Panama Company Formation
Panama Company Formation – Establish Your Offshore Business with BRIS Group Main Characteristics and the basic rules of Company registration in Panama
Panama Company Formation with BRIS Group
BRIS Group provides expert Panama company formation services for entrepreneurs and international investors seeking a trusted offshore jurisdiction with global credibility. Establishing a company in Panama offers tax advantages, asset protection, and confidentiality — making it a preferred choice for international trade, wealth management, and global business operations.
Our specialists manage the complete Panama company registration process remotely, including corporate banking support, legal compliance, and ongoing administration. With BRIS Group, your Panama company will be fully compliant and ready for efficient international operations.
Panama Company Formation – Guide for Non-Residents
Panama has long been one of the most respected and popular offshore jurisdictions in the world — known for its strategic location, strong privacy laws, and territorial tax system.
For entrepreneurs, investors, and international businesses, Panama company formation provides a secure, flexible, and cost-efficient way to operate globally.
Whether you’re planning to expand your international structure, protect assets, or manage cross-border trade, BRIS Group offers complete professional support for Panama offshore company formation for non-residents.
Why Choose Panama for Company Formation
Panama combines confidentiality, ease of incorporation, and an investor-friendly legal framework — making it a preferred choice for offshore structures worldwide.
Key Benefits for Non-Residents
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Territorial Tax System – Income earned outside Panama is exempt from local taxes.
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Strong Asset Protection – Panama law shields company assets and provides limited liability to shareholders.
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Confidentiality and Privacy – Shareholder and director details are not publicly disclosed.
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Ease of Formation – Quick and efficient incorporation with no local presence required.
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Political and Economic Stability – Panama maintains consistent growth and reliability for global investors.
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Strategic Location – Positioned as a global logistics hub, linking North and South America through the Panama Canal.
💡 Discover related jurisdictions in our Offshores zones
Panama offers flexible corporate structures suitable for a wide range of international purposes.
The two most common for non-residents are the Corporation (Sociedad Anónima) and the Private Interest Foundation.
| Entity Type | Description |
|---|---|
| Corporation (Sociedad Anónima – S.A.) | The most common type for offshore operations. Offers limited liability, flexible share structure, and strong asset protection. Suitable for holding companies, trading, and investments. |
| Private Interest Foundation | Used for estate planning, asset management, or charitable purposes. Offers a high level of confidentiality and legal separation of assets. |
| Limited Liability Company (SRL) | Less common, but an option for small partnerships or regional subsidiaries. |
Requirements for Panama Company Formation
Forming a company in Panama is straightforward but requires proper documentation and compliance with local regulations.
| Requirement | Description |
|---|---|
| Company Name | Must be unique and approved by the Public Registry of Panama. |
| Registered Agent | Every Panama company must have a licensed local registered agent. BRIS Group provides this service. |
| Directors & Officers | Minimum of three directors (individuals or entities) required; officers can be non-residents. |
| Shareholders | Minimum of one shareholder; bearer shares are permitted but must be held by an authorized custodian. |
| Articles of Incorporation | Legal document defining company objectives, capital, and governance. |
| Registered Office | A local Panamanian address is required for registration. |
| Paid-up Capital | No minimum capital requirement, but it’s advisable to contribute a nominal amount. |
| Due Diligence Documents | Certified passport, proof of address, and bank reference for each director/shareholder. |
⚙️ Timeframe: Incorporation generally takes 5–10 business days once all documents are received and verified.
Bank account opening may require additional time depending on the chosen bank.
Step-by-Step: Panama Company Formation Process
At BRIS Group, we make incorporation simple and compliant — guiding you through each stage.
Step 1 – Consultation and Structure Planning
Our specialists assess your objectives and recommend the most efficient company type and tax structure.
Step 2 – Name Reservation
We check availability and reserve your preferred company name with the Public Registry.
Step 3 – Document Preparation
We prepare and notarize your Articles of Incorporation, ensuring all legal details are accurate and compliant.
Step 4 – Registration
Your incorporation documents are filed with the Public Registry of Panama, and a Certificate of Incorporation is issued.
Step 5 – Tax ID (RUC) Registration
We obtain your Registro Único de Contribuyente (RUC) for official tax identification.
Step 6 – Bank Account Setup
We assist with corporate bank account opening in Panama or other international financial centers.
Step 7 – Ongoing Compliance Support
We ensure your company meets all ongoing Panamanian legal obligations.
Taxation and Compliance in Panama
Panama’s territorial tax system makes it one of the most efficient and legitimate offshore jurisdictions for non-residents.
| Tax Category | Key Details |
|---|---|
| Corporate Income Tax | 0% on income earned outside Panama. |
| Capital Gains Tax | Only applicable on Panama-source gains. |
| Withholding Tax | Not applicable for non-resident shareholders. |
| Annual Renewal Fees | Fixed government fees and agent costs apply. |
| Financial Reporting | No public filing; internal records must be maintained. |
💡 Companies with local operations must comply with Panamanian accounting standards and tax reporting.
Timeframe for Panama Company Formation
Incorporating a company in Panama is relatively fast compared to other jurisdictions.
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Company name approval: 1–2 business days
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Preparation and signing of documents: 2–3 business days
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Registration with the Public Registry: 3–5 business days
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Total estimated timeframe: approximately 7–10 business days
If additional services are required — such as opening a corporate bank account, apostille of documents, or translation — the process may extend to 10–14 business days in total.
How BRIS Group Helps You Register a Company in Panama
With decades of offshore experience, BRIS Group simplifies the Panama incorporation process for non-residents — from consultation to full registration and ongoing support.
Our Professional Services Include:
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Personalized company structure and tax strategy consultation
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Name availability check and reservation
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Preparation of Articles of Incorporation and related documents
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Annual renewal and compliance management
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Tax and legal advisory through our local partners
💼 We handle every aspect of Panama company formation so you can focus on your business.
Why Entrepreneurs Choose BRIS Group
🌍 Global Expertise – Decades of experience across 50+ jurisdictions
⚡ Fast & Efficient – Quick turnaround with full compliance
🧠 Professional Guidance – Tailored structures for your goals
💬 Transparent Service – No hidden costs or unnecessary add-ons
🔒 Confidentiality Guaranteed – Secure, discreet client handling
Ready to Form Your Panama Offshore Company?
Take the first step toward establishing your international business in one of the world’s most reliable offshore centers.
Our experts at BRIS Group provide end-to-end support for Panama company formation — ensuring full compliance, privacy, and efficiency.
📧 Contact us today:
[email protected]
Questions & Answers
1. What is Corporation Tax in Panama?
Corporation tax in Panama is levied at a rate of 25% on net profits. Panamanian corporations are only taxed on income sourced within the country, making it an attractive option for international businesses. Companies with annual revenues below 1 million of profit earned.
2. How is Income Tax structured in Panama?
Individuals in Panama are subject to a progressive income tax system. Rates range from 0% to 25% depending on monthly income. The tax brackets are as follows: no tax on earnings up to 11,000 and 50,000. Non-residents are taxed at a flat rate of 15% on their Panamanian-source income.
3. What is the VAT (Value Added Tax) rate in Panama?
Panama’s VAT, known as ITBMS (Impuesto a la Transferencia de Bienes Muebles y Servicios), is generally set at 7% for most goods and services. Certain items, such as food and medicines, may be exempt or have reduced rates. Businesses must register for VAT when revenues exceed $250,000 annually.
4. How are dividends taxed in Panama?
Dividends distributed to shareholders from profits that have already been taxed at the corporate level are subject to a 10% withholding tax. This applies regardless of the residency status of the shareholders. However, if the dividends are from untaxed income or foreign sources, they may not be subject to Panamanian withholding taxation.
5. What other taxes should I be aware of in Panama?
In addition to the main taxes, Panama has various other taxes, including property tax, capital gains tax, and transfer tax. Property tax is assessed at a rate of 1% on properties valued over $30,000. Capital gains on the sale of real estate can be taxed at 10%, depending on the duration of ownership. Transfer taxes apply during the property transactions, typically at 2% of the sale price.
These details provide a comprehensive overview of the tax landscape in Panama, essential for individuals and businesses looking to operate in the region.
What is an offshore company in Panama?
An offshore company in Panama is a legal entity registered in Panama that allows individuals and businesses to conduct international operations while benefiting from the country’s favorable tax laws. These companies are often used for asset protection, privacy, and as a means of conducting business internationally without the regulatory burdens of other jurisdictions.
What are the benefits of forming an offshore company in Panama?
Forming an offshore company in Panama offers numerous advantages, including tax exemptions on income earned outside of Panama, strong privacy laws that protect the identities of owners and directors, and a quick and straightforward process for registration. Additionally, Panama has a stable economy and a well-established financial system, making it an attractive location for conducting international business.
What are the requirements to establish an offshore company in Panama?
To establish an offshore company in Panama, you typically need a minimum of three directors and a shareholder, who can be individuals or corporate entities. There is no requirement for a local director, allowing for complete foreign ownership. Other requirements include submitting a company name, a business plan, and the payment of registration fees. It’s advisable to engage with a local attorney or service provider to ensure compliance with all legal regulations.
How long does it take to form an offshore company in Panama?
The process of forming an offshore company in Panama is relatively quick and can usually be completed within a few days to a couple of weeks. The timeline may vary depending on the completeness of the submitted documentation and whether any additional information is required by the authorities.
Are there any ongoing compliance requirements for Panama offshore companies?
Yes, Panama offshore companies are required to adhere to certain compliance regulations. While there are no annual reporting requirements for simple offshore companies, it is recommended to maintain proper accounting records. Companies may also need to pay an annual franchise tax. Keeping abreast of the changes in local laws is crucial to ensure compliance.
Can I open a bank account for my Panama offshore company?
Yes, one of the major benefits of forming an offshore company in Panama is the ability to open a corporate bank account. Many banks in Panama offer services tailored for offshore companies, providing options for multi-currency accounts and internet banking. It is essential to present the necessary documentation, including proof of company formation and identification of company directors and shareholders.
This publication is provided for information purposes only. This info should not be treated as a substitute for a tax or legal consultation or legislation. You should not act on the basis of the information contained in this publication without having obtained individual advice from the professional expert.
BRIS GROUP does not assume responsibility for any damage resulting from decisions made by the reader on the basis of this publication.
About Panama
Country: Panama
Capital: Panama City
Continent: North America
Language: Spanish
Currency: US Dollar and Balboa (PAB)
Time Zones: GMT -5
Dial Code: +507
Abbreviations: PA
Helping Your Company Thrive in Panama With us, starting and running a business in Panama will be easy and efficient!
- Full support of the company’s registration in Panama: from the preparation of documents to their submission.
- Remote registration: all processes are online, wherever you are.
- Secretary and Treasurer: we can take on these important roles.
- Nominal directors and shareholders: we will ensure the confidentiality of your information.
- Help in opening a bank account: we will simplify this complex process.
- Registration for taxes, VAT and EORI: ensure all requirements are met.
- Website development: we will create a professional online representation for your business.
- Logo creation: we will design a unique and memorable logo for your brand.
- Full administrative support of the company: we will take over routine tasks.
- Mailing address organization: we provide a reliable mailing address for your business.
- Organization of the virtual office: we will ensure the professional image of your company.
- Telephone answering service: we will answer calls on behalf of your company.
- Accounting, audit and reporting: ensure accurate and timely accounting.
- Preparing and filing a VAT declaration: let’s save you the trouble.
- Interaction with local authorities: take over communication with state institutions.
- Trademark registration: protect your brand.
- More Emphasis on Customer Input.