Panama Foundation

General Benefits of a PANAMA FOUNDATION:

• Confidentiality.
• Removal of assets from the ownership of the founder in connection with potential liability in the future.
• Anonymity and complete discretion.
• Avoids the legal testamentary regulation that implies bureaucratic time and money.
• Centralization and administration of the assets and patrimony
• Tax exemption and a recommended vehicle for international tax planning.
• Avoid problem of international succession related to the domicile of the Founder since Panamanian law is applied.
• Low costs in inheritance planning.
• Convenient control of the assets and maintaining indirect influence of the total administration
• Forced heirship rules of other countries are not applicable to Panamanian Private Interest Foundations.

Characteristics of a PANAMA FOUNDATION:

• Panama makes no differences between Family Foundations and the so called Mixed Foundations; any kind of beneficiaries can be appointed;
• The registration of the Panama Foundation Charter is mandatory but not the Regulations (By- Laws) which is optional, therefore a Certificate evidencing its existence may be requested.
• The Foundation Committee may be formed by persons or corporate bodies, Panamanian or foreign with residence in any part of the World.
• Panama Foundation has no minimum endowment needs to be contributed in advance.
• Panama Foundations are subject to only one Annual Franchise Tax of US$150.00 regardless of its total assets.
• Three-(3) years prescription for creditor claims against the Panama Foundation and its transfers.

9.Renewal of a Panama Foundation:

Renewal of Panama Foundation, to be paid in December every year. Failure to do so results in penalties and could result in the striking-off of the company from the Foundation Registry.

Latest valid passport copy and recent utility for address proof of Protector, Foundation Council Members and Beneficiaries are required to be submitted every renewal of the Foundation as a part of enhanced due diligence.

10.Requirements in Setting Up a Panama Foundation:

1. Duly filled application form
2. Notarized Passport copy with photo & signature
3. Two (2) letters of bank reference which state a minimum relationship of 3 years.
4. Professional Reference
5. Second Identification Card with photo
6. Details of beneficiaries, their share & passport copies
7. Names of Foundation Council Members, their powers, passport copies & address proof.
8. Name of Protector, Auditor etc and their proof of existence / address
9. Duly filled Fatca Form
10. Notarized US Declaration (if US Person)

Incorporation of a Panama Foundation begins from USD 3,675/-

Global Business Services DMCC has helped many individuals and corporate entities to set up a Panama Foundation. Our Company acts as a one stop solution for Panama Foundation incorporation services.

If you are looking for Panama Foundation set up, please get in touch with us for professional assistance.