Regulatory Changes In Panama: What You Need To Know

• Published date: 22 June 2022
• Law Firm: TMF Group BV
• Author: Sofía Bonilla Sanabria

Obligations to disclose and maintain financial information and capital structures are becoming increasingly common in Panama, not only to maximise tax and financial transparency, but also to comply with the standards and recommendations of international organisations including the Organization for Economic Cooperation and Development (OECD) and the Financial Action Task Force (FATF).

In this article, we will focus on two specific regulatory changes that were recently adopted: the registration of beneficial owners; and the extensive due diligence records of resident agents.

Beneficial owner registration

The registration of beneficial owners is a new obligation arising from Law No. 129 enacted on 7 March 2020, which brought about the adoption of the 'Private and Unique System of Registration of Beneficial Owners of Legal Entities' (Sistema Privado y Único de Registro de Beneficiarios Finales de Personas Jurídicas).

Through this online system, legal entities registered in the country must, via their registered agents...