Those looking to open a Panama Bank Account to hide their money …

They won’t find it in Panama. That’s because tax evasion is illegal wherever people go in the world.

However, what is legal is the opening of an offshore bank account.

It is the best way to protect your money, grow your wealth and safeguard your assets against third parties.

Offshore banking enables you to become a truly diversified global citizen, which is even more important in today’s world.

Diversifying your assets is key to keeping them safe.

Reasons to Open a Bank Account in Panama.

DIVERSIFICATION

Putting money in accounts abroad is a great way to diversify.

ASSET PROTECTION

Offshore bank accounts put your wealth out of the reach of political and economic uncertainty from governments, aggressive lawyers, and creditors.

BETTER INTEREST RATES

Offshore banking is a great way to earn better interest than local banks, with multi-currency accounts and more.

TAX OPTIMIZATION

Finally, a bank account can allow you to enjoy the tax benefits of a holistic wealth diversification strategy. 

Simply put, opening an offshore bank account could mean that any income earned (for example, by accruing interest) will not be taxed at all or will be taxed. in a low percentage.

However, there are many international tax complexities, such as reporting and annual tax filing, to consider. That is why it is advisable to talk to your accountants and lawyers in your home country to determine what is allowed and what is not.

How to Open a Panama Bank Account

Non-resident foreigners can open accounts, but must provide more documentation than required by banks in Europe or North America.

To open a bank account in Panama, you will need the following:

  • A copy of your passport photo and information page;

• One or two bank reference letters; (those specifically requested by the bank)

• A letter of reference from a professional (lawyer or accountant);

• A second identification (driver’s license or country ID);

  • Documents that support the source of the funds you wish to deposit (bank letters, financial statements or recent income statements)

• All documents must be translated into Spanish.

The letters must be on company or bank letterhead addressed to the Bank of Panama and signed by a manager or high authority. All documents must be recent (usually within the previous three months).

There are banks that require a personal interview with the client, there are also those who allow the opening of an account from abroad. In the second case it is recommended to have the assistance of a local lawyer in Panama.

Banking Products and Services.

All general license banks can offer checking accounts, savings, fixed term deposits (CDs), ATMs, debit cards, online banking as well as other more sophisticated foreign exchange and investment products that depend on the bank.

Rates for savings, fixed term and other deposit accounts are generally similar between banks.

This is because they have common guidelines from the Superintendency of Banks.

Final Considerations.

For non-resident foreigners due to risk analysis issues due to international regulations, in Panama a consideration that banks take into account is the link with the country.

For these purposes there are the migration route and the corporate route.

If the intention is to open an offshore bank account without managing immigration permits, the corporate route helps you to have a link with the country.

I am referring to having a Panamanian corporation, in which the shareholders and directors can be non-resident foreigners, this is transparently reported to the bank and it is the company that opens the account.

To know more about corporations you can click on this sentence in blue.

In short, bank accounts in Panama enjoy a reputation with conservative banks, with a lot of liquidity and capacity for international transactions.

If you require assistance with this service, we are at your disposal.