Information Guides

Advantages of Forming an Offshore Panama Corp

There are many advantages to forming an offshore Panama corp related to the status of Panama as a financial haven and, also, to its being one of South America’s most economically stable countries.

Save Money on Taxes

Panama won’t require your offshore Panama corp to pay any taxes for income earned outside of the country. You just pay a annual fee of $250. Think of what you could do with all the money you save on taxes. You could reinvest more into your business; explore new revenue opportunities; or simply enjoy larger profits. Having a Panama corp could change everything for your business.

Take Advantage of Looser Regulations

When you have an offshore Panama Corp, you don’t have to worry that unnecessary regulations will impact the way you conduct business. Panama has loose regulations that benefit corporations. If you want to do business in other countries, you can do so freely. If you want to enter a market that other country’s regulate heavily, you can do so without much oversight from Panama. It’s your business. Shouldn’t you be able to run it as you see fit?

Benefit From a Stable Economic and Political System

Unlike many countries in Central America and South America, Panama has a stable economic and political systems. Panama uses the balboa and the US dollar. It also has a court system based on the one used in the United States.

That’s good news for your offshore Panama corp. Instead of worrying about political coups or failing currency, you can operate your business with confidence. Plus, you get to take advantage of an excellent location near the Panama Canal, one of the world’s most important places for international business.

Privacy Protection

Panama takes privacy seriously. As an offshore Panama corp, the Cabinet Decree 238 of July 2nd, 1970 prevents anyone from accessing your bank account information without good reason. Good reason usually means significant evidence that the account is being used to store money earned from illegal sources.

Any bank or bank employee who breaks this decree faces stiff penalties. Only an inspector of the National Banking Commission can access your documents, and even those inspectors have limited access.

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