[Noticias] Important If you own a Panama SA, Corporation

If you have a corporation in Panama, even one that is just to hold property, the government has just made your life more complicated.

In it effort to collect more money faster, to finance all that it is doing, it has created a new monthly obligation to all businesses. As is typical of laws passed in Panama they did not consider the consequences.

The goal is the collect 1% of the gross revenue of all businesses as a prepayment on income taxes, it's all about cash flow. The process is to make all corporations, whether they a actively in business or not file a monthly report. If you have no income, your corportation or just holds property, there is no tax, but if you don't file you can be fined from $10 to $1000.

The law in Spanish is available for download at this link: Direct from the Gazette  

http://www.gacetaoficial.gob.pa/pdfTemp/26716_A/31477.pdf

Your first report is due February 15, Tuesday. You can do it yourself or have your accountant do it.

If you have a corporation talk to your accountant, fast.

I suspect they will figure out that they screwed it up and modify this law quickly, but until then, safe is better than sorry.

http://www.boqueteguide.com