New regulation in Property Taxes in Panama

[Lic. Cindy Murillo]

New regulation in Property Taxes

Tax Law in Panama is dispersed, with constant changes and often ignored by the taxpayers.

One of the most important taxes to be aware of is property taxes. Executive Decree number 363 of 4th of December of 2018, regulates Law 66 de 17 of October of 2017 and provides in his first article or section some important definitions to understand the new changes in the Law. Most important in his section number 9 establishes the percentages to be paid according to the property value and category.

Independent if the property is under your own name, a corporation, foundation of private interests, you still have to pay property taxes.

You can pay these taxes three times a year o in one payment at the beginning of the year ( my recommendation is to pay this tax at the beginning of the year and to get a discount on 10% and also to take it out of your mind for the rest of the year)

If you don´t pay annually your property taxes, accumulate over the years with interest and other charges or fees. Do not let them accumulate since Panama's fines and interest are high. 

Remember that the property tax is separate from your annual flat corporation or foundation tax.

When was the last time you paid property taxes?

Are you aware of this property tax? 

Let me know in your comments and for further information, you are welcome to contact me at [e-mail]  at [phone] and every Tuesday at the BCP Tuesday Market. 

Have a good weekend every one. 

Cindy Murillo

Attorney at Law