Following the announcement made back in October, President Varela has now signed into effect the single biggest reform to Panama’s Property Tax laws in 40 years. The new law kicks in on January 1, 2019 and modifies the tax rate levied on properties throughout the country, promising serious savings for homeowners — regardless of citizenship. Other aspects of the new law are already in effect, including a moratorium on penalties and interest through the end of 2017 on any outstanding property taxes owed.
The following is the process that you need to follow to pay your land tax in Panama. This is a new tax that, albeit small, is now required of all owners of property in Panama. Thanks to Fred for providing his experience on how to pay this land tax.
Property Taxes in Panama – Exoneration Changed
You may already know that in Panama the exoneration of the payment of property taxes for 20 years apply to those properties whose occupation permits were issued before December of 2011. It is important to realize that this property tax exoneration in Panama has now changed.
If you are not familiar with the process of paying taxes in Panama you are better off hiring an attorney who will help you through the process. Many law offices have bilingual attorneys who easily guide you. However, it will be wise to first become knowledgeable of the Panama property tax laws by reading this article.
Learn How to Calculate your Annual Panama Real Estate Taxes
Panamanian Property Tax: The truth
Panamanian property tax creates much confusion among potential ex-pat property buyers. The reason: the English translation of Panamanian Laws #6 of June 1987, #18 of August 7 1989, and #15 of July 13 1992, available widely on the Internet and elsewhere.
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