Establishing a business in Panama from United Kingdom: tax incentives

Are you thinking of expanding your business to Panama? This Central American country offers a favorable business environment, with a growing economy and strategic location that seems to be attracting new investors and entrepreneurs today. Whether in or out of the country, finding out about the latest developments in the Panamanian business landscape is a good way to get started.

Moreover, it’s wise to outline the specifics of the business you aim to establish in Panama, taking your requirements into account. Seeking advice from legal professionals can be a prudent choice. Numerous specialists, like Legal Solutions Panama, stand out due to their extensive experience and expertise, making them a reputable source for guidance.

What are the requirements for establishing a company in Panama from United Kingdom?

For entrepreneurs hailing from United Kingdom, if your upcoming objective is to set up your business in Panama, you will need to meet specific criteria established by the Panamanian Government. These criteria include:

• A straightforward photocopy of the general passport for the directors, numbering three in this scenario, along with the shareholders, with at least one required.
• The directors and shareholders must be legally adults, over the age of 18, and have a valid passport.
• Fill out online forms with details about the company and its beneficiaries.

It’s essential to highlight that these requirements are applicable to both Panamanians and foreigners. However, if you are a foreign national residing outside of Panama, there’s no need to travel to the country. You have the option to appoint a trusted attorney or representative to handle the processing of your documents.

A detailed guide to launching a company in Panama

Upon thoroughly examining the requirements mentioned above, it might be beneficial for you to familiarize yourself with certain steps that could assist in the process of starting your company in this nation:

1. Determine your company’s location: An essential initial step is to identify your business’s premises or establish its legal and tax domicile, effectively the company’s headquarters. Depending on your economic and legal requirements, consider which locale aligns best with your objectives, and decide whether the premises will be rented or purchased.
2. Apply for the Notice of Operations: This requirement ties in with the first step. The Notice of Operations is among the limited documents required by the Panamanian government for those setting up a business. To apply for this document, your company must be registered with the Panamanian Public Registry.
3. Register the corporation or legal entity: This is akin to your company’s identification document in Panama. Registration requires a name and an identification card, typically taking between 5 to 7 days to complete.
4. Apply for the Single Taxpayer Registry: This serves as the tax identification number for each taxpayer and is issued by Panama’s General Directorate of Revenue. Currently, several online resources allow for this document’s procurement, which can be examined in more detail on official Panamanian government websites.
5. Register with the Municipality of Panama (MUPA): This final step ensures your business is locally registered.

To finalize this registration, you must also meet a set of requirements:

• A copy of the Notice of Operations.
• A copy of the ID card or passport of the legal representative mentioned in the notice of operations.
• A sketch illustrating the location of the business establishment.
• Details must include the township, urbanization, neighborhood, street, street number, building and apartment or commercial space number, as well as at least two reference points.
• Current email addresses and phone numbers.
• A copy of income tax returns from when the business began operations. For businesses established before 2016, it’s advisable to bring all income tax returns since the start of the notice.
• A copy of the Articles of Incorporation and the Certificate of Public Registry of Panama, which should be updated and not older than three months.
• Since January 2016, signage must be declared based on area; the length by width dimensions must be provided in square meters upon registration.
• A copy of income tax returns from the initial date of operations.
• Photographs of the business premises, particularly the exterior frontage.

Advice for Launching Your Business in Panama as a Foreigner

Panama presents a welcoming environment, offering distinctive opportunities for entrepreneurs from United Kingdom. Staying well-informed and carefully planning each phase may significantly boost your business’s success prospects. Nonetheless, seeking assistance from seasoned legal advisors is equally crucial to streamline the process. In this context, Legal Solutions Panama could be the ideal choice for you.

Being a team of expert lawyers in this type of process, you would be counting on solid support in Panamanian legal terms, which facilitates the incorporation of your start-up company. If you are interested in knowing more details about the services of Legal Solutions Panama, visit their website and contact them.