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Short Stay Visa for Remote Workers

Panama

At a glance

Duration

9 months

Non-extendable

14 month(s) delay

Price

$300.00

Tax rate

Overview

Operating as a digital nomad in Panama presents several advantages:

  1. Economical visa application: Panama offers relatively affordable visa fees compared to other countries with digital nomad visa programs. The visa application expenses encompass $250 for the National Immigration Agency and an additional $50 for the Visa Card.
  1. Prolonged stay: The Panama digital nomad visa allows for a nine-month initial stay, with the option to renew for another nine months.
  1. Tax benefits: Panama employs a territorial taxation system, exempting digital nomads from taxes on income earned outside of Panama. After residing in Panama for more than six months, individuals can apply for tax residency, potentially avoiding tax obligations in their home country.
  1. Strong internet connectivity: Panama boasts excellent Internet infrastructure, with multiple undersea fiber optic cables connecting the country to the global network. Average Internet speeds in Panama are 20.44 Mbps for mobile Internet and 137.38 Mbps for fixed Internet.
  1. Delectable cuisine: Panama's culinary landscape is diverse and rich, reflecting its cultural history. The country's food is a fusion of indigenous, Spanish, and Afro-Caribbean influences. Popular dishes include Guacho, Carimañola, Sancocho, Ceviche, Ropa Vieja, Tamal de Olla, and many more.
  1. Affordable living costs: Panama offers a high quality of life at a reasonable cost. Estimated monthly expenses for a family of four stand at $2,399.70 without rent, while a single person can expect estimated monthly costs of $663.89 without rent. Other expenses include:

Benefits

What are the benefits?

  • Valid for 9 months

  • Is tax-free

  • Is extendable

  • Diploma agnostic

  • Extends to your spouse and minor children

Requirements

The following is a list of the documents necessary for applying for a Panama digital nomad visa:

  1. Completed application form: Obtain the application form from the nearest Panamanian embassy or consulate.
  1. Valid passport: Ensure that your passport is valid for a minimum of three months beyond your intended arrival date in Panama.
  1. Certified passport copies: Include certified copies of your passport.
  1. Three passport-size photos: The photos should measure 2 x 2 inches (51 x 51 mm), with the head positioned between 1 to 1 3/8 inches (25 – 35 mm) from the bottom of the chin to the top of the head.
  1. Sufficient funds: You must have the necessary funds to support yourself and cover the costs of returning home when your visa expires.
  1. Clean criminal record certificate: Obtain a certificate of a clean criminal record from your local police department.
  1. Valid medical insurance copy: Ensure that your health insurance covers your stay in Panama.
  1. Certificate of good health: This certificate can be obtained from the nearest hospital facility in your home country.
  1. Affidavit of non-acceptance of jobs in Panama: Obtain this affidavit from your local courthouse, indicating that your work activities will be conducted outside Panama.
  1. Proof of annual income: You must demonstrate an annual income of at least $36,000. This can be substantiated with bank certifications and bank statements.

Applicants working for a foreign company should provide:

  • A signed letter from the company's legal representative, detailing:
  • - The applicant's role and responsibilities within the company
  • - Monthly income
  • - Work methodology

Self-employed applicants must furnish:

  • Proof of the existence of their company outside of Panama
  • A sworn declaration containing information about:
  • - Business activities
  • - Services offered
  • - Client demographics
  • - Past and projected revenue

Note: All documents issued abroad must be notarized and apostilled for submission.

Taxes

Digital nomads in Panama do not earn income within the territory of Panama, which exempts them from income taxes. If you decide to stay in Panama for more than six months, you can consider applying for tax residency, potentially allowing you to avoid taxes in your home country.

Panama operates under a territorial tax system, where residents are only required to pay taxes on income generated within Panama. The personal income tax rates in Panama are as follows:

  • Up to $11,000 annual income: 0%
  • Over $11,000 up to $50,000: 15%
  • Over $50,000: 25% (15% on the first $50,000, and 25% on the remainder)

Additionally, social security taxes are levied at a rate of 9.75% for employees and 12.25% for employers, while educational insurance taxes are set at 1.25% for employees and 1.50% for employers.

It's important to note that Panama does not impose net worth, inheritance, estate, or gift taxes.

Tax rate

47%

Who is it for?

The audience for the Panama Short Stay Visa for Remote Workers Visa, often referred to as the Panama Remote Work Visa, includes individuals from various professional backgrounds and nationalities who are interested in working and living remotely in Panama. While there is no specific nationality-based limitation, the program is designed to attract remote workers, digital nomads, entrepreneurs, and business owners who meet the eligibility criteria.

The primary audience for this visa program typically consists of the following groups:

  1. Remote Workers: Individuals who have jobs that allow them to work from any location outside their employer's physical office, often on a full-time or part-time basis. This group may include employees of multinational companies, tech professionals, consultants, and freelancers.
  1. Digital Nomads: Individuals who have the flexibility to work from anywhere with an internet connection and choose to travel while working. Digital nomads may include freelancers, content creators, online marketers, and others who rely on remote work.
  1. Entrepreneurs: Business owners and startup founders who can manage their operations remotely and wish to explore opportunities in Panama. Entrepreneurs may be looking to establish or expand their business presence in the country.
  1. Location-Independent Professionals: Individuals whose work does not require them to be tied to a specific geographical location. This category may encompass a wide range of professions, including writers, designers, consultants, and more.

While the program aims to attract a diverse range of professionals, it's essential for applicants to meet specific requirements, such as having proof of remote employment, a minimum income threshold, and valid health insurance. These criteria help ensure that participants can support themselves while living and working in Panama.

Overall, the Panama Short Stay Visa for Remote Workers Visa is designed to cater to the evolving work preferences of individuals who seek to combine professional growth with the experience of living in Panama. It offers an opportunity for them to enjoy the country's unique culture, amenities, and lifestyle while maintaining their careers remotely.

What are the steps?

To initiate the application process for a Panama digital nomad visa, follow these steps:

  1. Schedule an appointment with a Panama embassy or consulate: Prior to applying, individuals are required to arrange an appointment with the nearest Panamanian embassy or consulate. Depending on your place of residence, you may need to apply at an embassy in a neighboring country.
  1. Prepare the necessary documents: Refer to the "Requirements for Panama Digital Nomad Visa" section for a list of the essential documents.
  1. Attend the appointment: During the appointment, applicants will be expected to complete a physical application form and submit all the required documents.
  1. Submit the applicable fees: Visa fees encompass $250 for the National Immigration Agency and an additional $50 for the Visa Card.
  1. Await approval: The approval process typically takes approximately thirty days.

Additionally, depending on your nationality, you may need a visa to enter Panama. For more comprehensive information on how to apply for a Panama digital nomad visa, it is advisable to contact your nearest embassy or consulate.

Timeline for approval

The entire application process for a Panama digital nomad visa typically takes around thirty days. However, it could potentially take longer if you are required to provide additional documents or information.

Days required

14

Consular services

Apply now