Panama: Registration requirements for companies in Panama Pacific Area economic zone

New income tax return for use by companies established in a special economic zone

Panama Pacific Area economic zone

The tax administration (Dirección General de Ingresos—DGI) is developing a new income tax return for use by companies established in the Panama Pacific Area (Área Panamá Pacífico)—a special economic zone established by legislation in 2004 that provides for special tax treatment of companies established in the zone.

The aim of the new form (Form No.18) would be to allow eligible companies to declare income and expenses pursuant to the manner allowed under the 2004 legislation.

A mandatory registration period also is established for access to Form No. 18 via the e-Tax 2.0 system, and the registration requirements include:

  • Copy of the company registration resolution issued by the Panama Pacific Area economic zone agency
  • Explanatory memorandum addressed to the DGI requesting the registration of the company in the zone
  • Power of attorney granted to the legal representative
  • Copy of a valid ID or passport of the legal representative

Read a December 2021 report (Spanish) prepared by the KPMG member firm in Panama


The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.