Nikolai Timofejev
15 years in FinTech and payments. Maps your business model to the right licence scope and leads the file all the way to the Registro Público entry, including banking and payment rails.
Panama private interest foundation: Law 25 of 1995 and the Registro Público.
A Panama private interest foundation (fundación de interés privado) is a legal person under Law 25 of 1995 that may not pursue profit and needs at least B/.10,000 of patrimony. Entry of its charter at the Public Registry of Panama (Registro Público) gives it legal personality, and Law 25 names no supervisor. A lawyer or law firm must be its resident agent. We set it up from Panama City.
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Panama in brief
Panama private interest foundation: legal personality by registration alone.
A Panama private interest foundation exists under Law 25 of 12 June 1995, published in Gaceta Oficial 22804 of 14 June 1995; the Órgano Judicial's official copy reproduces the 1995 text. One or more natural or legal persons may create one, directly or through third parties (art. 1). The founder signs the charter (acta fundacional) before a notary or has the signature authenticated (art. 4). A notary in Panama protocolises it and the resident agent countersigns it (arts. 5 and 6). Entry at the Registro Público gives the foundation legal personality with no other legal or administrative authorisation (art. 9). It may not pursue profit (art. 3), yet it may exercise shareholder rights whose proceeds serve its purposes, so it can hold the shares of a family company or of a Panama investment company. Two authorities follow it: the Dirección General de Ingresos (DGI) collects the yearly tasa única, and the Superintendencia de Sujetos No Financieros (SSNF) registers resident agents.
Two statutes fix the main sums. The patrimony must reach B/.10,000, or its equivalent in any legal-tender currency (art. 5 num. 2). The first tasa única of B/.350 is paid at inscription and B/.400 every year after under Código Fiscal art. 318-A, as replaced by Law 52 of 2016: by 15 July for a foundation entered between January and June, by 15 January for one entered later. Three consecutive unpaid years suspend its corporate rights. Once registered, the foundation is irrevocable unless the charter expressly provides otherwise or a ground for revoking gifts applies (art. 12). Under Panamanian law, heirship rules of the founder's or the beneficiaries' domicile cannot be raised against it (art. 14). The founder's creditors, though, may challenge contributions made in fraud of them for three years from the transfer (art. 15). The resident agent files the beneficial owners within 15 business days of constitution or inscription under Law 129 of 2020.
Law 25 of 1995: a legal person that may not pursue profit, with B/.10,000 of patrimony and legal personality from the Registro Público entry, no licence needed. A lawyer or law firm countersigns as resident agent.
Tasa única B/.350 at inscription, then B/.400 a year. Under Panamanian law, domicile heirship rules cannot be raised against the foundation, while fraudulent contributions stay open to the founder's creditors for three years.
The two builds
A living foundation, or one that takes effect at death.
Law 25 of 1995 lets the charter take effect at once or after the founder's death (art. 4). That choice decides who may revoke the foundation, and on what terms.
Effective at once, or only after the founder's death (art. 4 of Law 25 of 1995).
01 - LIVING (INTER VIVOS)
Effective at once
The foundation exists from its entry at the Registro Público, with a council of at least three members or one legal person (art. 17). A protector or supervisory body is optional; the charter may require its prior authorisation (art. 19).
The foundation exists from its entry at the Registro Público, with a council of at least three members or one legal person (art. 17). A protector or supervisory body is optional; the charter may require its prior authorisation (art. 19).
- ✓Council of three or more
- ✓Founder may sit on the council
- ✓Founder may be a beneficiary
- ✓Protector or committee optional
- ✓Amendment right may be reserved
- ✓Accounts deemed approved after 90 days
02 - SUCCESSION FOUNDATION
Effective on death
A charter written to take effect after the founder's death. The founder keeps an exclusive and unlimited right to revoke it (art. 13), and under Panamanian law the heirship rules of his domicile cannot be raised against it (art. 14).
Takes effect at death; until then the founder alone may revoke it, and under Panamanian law domicile heirship rules cannot be raised against it.
- ✓Takes effect at the founder's death
- ✓Exclusive, unlimited revocation right
- ✓Domicile heirship rules not opposable
- ✓Beneficiaries set in the charter
- ✓B/.10,000 patrimony in the charter
- ✓Council and resident agent named
Reflects Law 25 of 1995 as published in Gaceta Oficial 22804. Whether a later law changed an article we rely on is checked per structure before the charter is signed.
Why Panama
Six reasons founders use Law 25 of 1995.
✓
Personality by registration
Law 25 of 1995 asks for no licence and no approval: the Registro Público entry alone makes the foundation a legal person (art. 9). The same entry gives notice of it to third parties.Registro Público entry is enough.
✓
B/.10,000 in any currency
The charter states an initial patrimony of at least B/.10,000, and it may be expressed in any legal-tender currency (art. 5 num. 2). The yearly tasa única is B/.400.Any legal-tender currency.
✓
Founder inside the structure
The founder may sit on the council and be named among the beneficiaries (art. 5 nums. 3 and 7). The charter can also reserve a right to amend it (art. 5 num. 8).Council member and beneficiary at once.
✓
Moving in or out
A foundation constituted under foreign law may adopt Law 25 of 1995 (art. 28). A Panamanian one may move to another country's law and jurisdiction as its charter provides (art. 32); the Registro Público lists a B/.25 qualification fee for it.In under art. 28, out under art. 32.
✓
A charter in English
A Panama private foundation may have its charter in English or any other Latin-script language (art. 6). Before registration a Panama notary protocolises it with a Spanish translation by an authorised public interpreter.Latin script, Spanish translation.
✓
Confidentiality backed by penalties
Council members, supervisory-body members and officials must keep the foundation's affairs confidential; art. 35 punishes a breach with 6 months' prison and a B/.50,000 fine. The beneficial owners are still filed under Law 129 of 2020.Six months' prison, B/.50,000 fine.
How it compares
How Panama differs from other foundation jurisdictions.
Each statute sets its own floor: B/.10,000 in Panama, B$10,000 or US$10,000 in the Bahamas, EUR 1,164.69 in Malta and CHF 30,000 in Liechtenstein. Panama's yearly charge is the B/.400 tasa única.
Panama vs other foundation jurisdictions
| Feature |  Panama | Other jurisdictions |
|---|---|---|
| Minimum patrimony | B/.10,000 | US$1 (Seychelles), CHF 30,000 (Liechtenstein) |
| First-year charge | B/.350 tasa única | EUR 350 to EUR 1,747 (Malta) |
| Yearly charge | B/.400 tasa única | $500 (Bahamas), USD 200 (Seychelles) |
| Founding filing | Public entry (art. 9) | Deposited notice, CHF 300 (Liechtenstein) |
Minimum patrimony
PanamaB/.10,000
Other jurisdictionsUS$1 (Seychelles), CHF 30,000 (Liechtenstein)
First-year charge
PanamaB/.350 tasa única
Other jurisdictionsEUR 350 to EUR 1,747 (Malta)
Yearly charge
PanamaB/.400 tasa única
Other jurisdictions$500 (Bahamas), USD 200 (Seychelles)
Founding filing
PanamaPublic entry (art. 9)
Other jurisdictionsDeposited notice, CHF 300 (Liechtenstein)
Country by country
| Country | Instrument | Supervision | Notes |
|---|---|---|---|
| Panama | Foundation - Law 25 of 1995 | Registro Público entry; no supervisor in Law 25 | B/.10,000; B/.350, then B/.400 a year |
 Liechtenstein | Stiftung - PGR Art. 552 | STIFTA: common-benefit or by deed | CHF 30,000 capital; notice CHF 300 |
 Bahamas | Foundation - Ch. 369D | Licensed foundation agent; its regulator oversees | B$10,000 or US$10,000; s.69(1) exemptions |
 Malta | Foundation - Civil Code | MFSA-authorised administrators (art. 43(12)) | Endowment of at least EUR 1,164.69 |
PanamaInstrumentFoundation - Law 25 of 1995
SupervisionRegistro Público entry; no supervisor in Law 25
NotesB/.10,000; B/.350, then B/.400 a year
LiechtensteinInstrumentStiftung - PGR Art. 552
SupervisionSTIFTA: common-benefit or by deed
NotesCHF 30,000 capital; notice CHF 300
BahamasInstrumentFoundation - Ch. 369D
SupervisionLicensed foundation agent; its regulator oversees
NotesB$10,000 or US$10,000; s.69(1) exemptions
MaltaInstrumentFoundation - Civil Code
SupervisionMFSA-authorised administrators (art. 43(12))
NotesEndowment of at least EUR 1,164.69
Before you establish
What a Panama private interest foundation actually requires.What a Panama private interest foundation requires.
Art. 5 of Law 25 of 1995 lists what the charter must contain. Law 129 of 2020 and Law 52 of 2016 add the beneficial-owner filing and the records.
01
Founder - one or more natural or legal persons, acting directly or through third parties (art. 1).
02
Charter form - signed before a notary or with the founder's signature authenticated, in any Latin-script language (arts. 4 and 6).
03
Name - it must contain the word fundación (art. 5 num. 1).
04
Initial patrimony - at least B/.10,000, or its equivalent in any legal-tender currency (art. 5 num. 2).
05
Council - at least three members, or one legal person (art. 17); the founder may be a member (art. 5 num. 3).
06
Resident agent - a lawyer or law firm that countersigns the charter before registration (art. 5 num. 5).
07
Protocolisation - the charter is protocolised at a notary in Panama before it goes to the Registro Público (art. 6).
08
Purpose and duration - no profit-seeking purpose (art. 3) and a duration stated in the charter (art. 5 num. 9).
09
Beneficial owners - registered by the resident agent within 15 business days of inscription (Law 129 of 2020, art. 11).
10
Accounting records - at least five years; the resident agent holds copies or certifications and the custodian's details (Law 52 of 2016, arts. 1-2, as amended in 2021).
01
One or more founders.
02
Notarised charter, Latin script.
03
Fundación in the name.
04
Patrimony of B/.10,000 minimum.
05
Council: 3+ members or a legal person.
06
Lawyer as resident agent.
07
Protocolised at a Panama notary.
08
No profit purpose; duration stated.
09
Beneficial owners within 15 business days.
10
Records kept five years.
Reflects Law 25 of 1995 in its 1995 text, and Law 129 of 2020 and Law 52 of 2016 as amended in 2021, as of 2026.Law 25 of 1995, Law 129 of 2020, Law 52 of 2016.
Verify it yourself
Official sources
Regulator pages, legal texts and public registers the figures on this page are based on.
- LawLaw 25 of 12 June 1995 on private interest foundations, Gaceta Oficial 22804 - Órgano Judicial, CENDOJ (Spanish)organojudicial.gob.pa
- LawLaw 52 of 27 October 2016 (accounting records; Código Fiscal art. 318-A), Gaceta Oficial 28149-B, as enacted - Asamblea Nacional, Legispan (Spanish)s3-legispan.asamblea.gob.pa
- RegisterRegistro Público de Panamá - Calculadora registral, registry fees (Spanish)registro-publico.gob.pa
- GuidanceDirección General de Ingresos (DGI) - FAQ: Agentes Residentes (Spanish)dgi.mef.gob.pa
- LawLaw 129 of 17 March 2020, beneficial owners register, text with the Law 254 of 2021 changes - MEF / CNBC (Spanish)cnbc.mef.gob.pa
How it works
From first call to an entry at the Registro Público.
01
Living or succession
Family, assets and the moment the foundation should start: at once, or on the founder's death (art. 4).At once or on death.
02
Charter drafting
Council, beneficiaries and the amendment clause settled before signature, because revocation must be reserved expressly in the charter (art. 12).Revocation clause decided up front.
03
Notary and agent
Signature authenticated, charter protocolised in Panama, and the resident agent's countersignature once the agent has identified the founder under Law 2 of 2011.Notary, protocol, agent's countersignature.
04
Registro Público entry
Inscription with the B/.10 qualification fee (derecho de calificación) and the B/.350 first tasa única; legal personality from the entry (art. 9).Entry with B/.10 and B/.350.
05
Registers and upkeep
Beneficial owners filed within 15 business days, the B/.400 tasa única each year and accounting records kept for at least five years.Owners filed, B/.400 a year.
Quick facts
StatuteLaw 25 of 1995
GazetteGaceta Oficial 22804
PatrimonyB/.10,000 minimum
Council3 or more, or 1 legal person
Resident agentLawyer or law firm
First tasa únicaB/.350 at inscription
Yearly tasa únicaB/.400
Beneficial owners15 business days
We confirm the Registro Público's inscription time when the charter is lodged. The 15 business days for beneficial owners run from constitution or inscription, so that file is ready first.
On the ground in Panama
Run from our Panama City office.
Prifinance - Panama
Panama City · Panama
Panama City, Panama
01
Charter drafting
The charter written to art. 5 of Law 25 of 1995: patrimony, council, resident agent, beneficiaries, amendment reserve and duration.Art. 5 contents written out.
02
Notary and protocol
The founder's signature authenticated, then the charter protocolised at a notary in Panama and countersigned by the resident agent.Authenticated, protocolised and countersigned.
03
Registro Público entry
Inscription with the first B/.350 tasa única, and the beneficial-owner filing within 15 business days of it.Entered with the B/.350 tasa.
04
Annual upkeep
Tasa única of B/.400 paid by 15 July or 15 January, and accounting records kept, with copies or the custodian's details at the agent.B/.400 a year, records kept.
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Good to know
Taxation of Panama foundations.
Law 25 of 1995 carries its own tax article, art. 27. The tasa única and, from fiscal year 2027, Law 926 of 2026 sit beside it.
Article 27, 1995 text
The 1995 text exempts from every tax the constitution, amendment and extinction of the foundation and transfers of and income from its assets, provided those assets are abroad, deposits of non-Panamanian-source money or shares of such companies. We confirm its current reach per structure.Exemptions in the 1995 text.
Tasa única every year
B/.350 at inscription, then B/.400 a year (Código Fiscal art. 318-A), due by 15 July or 15 January depending on the half-year of registration; late payment adds B/.50 per year or fraction.B/.400 a year, B/.50 if late.
Three unpaid years
Three consecutive years without payment suspend the foundation's corporate rights. It then has two years to reactivate before final cancellation (art. 318-A).Suspension after three unpaid years.
Law 926 of 2026
From fiscal year 2027, a non-qualifying entity of a multinational group pays a single and final 15% on foreign-source passive income (art. 707-D). The text does not name foundations; we assess each structure.15% for some group entities from 2027.
Accounting records
Law 52 of 2016, as amended by Law 254 of 2021, counts a private interest foundation as a legal person that keeps accounting records for at least five years; its resident agent holds copies or certifications and the custodian's details.Records kept at least five years.
Beneficial owners
Law 129 of 2020 has the resident agent file the beneficial owners within 15 business days. The system is private and of limited access, and its data go only to competent authorities.Filed within 15 business days.
Tax summary
Constitution, amendment, extinctionArt. 27 exemption (1995 text)
Assets abroadArt. 27, reach confirmed per case
Tasa únicaB/.350, then B/.400
Late paymentB/.50 per year or fraction
From fiscal 2027Law 926: scope assessed
*As of 2026 per Law 25 of 1995 (1995 text), Código Fiscal art. 318-A and Law 926 of 2026. Home-country taxation is modelled per structure.
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Experienced lawyers and international consultants.
We provide end-to-end support, from company registration and the application file to regulatory interaction and compliance oversight - with an individualized approach to each client.
Oleksii Kindratenko
Builds the application itself: Panama foundation, AML/KYC policy pack, capital structure and tax registrations. His document sets are the reason reviews finish in months, not years.
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First point of contact for international founders. Runs the whole setup remotely, across time zones and languages - from the first call to a working foundation.
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Panama · Registro Público
Set up your Panama private interest foundation with expert support.
Full-service assistance - from the charter and the notary to the resident agent's countersignature, the Registro Público entry and the yearly tasa única - run through our Panama City office.
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Request a free conclusion →FAQ
The Panama foundation, question by question.
Does a Panama foundation need a licence?+
No. Law 25 of 1995 sets no licence: the foundation becomes a legal person when its charter is entered at the Registro Público (art. 9). Law 124 of 2020 puts the lawyers' work on private interest foundations under SSNF supervision instead (art. 40).
Who sits on the foundation council?+
At least three members, or a single legal person (art. 17), and the founder may be one of them (art. 5 num. 3). Law 25 of 1995 sets no licence for council members. The professional gate is the resident agent, who must be a lawyer or law firm (art. 5 num. 5).
What does the resident agent do?+
The resident agent countersigns the charter before registration, identifies the client and verifies his identity with documents under Law 2 of 2011, and registers the beneficial owners. If the client gives no information, the agent may resign and file the resignation at the Registro Público (Law 2 of 2011, art. 32).
How long does it take to set up a Panama private interest foundation?+
Law 25 of 1995 sets out the steps: the founder's notarised signature, protocolisation at a notary in Panama, the resident agent's countersignature and inscription at the Registro Público (arts. 4-9). The Registro Público's processing time is confirmed when we lodge the charter. In our files the founder's identification documents set the pace.
What does a Panama private interest foundation cost?+
The charter must carry at least B/.10,000 of initial patrimony. The DGI collects a first tasa única of B/.350 at inscription and B/.400 a year after, and the Registro Público lists a B/.10 qualification fee; the registration duty under Código Fiscal art. 318 is confirmed in the quote. Our Panama City fee follows in writing after a free assessment.
Can the founder's creditors reach the foundation's assets?+
Yes, where the transfer defrauded them: art. 15 lets those creditors challenge the contribution, and their rights lapse three years after it. Otherwise the assets answer only for the foundation's own obligations, damage caused in pursuing its purposes and beneficiaries' legitimate rights, never for the founder's or beneficiaries' personal debts (art. 11).
Do forced-heirship rules apply to a Panama foundation?+
Under Panamanian law, not those of the founder's or the beneficiaries' domicile: art. 14 says such rules cannot be raised against the foundation, affect its validity or stop it pursuing its objects. Art. 14 does not decide how the founder's home courts treat the gift, and a ground for revoking gifts can still undo the foundation (art. 12). We check the founder's home-country rules per family.
What rights do beneficiaries have?+
Any beneficiary may challenge acts of the foundation that harm the rights it gives him, through the protector or directly in court (art. 26). The council informs beneficiaries of the financial position as the charter provides (art. 18 num. 3); its accounts count as approved if nobody objects within 90 days, unless the charter sets another term (art. 20).
Panama foundation or Liechtenstein Stiftung?+
Liechtenstein does one thing better: a private-benefit foundation there deposits a founding notice with the Amt für Justiz (CHF 300) instead of making a public entry. It asks CHF 30,000 of capital for that. Panama asks B/.10,000, registers the charter publicly and puts a lawyer between the founder and the state.
Why Prifinance for a Panama private interest foundation?+
We write the charter to art. 5 of Law 25 of 1995, settle the living or succession form, and run the notary, resident-agent and Registro Público steps as one sequence, with the beneficial-owner filing and the tasa única calendar. Our Panama City office runs it.
Licence needed?+
No: registration alone gives personality.
Who is on the council?+
Three or more, or one legal person.
Resident agent?+
A lawyer who countersigns and files.
How long?+
Confirmed with the Registro Público at lodging.
What does it cost?+
B/.10,000 patrimony; B/.350, then B/.400.
Founder's creditors?+
Three years against fraudulent contributions.
Forced heirship?+
Under Panamanian law, domicile rules do not bind it.
Beneficiaries' rights?+
They may challenge harmful acts in court.
Or Liechtenstein?+
Deposited notice there; CHF 30,000 capital.
Why Prifinance?+
One sequence, run from Panama City.
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Prifinance is an independent law and advisory firm. We are not a regulator and are not affiliated with, endorsed by, or acting on behalf of the Public Registry of Panama (Registro Público de Panamá) or any other public authority. Authorisations are granted by, and obtained directly from, the competent authorities.