Arosemena Noriega & Contreras

Category: Taxation

  • Law 337 of 2022

    Law 337 of 2022

    Law 337 of 2022

    The Government of Panama enacted Law 337 of 2022 (the “law”;), for the purpose of increasing the collection of taxes and duties.

     

    The most salient points of the Law are:

     

    • All corporations that, until December 31, 2023 are in arrears in the payment of franchise tax and that intend to dissolve the same before the Public Registry, are exempted from the payment of the franchise tax, except for the last period, as well as the waiver of the surcharges caused. The only payment that the corporation has to make is the last franchise tax and the marginal fine for reactivation. 
    • The amnesty period regarding the payment of the franchise tax is extended until December 31, 2022.
    • 100% of the total interest and surcharges of the franchise tax will be forgiven until December 31, 2022.
    • Up to 60% of the value of the marginal fines applicable to corporations will be exonerated until December 31, 2022.
  • New Laws on International Tax Fiscal Transparency

    New Laws on International Tax Fiscal Transparency

    New Laws on International Tax Fiscal Transparency

     

    In order to comply with the Foreign Account Tax Compliance Act (FATCA) and facilitate the exchange of tax information, Panama enacted the following laws:

     

    1. Law 47 of October 24, 2016, which ratifies the Agreement between the Government of the Republic of Panama and the Government of the United States of America, to comply with international tax standards and to execute FATCA. The Ministry of Economy and Finance is empowered to carry out the exchange of information corresponding to the year 2014 and all subsequent years.
    2. Law 51 of October 27, 2016, which establishes the legal framework for the Exchange of tax information and other rules are enacted. The Ministry of Economy and Finance is empowered to request and carry out in situ inspections in private entities and financial institutions with the purpose of gathering all necessary information to comply with the exchange of tax information with foreign authorities, FATCA, and tax treaties.

     

    By: Ana Cristina Alzamora

  • Single Tax Payer Registry Update (RUC)

    Single Tax Payer Registry Update (RUC)

    Single Tax Payer Registry Update (RUC)

    Pursuant to Resolution No. 201-4393 of June 21, 2022, the Directorate General of Income (DGI) establishes the Tax Obligation for all legal entities to update the Single Tax Payer Registry (RUC, in Spanish).

     

    Pursuant to Resolution No. 201-4984 of July 12, 2022, the DGI establishes the procedure for registration of legal entities in the RUC.

     

    • The procedure requires that the entity indicate one of the following categories of obligations:
    • Panamanian Source.
    • Foreign Source.
    • Exempt and Non-Taxable Source. Asset holding entity.
    • Identify the Resident Agent.
    • Identify the Certified Public Accountant as a related third party.

     

    Those entities that do not carry out the update,will not be able to file the corresponding forms to fulfill their tax obligations, which will result in penalties established by Law.

     

    For more information on these matters, please contact:  corporate@anorco.com.pa