#Panama 🇵🇦 #BDS_LaborAlert: Termination of Employment Relationship Due to Worker's Retirement
The retirement of a worker in our country involves relevant legal considerations. Firstly, it...
This Law is intended to boost the dynamics of our economy by creating applicable incentives to all foreign citizens obtaining status as Renter, Investor and Pensioner Residents, including the following highlights:
- Duty-free treatment and for all import taxes for a one-time shot for the importation of household goods.
- A 20% exoneration of the total transfer tax applicable to any real property acquired during the effective term of this law, in which case the foreign citizen must be the registered owner of the property to qualify for this legal benefit.
- An import tax exoneration for equipment or materials intended for professional or scientific activities conducted under the applicable categories. This is an innovation, as the Law will allow for investments to have a scientific nature or considered as investment funds. The relevant person must prove the Ministry of Finance that the imported goods pertain to his/her economic activity and meet proportionality and reasonability criteria.
- Duty-free treatment and exoneration of all import taxes for a one-time shot and for household good purposes.
- In order to benefit from the law, foreign citizens may import up to 2 land, air and/or maritime transportation vehicles for personal or family use, free of any import and value added taxes and custom duties.
- Any amounts declared as income to qualify for these benefits will be exempt from income tax.