Invest in Panama

Real estate investment in Panama

Panamá This country is a good example where the expectations of investment in real estate are being achieved safely and without many risks. Their current political situation, which is a consolidated democracy, has led the country to juridical safety.

Panama is in a stage of high economic and supported growth.

The Panama Canal, which was opened in 1914, allows more than 5% of the world trade to pass through it.

Reasons to invest in Panama

The fact that life is cheaper is one of the main reasons to invest in Panama, but do not forget other important factors:

• Stable economy with the USD as legal currency.
• The Panama government is giving great incentives for foreigners to invest and live in the country.
• Panama does not have natural disasters such as hurricanes or earthquakes. Has a tropical climate, with the humid and dry stages.
• If compared with other countries in South America, is a safer country.
• The cost of life is lower and the quality of life is high.
• Exemptions and discounts exist for the pensioners and the elder, which they would be similar either for a foreigner resident retired in Panama or a national. Such examples would be: discount in air and ground transportation, theatres, medicine, restaurants, shopping and services.
• Fiscal incentives.
• Diverse geography; virgin jungles, mountains, tropical islands and a modern capital with great urban development and many other facilities.
• High levels of training in sectors like: medicine, law, banking, and other services.
• There is little interference of the local authorities.
• As additional benefits, we can speak of: exceptional fishing, diversity of fauna and flora, shopping malls or modern hospitals and laboratories.

Tax advantages of real estate investing in Panama

Investing in Panama has the advantage that it is considered a tax haven. Panama does not burden the income that is generated out of the country. The income generated inside the country, including those who generate the sales made inside the country, does support the Panamanian tax, since the tributary law is based on the principle of Territoriality.

All the sales of real estate are subject to the payment of 2% for tax of transfer, of the immovable item.

Panama gives special visas that allow fiscal exemptions for foreigners who reside or invest in the country.

The joint-stock companies are one more advantage on doing real estate investments.

Useful links

• Official site of Panama city, with interesting information and news
• Panama Tourism Authority
• Ministry of Foreign Affairs - Data on foreign embassies, foreign policy, economic relations and international affairs

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