Panama’s New Immigration Law
(baumanblog.sovereignsociety.com) In recent decades the Republic of Panama deliberately has positioned itself as a first-class retirement haven, with some of the most appealing programs of special benefits for foreign residents and retirees anywhere in the world. Panama also offers a variety of visas for investors, persons of high net worth, wealthy retirees, small business and agricultural business entrepreneurs, and those who simply want to immigrate and become Panamanian citizens.
A liberal immigration law that offered many inducements has in the past been one of the most attractive features for foreigners considering retirement or a second home in Panama.
On February 22, 2008 a newly revised general immigration law was decreed by President Martin Torrijos, and, as is the legal custom in Panama, that original law was fleshed out by a series of rules decreed on August 8, 2008.
Eric Jackson of The Panama News has published an examination of the new law and the implementing rules that took effect on August 28th. Generally, fees for all services have been increased, some substantially.
For more details I suggest you review that article, but here are a few highlights:
- Foreigners who already have their legal residency in Panama are "grandfathered in" and retain their existing status, although the requirements have become more expensive.
- The so-called pensinado program that has been so popular with foreigners remains in place, but whereas an applicant in the past only had to prove an established pension income of $500 per month (or $750 per couple), that's upped to $1000 a month. However, a foreign retiree (rentista retirado) who owns Panama property worth at least $100,000 only need prove a pension of $750 per month. A pensionado with dependents must now pay $250 for each dependent.
- Investors visas have become more expensive. Example: it will now require an investment of $60,000 to get a visa as an agricultural or reforestation investor (inversionista forestal), rather than the previous $40,000. The costs of visas, permits and fees for filing various documents has also been raised.
- Tourist visas are granted for a maximum of 90 days, but the common practice is to leave the country for a few days and come back to get another three-month tourist visa.
- Every foreigner must register with a central registry (that has yet be established) and update their status with change in address, change in economic or martial status. All foreigners will be issued an identity card (cédula) which is the current practice.
- If you want to know more about Panama as a possible second home for you, as well as a tax and asset protection haven, click here for my book, Panama Money Secrets.
