Panama International Business Company (IBC) Company Formation
Panama Corporations have been recognised across the world as offshore vehicles that can be successfully used in a variety of international business, carry out commercial and industrial activities including business structures, business transactions, Asset Protection and Estate Planning Structures. Panama Corporations are incorporated under the Corporation Statute Law 32 of the 1927 Panama Commercial Code.
Incorporating an IBC is the ideal structure for foreign investors and businesses. IBCs are exempt from all local taxes when the income is received outside of Panama, annual support is inexpensive and there is no foreign exchange control. Furthermore, discretion is guaranteed as information about directors and shareholders is not filed with the public.
A Panamanian IBC must have a unique name that ends with the following designations or their abbreviations: Corporation (Corp), Incorporated (Inc) or Sociedad Anónima (SA); the designation Limited (Ltd) may not be used. This name may be expressed in any language. Formacompany can reserve your company name for up to 10 ten days.
It is a requirement that a Panamanian IBC must have a registered agent and a registered address in Panama, this is where all official correspondence is sent. This is provided as part of our incorporation service.
A Panamanian IBC requires one person to act as the director. This person may be of any nationality and may be a corporate entity. Directors’ names are not filed on the public register.
A Panamanian IBC requires one person to act as a shareholder. This person may be of any nationality and may be a corporate entity. Shareholders’ names are not filed on the public register.
The standard authorised share capital is US $10,000 divided in to 100 common voting shares of US $100 each or 500 common voting shares of no par value; the capital may be expressed in any convertible currency. The minimum issued capital is either one share of no par value or one share of par value. Share Capital does not have to be paid into a bank account before the incorporation.
There is no need to file any company tax returns in Panama if all the income was offshore derived. There is no requirement to file financial statements if the income is of non-Panamanian sources.
Once we have received all the require documentation and approved the company name the incorporation process is complete in approximately one week.
Proof of Identity
As part of our due diligence we require proof of identity in the form of a passport copy for all directors and shareholders of the company.
A visit to Panama is not required to incorporate your company.