Panama offshore companies, trusts and banking, since 1990. It is a long established tax haven with excellent communications. The return of democracy to Panama in 1990 has created a stable political environment in the country, making the Panamanian jurisdiction one of the most attractive offshore financial centers. The financial sector of Panama's economy provides the best facilities in Latin America with the principal banks of the world being represented. There is complete freedom in the movement of funds.
All business is conducted in United States dollars and there are no exchange controls.
English is widely used. Although Panama has fairly high rates of tax internally, its status as a tax haven depends upon the principle that income received by a Panamanian corporation from sources outside Panama is exempt from tax. Panama has full confidentiality and privacy embedded in the law, with civil and criminal penalties for disclosure. There is no requirement for the disclosure of beneficial ownership to the Panama authorities and no requirement for audited reports or financial statements. There are no double taxation agreements and no tax exchange agreements with other countries.