The World's Countries
Panama
paPanama serves as the definitive logistics and financial crossroads of the Western Hemisphere. Its unique geographical position and the Panama Canal provide unparalleled maritime and air connectivity. A long-standing dollarized economy ensures monetary stability and eliminates exchange risks for international trade. The country operates a territorial tax system that distinguishes between local and foreign income. Global entrepreneurs benefit from world-class digital infrastructure and specialized economic zones designed to foster innovation and cross-border commerce.
Features
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Territorial Tax
Taxes only local income. -
Fast Company
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Crypto Friendly
Highly crypto-friendly country
Cities in Country
| Name | Timezone |
|---|---|
| Ciudad de Panamá | America/Panama |
| Panama Stadt | America/Panama |
| Panama City | America/Panama |
Tax Information
| Category | ||
|---|---|---|
| Corporate | 25.00% | Only derived from operations within the country |
| Capital Gains | 10.00% | Standard capital gains tax rate |
| VAT | 7.00% | For general goods and services |
| VAT | 10.00% | On alcohol and lodging |
| VAT | 15.00% | On Tobacco |
| Personal | 0.00% | Up to $11,000 PAB/USD |
| Personal | 15.00% | $11,001 to $50,000 PAB/USD |
| Personal | 25.00% | Above $50,000 PAB/USD |
Local Currencies
| Currency | ISO | Value | Rank | |
|---|---|---|---|---|
| US Dollar | USD |
$ | $1.00 | #1 |
| Panamanian Balboa | PAB |
$1.00 | #0 |