Jun 30, 2017

Whereby it is established the regulatory framework for the implementation of exchange of information for tax purposes and other provisions are prescribed.

Law 51 of October 27, 2016 establishes the Regulatory Framework for the Implementation of Exchange of Information for Tax Purposes and prescribes other provisions in virtue of the covenants subscribed by the Republic of panama in relation to exchange of tax information, fully in force.

This new regulation establishes that employees from the sources participating in the elaboration or delivery of information as established by the Law, must keep strict reserve and shall only disclose it to the competent authorities.  If the employees infringe the provision, the private source shall be subject to the penalties established by the Law, and the natural persons responsible for such behavior shall be subject to the civil and criminal responsibilities according to the terms of the Criminal Code and Law 51.

As established in Article 22, if the private source does not deliver the information or documentation requested by the information injunction, as provided in Law 51, it shall be subject to a sanction by the competent authorities with fines from 10 thousand to 15 thousand Balboas when the natural person or corporation delivers incomplete information and documentation than the required due to causes attributable to it within the term granted.  From 500 thousand Balboas per each day elapsing after the expiration of the term granted for the delivery of the information.