FACTA Delayed

The implementation of an intergovernmental agreement between Panama and the United States on tax compliance relating to bank accounts (Fatca) will be postponed until Sept. 30, 2016.

Yesterday the decision was communicated to Banking Association of Panama through a letter signed by the Minister of Economy and Finance Dulcidio De La Guardia.

This American initiative, passed in 2010, urges financial institutions around the world to provide information about accounts of Americans living abroad for the purpose of fighting tax evasion.

According to the ministry, until the intergovernmental agreement is officially signed by the two countries, there will not be an automatic exchange of information