MULTINATIONAL HEADQUARTERS

Special regime created for the establishment of Multinational Headquarter (MHQ), companies that operates as a foreign company registered in Panama or as a Panamanian company owned by a transnational company.

Its objective is to provide services to its parent company or subsidiary in other countries.


Laws:


 

Sectors/Industries:

  • Logistics.
  • R+D
  • Electronic processing and consolidations of business group operations.
  • Construction and design.
  • Financial Management, for Companies/BPO.
  • Internal technical assistance, advice and coordination of marketing and advertising.
  • Administrative Direction of Regional Operations.

INCENTIVES

  • Legal Stability of the investments referred to in Law 54 of 22 July 1998 and Executive Decree No. 9 of 22 February 1999.
  • Reduced rate: 5% Income Tax in the Republic of Panama for services rendered.
  • The services provided do not cause ITBMS if they are provided to the business group abroad.
  • Permanent visa (5 years) for foreign executives in permanent positions and their dependents.
  • Permanent residence for the permanent staff of the SEM Company. 
  • 3-month visa for foreign technical personnel hired for short periods for SEM company projects.
  • SEM licensed companies can hire foreign executives they deem necessary for administrative positions.
  • Income Tax Exemption, if the salary comes from a foreign source for foreign personnel.
  • Tax exemption for the introduction of household items and vehicles for personal use of permanent foreign workers, however, the sales tax must be paid.

170+

Multinationals established in Panama since 2007.


5,500+

Jobs generated.


US $8,800+

Million Invested.