Frequently Asked Questions
About Moving, Living & Doing Business in Panama

Trending & Most Asked Questions

These are the questions we hear most often from families, retirees, investors, and professionals evaluating Panama. If you’re early in the process, start here.

Do I need a lawyer to move to Panama?

You can research Panama independently, but immigration filings, residency strategy, real estate contracts, and corporate structures all involve legal risk if handled incorrectly. Many clients come to us after encountering delays or issues from incomplete documentation, inconsistent filings, or informal arrangements. Our role is to help you follow the correct process from the beginning—efficiently and compliantly.

Can foreigners get residency in Panama?

Yes. Panama offers multiple residency pathways depending on your goals, nationality, income, and investment profile. The right option depends on what you’re trying to accomplish (retirement, family relocation, investment, business activity, etc.), and on your documentation readiness.

How long does Panama residency take?

Timelines vary by residency category and government processing volume. In most cases, residency is a step-by-step process (temporary status first, then permanent status after meeting requirements). We set realistic expectations up front and keep your case moving with a clear checklist and schedule.

Do I need to be physically present in Panama?

Some preparation can be done remotely; however, many steps require in-person appointments in Panama (for example, with banks, notaries, and government agencies). We will tell you in advance if and when you must be in Panama, so you can plan your trip efficiently.

Can foreigners own property in Panama?

Yes. Foreigners have the same property ownership rights as Panamanians. You can typically own property in your personal name, and in some cases you may also choose a corporate structure depending on your goals.

Should I rent or buy first?

It depends on your timeline and comfort level. Many clients rent first to learn neighborhoods, traffic patterns, building quality, and lifestyle fit—then purchase once they feel confident. If you’re purchasing, we strongly recommend attorney review of contracts and title-related documentation before you commit funds.

Can I open a bank account in Panama as a foreigner?

Many foreigners can open bank accounts, but banks have strict compliance requirements and often require an in-person visit. Approval depends on your profile and documentation, including proof of income and source-of-funds support. We help clients prepare a compliant file to improve the experience and reduce back-and-forth.

Can I ship household goods to Panama?

Yes. Shipping is common, but timing matters. Many clients wait until residency is in progress or approved because certain programs may offer import duty benefits for qualifying residents.

Is Panama affordable compared to the U.S. or Canada?

Panama can be significantly more affordable depending on your lifestyle, location, and housing choices. We recommend budgeting based on your preferred area (Panama City vs. beach towns vs. mountain communities) and your expectations for housing, healthcare, transportation, and schooling.

How do your fees work?

Our fees depend on the service and complexity of the matter. We aim to be transparent, realistic, and fair. For published starting prices, you can review our pricing page, and we can confirm what applies to your specific situation during a consultation.

About International Relocation Firm

Who are you and where are you located?

We are a full-service Panama law firm that specializes in Panama relocation services, immigration law, Panama real estate law, Panama corporate law, as well as Panama banking introductions—among other services such as maritime registrations in the Republic of Panama. Our attorneys are registered agents in the Panama Public Registry. We are located in Panama City, Panama, and our address is: PH SL55 Building, 31st Floor Ave. Samuel Lewis & Calle 55 Este, Panamá, Provincia de Panamá, Panama.

Why are your prices so low?

Our prices are not the lowest in the market, nor are they the highest. We pride ourselves on offering professional service for a fair price. In many cases, our pricing reflects efficient processes, local presence, and clear scope—not “cut corners.”

How can I trust your service, and can you provide references?

We are a reputable law firm in the Panama legal services industry. If you would like, we can provide a list of professional correspondent references. Due to confidentiality, we cannot always provide past clients as references without their authorization.

Do you offer consultations?

Yes. Our attorneys can meet with you to discuss your goals and recommended next steps. Consultations are free for the first 30 minutes, with an hourly fee of US$100 for additional time.

Immigration, Visas & Residency in Panama

What if I want to relocate to Panama?

We offer various relocation services and can support you with residency planning, immigration filings, corporate setup (when appropriate), and banking introductions. Our process starts with understanding your goals (retirement, family relocation, investment, work, or business), then building a compliant plan around the right residency path and documentation strategy.

Do I need to come to Panama to finalize anything?

For most of our services—including immigration processing, real estate purchase transactions, and bank introductions—a personal visit is required. Some services (such as forming a Panama corporation or foundation) can be prepared without meeting in person. When in-person steps are required, we will tell you clearly what requires presence and when to schedule your trip.

What are common residency routes people use?

Panama offers several residency categories that may fit retirees, investors, professionals, and families. The best option depends on your nationality, income/investment profile, and long-term goals. We focus on matching clients to the correct legal pathway and building a clean application file.

Can I become a permanent resident in Panama?

In many cases, yes. Permanent residency is often achieved after satisfying the steps and conditions of a qualifying program. We recommend planning your timeline early so your trips, paperwork, and renewals align with program requirements.

Can I obtain Panama citizenship or dual citizenship?

Citizenship is a separate process from residency and may depend on eligibility, time in-country, and other legal requirements. We can advise whether a citizenship plan makes sense based on your objectives and your current immigration status.

Relocating to Panama & Living Here

Where do most expats live in Panama?

Many clients choose Panama City for infrastructure, healthcare access, schools, and international connectivity. Others prefer beach communities or mountain areas depending on climate preference and lifestyle. The “best fit” is highly personal—renting first is often the most practical way to confirm location.

How much does it cost to live in Panama?

Costs vary significantly by location and lifestyle. Housing, healthcare, schooling, and transportation are typically the biggest drivers. We recommend building a realistic budget before you commit to a long-term move.

Can I ship my household goods to Panama?

Yes, you can ship your household goods to Panama. It is often recommended to ship after residency is in progress or approved because qualifying residents may be eligible for import duty benefits (for example, under retiree-related programs).

Retiring in Panama

Is Panama a good place to retire?

Panama is a popular retirement destination for many reasons, including climate, expat communities, modern services in key areas, and immigration programs designed for retirees. The right decision depends on your lifestyle goals, preferred location, healthcare expectations, and budget.

What is the Panama retirement (Pensionado) program?

Panama’s Pensionado program is a well-known immigration option for qualifying retirees. It is often associated with retiree benefits and discounts, and may provide advantages related to certain import duties for qualifying residents. We can advise you on eligibility and documentation for a retirement-based application.

Real Estate & Property Ownership

Do you recommend buying or renting property in Panama?

That depends on your needs, timeline, and risk tolerance. Many clients rent first while learning areas and property standards. If you plan to buy, we recommend working with experienced professionals and having contracts reviewed by an attorney before signing or sending deposits.

Can I see properties during my visit to Panama?

Yes. We can arrange property viewings depending on what you are looking for and the location you prefer. Once you decide on a property you wish to rent or buy, we can assist with handling the legal aspects of your transaction, including contract review and closing coordination.

Can I hold personal ownership of real estate property in Panama?

Yes. Foreigners have the same property ownership rights as local Panamanians. You can own property in your personal name. Some owners prefer corporate ownership for asset protection or business reasons, and we can advise what structure is appropriate based on your objectives.

Banking & Financial Matters

How difficult is it to transfer my money to my bank account in Panama?

Panama banks will ask for source-of-funds documentation to support that funds come from legal sources. The bank may request items such as tax returns, financial statements, bank statements, or an employment letter. Requirements vary by bank and by client profile, and in-person appointments are common.

What is a banking introduction and what does it include?

A banking introduction is support coordinating the account-opening process, helping you prepare the compliance file banks commonly request, and guiding you through required steps. Final approval always remains with the bank, and requirements can change based on policy and compliance review.

Corporations, Foundations & Asset Holding

What is the difference between a corporation, foundation or trust?

Generally, corporations are used for profit ventures involving business activity such as securities trading, banking, international trade, and ownership of assets. Private Interest Foundations are commonly used for non-profit activities such as charities and donations, and may also be used as a holding vehicle (including holding ownership of a Panama corporation or other assets). Trusts are generally used for holding purposes such as owning corporations or holding assets. The best structure depends on your legal and tax goals and should be evaluated case-by-case.

What is included when I purchase a Panama corporation or Panama foundation?

Each Panamanian corporation package comes complete with articles of incorporation (with official English translation), resident agent, registered office, share certificates (issued in nominative form), and a resignation letter from the subscribers. Foundations include the registered foundation charter (with official English translation), resident agent, registered office, and notarized Private Protectorate Document.

Optionally, you can request nominee directors or council. In that case, we also include pre-signed, undated letters of resignation from each director (or council member), plus a notarized and apostilled General Power of Attorney, as applicable.

What are nominee directors?

Nominee directors (or nominee council members) are directors that our law firm appoints to satisfy legal requirements. Each corporation or foundation must have three directors appointed at registration, and their names may appear in public records. When we provide nominee directors, we also provide pre-signed, undated resignation letters so you can replace directors at any time.

Taxes, Accounting & Ongoing Compliance

Is there any requirement to file Panama tax returns, keep books for the corporation, have an accountant, etc.?

Yes. Panama companies must maintain corporate records and keep accounting documentation. Many entities file declarations stating they are “offshore companies” when applicable, and Panama offshore companies earning income outside Panama generally do not pay Panama income tax on non-Panamanian income. Requirements can vary depending on the entity’s activity and whether income is Panama-sourced, so we recommend structuring and compliance planning from the start.

Are there annual renewal fees for the Panama corporation or foundation?

Yes. The annual corporate franchise tax is US$300 per entity (corporation) or US$400 for a foundation (paid to the government of Panama). The annual fee for registered office & resident agent (paid to our law firm) is US$450. If you use our nominee directors service, there is an additional annual fee of US$150 per director. On each anniversary date, our renewals department will invoice you for annual fees.

Are there penalties or late fees for not paying annual fees on time?

Yes. The government charges a late fee of US$50 if you do not pay the annual corporate franchise tax on time. After that, the government may charge an additional late fee of US$300 for failure to pay two consecutive fiscal periods. Our law firm charges a late fee of US$50 per fiscal period for non-payment of resident agent/registered office/nominee director fees.

It is important to keep entities in good standing. If an entity is eliminated from the Public Registry, reactivation can be costly and time-sensitive.

Working & Doing Business in Panama

Do you provide legal consulting for setting up specific businesses in Panama?

Yes. We provide legal consulting for most types of businesses. Our primary areas of specialization are Panama relocation, Panama immigration services, real estate law, and corporate law. We can assist with business formation, structural planning, and compliance considerations related to your immigration status and operational needs.

Can foreigners work in Panama?

Working in Panama typically involves immigration and labor considerations, and may require a work permit depending on the nature of the work. We can advise how your residency status interacts with employment, business activity, or remote work arrangements.

Logistics, Travel & Practical Questions

If I’m hiring your firm, what should I expect regarding travel and appointments?

In many cases, you should expect at least one planned trip to Panama to complete required steps, such as immigration appointments, bank interviews, notarizations, or other formalities. We will provide a clear plan so you know what needs to happen, what can be handled in advance, and how to make your visit productive.