Why do I need an attorney for a commercial transaction in Panama?
In today's business environment, even the simplest transaction can lead to complicated litigation. As a result, business and commercial clients need attorneys who understand their business and business needs.

Quijano & Associates devotes substantial time and resources to monitoring the constant evolution of the law impacting various industries, such as maritime, corporate and insurance. The firm is familiar with the operation of these industries and the status of the law governing those operations.

What special incentives does Panama offer to manufacturers?
Law No. 25 of 1992 offers export industries such as manufacturing, assembly, processing and telecommunications located in an EPZ (Export Processing Zones) special fiscal incentives and labor law regulations. The law grants extensive power to the promoter to perform several actions including development of the land; construction of buildings and transportation facilities for all purposes; installation and operation of utilities; among others. The new Law constitutes the EPZ in 100% tax-free areas for an indefinite period.

How does Panama assess import duties?
Panama assesses import duties on an ad valorem basis. The ad valorem system uses the declared C.I.F. value as the basis for import duty calculations and in some cases utilizes historical price information as a reference.

In addition to the duty, all imports into Panama are subject to a five percent transfer or value added tax (ITBM) levied on the C.I.F. value, plus import duty and other handling charges. Pharmaceuticals, foods and school supplies are exempt from the ITBM tax.

Beginning in 1995, Panama adopted the Harmonized System (HS) or Tariff Nomenclature as its customs classification system.

What documentation is required to import goods into Panama?
Basic import documentation required by the Panamanian Customs office includes:

• Import Declaration (Prepared and signed by a Customs Broker)
• Commercial Invoice (To be presented in English or Spanish in quadruplicate)
• Airway Bill
• Bill of Lading (To be presented in triplicate)
• Commercial License Number
• Phytosanitary Certificate (In case of animal and plants products, to be obtained from the U.S. Department of Agriculture)
• Certificate of Free Sale (if required, when products are for human consumption)