I've been told by a law firm in Panama that you have to hire something like 8 Panamanian employees for each foreigner you hire, I haven't been able to verify this online but something to be aware of...
Panama vs. UAE Residency: Is Panama Still Worth It?
- Thread starter gatrader
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It actually depends on the structure, for example if you go with the company investment route (160k in a business) you need to hire 5 locals and at least pay them a minimum wage for 2 years... On the other hand you can also ask for residency if you're an employee of a business but being a foreigner you can only be part of up to 15% of the work force so you will need to hire more people.
If someone is going to Panama, just invest 300k and enjoy the peace of mind of not needing to do anything else. All other schemes are overcomplicated
$200K for friendly nations, $300K for others, for a total of 3 years.
The best visa is the retiree visa. I believe you only need a pension of $1000 per month to qualify, it comes with discounts!
Panama Italy Treaty can get you an instant Permanent Residency for around $5,000 ... if you have Italian Citizenship
Yeah but I'm afraid most people here are not in the friendly nation list so that's why I didn't mention it. I'm in the friendly nation list and I didn't even need to do the investment, I just got a mortgage with a bank for a property priced over the mark and that's it.
One thing about the pension visa: it needs to be certified by a pension manager so you can prove it's a lifetime pension... Which btw if we follow the 4% rule that's a 300k investment, the 40k mortgage is still cheaper (20% downpayment) if you're in the friendly nations list
So got a mortgage from a Panamanian bank? How does that work, do you still need to borrow $200K if you are from a friendly nation? Or do you need to borrow 20% of the $200K, which is $40K?
I'm from a friendly nation, so I'm interested.
Yeah you need to get a mortgage of a Panamanian bank for at least $200k, most banks will ask you for a downpayment of 20% so that's an initial investment of $40k, the rest you pay it in 15-20 years (most banks don't give 30yr mortgages to foreigners). You can do the process either as a natural or as the beneficiary of a Panamanian private foundation (but be aware that it's harder to get the mortgage that way, better to do it as a natural).
Thanks!
Any idea if someone forms a company in Panama, and that company employs you, how much does it cost? If I'm not mistaken you would need to pay social security and maintain the company active until you get the permanent residency. This might be another option where you don't need to buy a property, or have to deposit $200K-$300K in bank for 3 years.
I mentioned above that I have been told you need to hire multiple Panamanians for this to work, sorry I can't remember the exact number. Alternatively, I believe some service providers may provide you with something similar to a "sponsored work permit" where they "hire" you, I have no idea how straight forward, expensive or legal this is however. I sure wish we could bring back the days of getting permanent residency for $5000 - what a deal that was!
I'm in this now.
If you add up lawyer, CPA, immigration, company, taxes on your "salary", etc. you quickly get to 10-12K. It's definitely one of the more expensive routes, but the company+work-permit allow you to get into business locally if you like and your 200/300K won't be stuck if at any point you decide Panama is not for you afterall. There's no need to hire any Panamanians unless you want to hire foreigners other than yourself.
Disclaimer: I'm from a friendly nation and still in the 2-year provisional phase, so I don't know if this will truly end well. As 3 separate law firms offered me this route I'm fairly confident that it will.
Make sure they are telling the correct information: https://www.migracion.gob.pa/images/img2023/pdf/02.INVERSIONISTA_MACRO_EMPRESA.pdf Panamanian law has always said you need to show the proof for:
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Copia autenticada por la CSS de la planilla, con un mÃnimo de cinco (5)panameños por solicitante, devengando el salario mÃnimo establecido por ley, de acuerdoa la región y rubro. La misma debe corresponder a uno de los pagos efectuados dentro delos tres meses anteriores al mes de presentación.
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Unless they are telling you to go with a special zone business (which in some cases could be just 3 or none depending on the type of business), so be careful you're not doing the expenses for nothing if the case is that you will get rejected.
Btw if you're in the friendly nations list and don't want to get the funding tied... Then why not just investing 200k in fixed terms with banks for 3 years and you get your permanent residence? No need for extra expenses and you will get your funds back plus a 5% APY (avg current rates)
- Zero tax on foreign-sourced income. There aren't even filing requirements if your income is all abroad. Panama has a specific exclusion so that foreign-sourced income is exempt even if the mind and management here
Could you explain this a little further? (Maybe any specific law?) For example running a US LLC from Panama would be "officially" tax-free in Panama, even if there is a clear PE?
Do NOT do this in Panama! You will get 100% in trouble!
Been there and done that! Stay the f*ck away from lawyers down there!
Well, thats not good. Could you go into a little bit more detail what they could/would do and what to take care of when needing to get legal help in Panama?
Stay away from trouble and disputes in Latin America. The corruption is endemic.
Let me know if you need names of whom to avoid in Panama!
I do, could you please pm me asap? I think I remember you mentioning a law firm in the past that were a bit expensive but you were satisfied with.
Can you share which company you are using for this data plan?
Can you share a reliable source about management being in Panama because I heard otherwise from various other people
100% agree... Food ain't that cheap for what it is. Any good restaurant to recommend in PC / David?
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