A Panama offshore company that has no business activity within Panama, is 100% free of all local taxes apart from an annual franchise tax. This makes Panama an interesting jurisdiction for many seeking a stable political and economic environment in which to incorporate.
REPORTING REQUIREMENTS
There are no reporting requirements for non-resident Panamanian companies.
TAXATION
Non-resident Panama corporations are 100% tax-free on its activities outside of Panama.
An annual corporate franchise fee is charged to maintain the company in good standing.
ORGANIZERS, DIRECTORS AND OFFICERS
Three local persons are usually appointed to act as the organizers and subscribers for incorporation purposes. A General power of attorney will be issue to guarantee the control of the company by the Real Owner.
MEETINGS OF SHAREHOLDERS AND DIRECTORS
Meeting of Shareholders and/or Directors if found necessary, may hold these meetings by telephone or any other electronic means available and convenient.
If Shareholders and/or Directors think it is advisable to hold meetings, this may be held anywhere in the world.
There is no requirement for Annual General Meetings of the Shareholders and/or Directors.
INCORPORATION
Three natural persons acting as organizers or subscribers appear before a Panamanian Public Notary, to constitute the corporation. Panama offshore services is provided by a local practicing lawyer or law firm, trust company or a professional management services firm, and must be used as the Registered Agent for Incorporation purposes, which will grant a General power of attorney to guarantee the control of the corporation by the real owners.
