Private Foundation Advantages

  • It is a legal instrument to protect your assets.
  • They are not subject to any form of taxation, assessment or levy in the Republic of Panama (except for a US$250 Annual Franchise Tax). Consequently, they are exempted from income tax, estate tax, real estate tax, inheritance tax and sales tax.
  • Law does not require the names of the real Founders, Beneficiaries or Protectors to be revealed.
  • Not required to file annual income returns or financial reports.
  • Law does not require annual meeting of the Foundation Council, Founders, Protectors or supervisory bodies
  • Expeditious formation procedures.
  • Easy administrative procedures.
  • Reasonable incorporation and maintenance fees.
  • No restrictions on maximum assets allowed.
  • The contributions to the Foundation Assets do not need to be deposited as a requirement for the constitution of the Foundation, and there is no maximum period of time for the endowment to be made.
  • The Foundation may (non-habitually) carry out any kind of civil or commercial transactions, anywhere in the world and in any currency.
  • Founders, members of the Foundation Council, Beneficiaries and Protectors or Superintendents may be natural persons or corporations of any nationality domiciled anywhere in the world.
  • Founders need not be Foundation Council members.
  • Founders, Protectors or Superintendents and members of the Foundation Council may be Beneficiaries of the Foundation.
  • There are no limitations as to the maximum number of Founders, Council Members, Beneficiaries or Protectors allowed
  • Founders and Foundation Council Members may hold their meetings anywhere in the world and may be represented thereat by proxy.

Learn about Panama Private Interest Foundations Confidentiality