this way the client names would not be revealed in the Foundation Charter.
General Power of Attorney
In case you use a Nominee Foundation Council, you would gain control over the Foundation with a General Power of attorney issued in a Private separate document, this document usually appoints also the client as Foundation Protector.
PANAMA FOUNDATION REQUIREMENTS
Establishing a Panama Foundation involves the following process;
| What To Do | Summary |
|---|---|
| Foundation name & Purpose | You need to choose a unique name and indicate purpose of the Foundation |
| Founder of the Foundation | You need to choose a founder who can be an individual or a legal entity and define his roles and responsibilities. |
| Foundation objective | Foundation charter outlines the Foundation’s purpose, governing bodies, and rules of Foundation operation. |
| Registration of the Foundation | The Foundation needs to be registered with the Panama Public Registry |
| Notarized Documents | All the documents must be notarized by a notary public |
TO PROCEED WITH SETTING UP A PANAMA FOUNDATION, PROVIDE US WITH THE FOLLOWING DOCUMENTS;
- To complete our incorporation order form.
- To complete our “Due Diligence form” shall be completed by the council members and the beneficial owner. (Contact us for more details). Please make sure to review our due diligence requirements.
- To provide us the Passport or ID copies of The Foundation Council Members (if appointed by the client).
- To provide us the Passport or ID copies of the person that will hold the general power of attorney / protector (If required).
- Address confirmation document (example: utility bill or statement) from all the members; council members, protectors, beneficial owner.
- Payment of Panama Foundation cost .
HOW LONG IT TAKES TO SET UP YOUR FOUNDATION IM PANAMA?
Once we have all the documents and payment, we can set up your own Foundation in less than a week.