Panama Properties Taxes
The Panama property Taxes Since 2019
Panama Property Taxes Registered Like Family Heritage Tax (Patrimonio Familiar Tributario) at Direction General of Incomes (DGI).
0– $120,000 (Exonerated) | $120,001 – $700,000 (0.5%) | +$700,000 (0.7%
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Example: properties from 0 to USD$120,000 are exonerated.
From USD120,000 to USD 700,000, the tax payment is 0.5%. And over the sum of USD 700,001, you pay an extra tax of 0.7%.
Example: apartments from USD$250,000, you pay taxes for USD$130,000 tax to DGI payment is USD$650 per year.
If the property value is over USD 700,000, you calculate the Panama property taxes in the following way:
An example apartment of USD$900,000
Property price from 0 – USD$120,000 exonerated
From USD$120,001 until USD$580,000 you pay taxes for USD$580,000 = USD$2,900
From USD$700,000 until USD$900,0000 you pay taxes for USD200,00 = USD$1,400
The tax that you pay is USD$2,900 plus USD 1,400
Annually, Panama’s Property Tax is USD$4,300 dollars.
Second Homes, Commercial, and Industrial Panama Property Taxes
0 – $30,000 (Exonerated) | $30,001 – $250,000 (0.6%) | $250,001 – $500,000 (0.8%) | + $500,000 (1%) |
For the case of second homes, for example, beach homes, mountain homes, industrial and commercial properties, banks, and other financial institutions will be tax withholding agents.
In the case of houses, the financial institutions don’t be tax withholding agents.
Also, you can live happily and without complications in the Republic of Panama. You only need a real estate broker with experience. Second, the support of an experienced lawyer. Also, one certified public accountant qualification with experience and knowledge in Panama property taxes.
All this information you can check in DGI online Panama!