Taxes and DGI procedures · Quirós & Quirós
DGI procedures and tax exemption applications in Panama
We help you investigate the background of your procedure, organise the documents and follow up on the tax matters entrusted to the firm.
On this page
Getting started
Key points
- The procedure is determined by the taxpayer and the specific obligation.
- An exemption requires proof that its conditions are met.
- A tax clearance certificate and updating records serve different purposes.
- Kenia coordinates these procedures with the legal team where appropriate.
Review your tax position before filing
A debt, a pending exemption or a document needed for a sale requires the taxpayer and the status of the procedure to be identified. Preparation brings together RUC details, property or company information, account statements and correspondence. This distinguishes a correction of information from a payment obligation or an application for a tax benefit.
Tax exemptions and principal residence
Eligibility depends on the benefit requested and the history of the property and the taxpayer. Requirements, documentation and periods are reviewed before filing. An application does not automatically cancel previous balances or establish approval in advance. The specific guides explain exemptions, Patrimonio Familiar Tributario and Vivienda Principal.
Tax clearance certificates and property sales
A transfer requires coordination of the account statement, property documents and forms applicable to the seller. ITBI and ISR on the transaction each have their own treatment. The guide to taxes on property sales retains the examples and formulas that explain what is paid in advance and what may constitute the final cost.
Companies, professionals and other obligations
The annual company tax, tax returns and obligations arising from professional activity should not be treated as the same tax. The new guides distinguish companies from individuals, with examples of ISR, CAIR and ITBMS. The proposal defines the scope of legal work and accounting tasks, in coordination with the relevant professional.
Preparation, filing and follow-up
Kenia Rodríguez coordinates inquiries, documents and follow-up on procedures before the DGI to help clients prepare. The legal team becomes involved according to the issue requiring review. The engagement identifies the specific application, outstanding documents, costs and included actions; tax decisions rest with the authority.
Old debts and collection notices
An old debt requires a review of periods, actions taken and their possible effects on the limitation period. Counting the years since the balance first appeared is not enough. If you received a collection notice or a decision, provide the complete document and the date of receipt so the response and its deadlines can be assessed.
How we proceed
Your matter, step by step
- We understand your needs
Tell us what you need to resolve and share the information available. We identify the owner, the registered property and the purpose of the procedure to organize the initial review and any necessary inquiries.
- We organize the procedure
The legal team reviews the background and determines the appropriate action. Kenia coordinates outstanding documents and inquiries. Before starting, we explain the scope of the service, fees and anticipated expenses.
- We file and follow up
Within the agreed service, we prepare and file the application, address requests and review responses. Kenia keeps you informed about missing documents, matters requiring your involvement and the next steps in the procedure.
Preparing for your consultation
- Taxpayer identification or registered property reference.
- Any available account statement, application or notice.
- Supporting records and background relating to the procedure.
- Details of representation and of the accountant, where involved.
Fees, expenses and timing
Our proposal identifies the work included, our fees and the external expenses relevant to the engagement. If another service or an additional stage is needed, we explain its scope and terms before adding it.
Timing depends on the documents, participants’ availability and the specific procedures. When defining the engagement, we distinguish our preparation timetable from dates that depend on third parties or an authority.
How we explain your legal fees →Your questions answered
Select a question to read the answer in our central question catalogue.
- Can the firm make enquiries for my DGI procedure?
- Can I request exemption advice without all the property documents?
- Do you handle property owned by companies?
- Can the firm review a DGI charge I do not understand?
- Can you coordinate my property’s tax procedures with its sale?
- How much does an exemption application cost and how long does it take?
- Is my home exempt because it costs less than B/.120,000?
- Which types of exemption can you review?
- Why does my exempt apartment still show tax due?
- Does an exemption application erase earlier debts?
- What if the property’s recorded details are out of date?
- Can the firm file and follow up my DGI application?
- Should I choose the Principal Residence option?
- Can I apply for the benefit if I live alone?
- Do you handle homes held in trusts?
- Can a foreign retiree seek advice on housing tax benefits?
- Should I change an exemption I already have?
- Can I request prescription of any old tax debt?
- Does an earlier payment prevent a tax prescription application?
- Does filing a prescription application immediately remove the DGI debt?
- Can I seek advice after receiving a tax collection notice?
- What if the tax debt is not eligible for prescription?
- Do I owe income tax if I earn B/.11,000 a year?
- If I exceed B/.50,000, do I pay 25% on everything?
- Can I owe no income tax but still have to charge ITBMS?
- Does payment from a foreign client make the income foreign-source?
- Does this table apply to selling shares or property?
Further reading
- Taxes on selling property in Panama: the 2% and 3% (Spanish)
- Taxes for individuals and professionals in Panama (Spanish)
- Which taxes does a company pay in Panama? (Spanish)
- Property tax exemption in Panama: review and application (Spanish)
- Patrimonio Familiar Tributario or Vivienda Principal: which to apply for (Spanish)
- DGI tax clearance for a property sale (Spanish)
- Forms 106 and 107 for selling property in Panama (Spanish)
- Annual company tax and regularization of companies in Panama (Spanish)
- Review and applications to the DGI for tax debts to be declared time-barred (Spanish)
Working with our firm
A clearly defined engagement
- Inquiries and organization of documents relating to the procedure.
- Preparation, filing and follow-up of applications covered by the engagement.
- Coordination with the legal team and accountant when required by the transaction.
Our proposal sets out which of these services you need and the terms of our engagement.