The first time you ride into Panama City from the airport you might think you’re in Singapore or Hong Kong. The skyline is gorgeous, the streets bustling, and tropical vibes promise la vida tranquila.
Panama, gateway to the Americas, is politically stable, a hub of international business and banking, and one of the fastest-growing economies on the planet.
Okay, I admit to being a bit biased…
But Panama is still a really good option for anyone looking for sun, sea, good internet, safety and a highly beneficial tax system for digital workers.
How do I know this?
Because when Covid struck and the government went totally crazy “protecting” its people with lockdown regulations of epic proportions, I wanted out. Badly.
As a Canadian native I can hibernate it out in a cabin in the Canada mountains; Mexico and its many anarcho-capitalists are just a short flight away from Panama; and I looked at Croatia and the Republic of Georgia for its digital nomad friendly visas.
The thing is however, I AM NOT A NOMAD. I am a location independent entrepreneur, and although traveling for holiday is always fun, I chose Panama because of the following benefits:
- The Friendly Nations Visa (FNV) is one of the easiest and cheapest permanent residencies to get in the world.
- One of the requirements to qualify for the FNV is to incorporate a company (very easy and can be done from outside Panama). The catch is that when you start your own company, you will still need a work permit to legally work in your company. BUT…if you start an ONLINE business you do NOT need a work permit.
- You do not pay tax on online business income from outside Panama! In fact, if TAX PLANNING is part of your Plan B, Panama is close to unbeatable.
- Then there is the Colon Free Zone Panama – the second-largest duty-free zone in the world—second only to Hong Kong. If you’re in the export business, you can reap tax and financial benefits that are unrivaled anywhere else on the planet. (Oh, and a ready-made market of more than 500 million consumers in Latin America and the Caribbean)
Panama is turning into a world-famous destination for its beaches, mountains, safety and first-world infrastructure. More importantly, the Friendly Nations Visa is one of the best residency programs in the world.
Here’s what you need to know about the Friendly Nations Visa and why you should act soon.
Getting back to business, when Covid struck and I started making a pros and cons list about staying or leaving, it was hard to find a better option to plant at least one of your flags in Panama than ANYWHERE ELSE IN THE WORLD! Despite its draconian Covid restrictions.
Yes, Estonia, Georgia, Barbados, and Bermuda all look good. And there are economic citizenship programs that have become even cheaper, like St. Kitts and St. Lucia. But for easy residency and tax-friendly business and LLC incorporation, I suggest you seriously consider Panama’s many benefits.
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