What are the main residency visas in Panama?

The main residency visas in Panama include the Friendly Nations Visa, Pensionado Visa, Investor Visas, and Qualified Investor Program.

How long does it take to obtain residency in Panama?

Most residency applications are processed in 3 to 6 months, depending on the visa category and documentation.

Is a Panama immigration lawyer required?

Yes. Panamanian law requires all residency visa applications to be submitted through a licensed immigration attorney.

Does Panama tax foreign-source income?

No. Panama only taxes income earned inside Panama. Foreign-source income is not taxed.

Can family members be included in a residency visa application?

Yes. Applicants can include their spouse, dependent children, and dependent parents in most Panama residency visas.

Can Panama residency lead to citizenship?

Yes. After obtaining permanent residency and fulfilling the physical presence requirements, applicants may apply for Panamanian citizenship.

Benefits of Immigrating to Panama | Why Become a Panama Resident in 2025 - Immigration Visa & Residency Services(PTY) 🥇

What Are the Benefits of Immigrating to Panama and Becoming a Resident?

Immigrating to Panama and obtaining legal residency offers significant advantages for retirees, investors, entrepreneurs, digital nomads, and families seeking stability, tax benefits, and a high quality of life. Panama has become one of the top immigration destinations in Latin America thanks to its strong economy, territorial tax system, and friendly immigration programs.

1. Strong and Stable Economy

Panama offers one of the most stable economies in the region. The use of the U.S. dollar, solid banking system, and low inflation make the country a safe and reliable option for individuals who wish to invest, open a business, or relocate.

2. Territorial Tax System (No Tax on Foreign Income)

Panama’s territorial tax regime is one of its biggest benefits. Residents are only taxed on Panama-source income, meaning foreign income—such as overseas investments, pensions, remote work, or international businesses—is not taxed in Panama. This is a major advantage for entrepreneurs, investors, and retirees.

3. Multiple Visa Options for Easy Residency

Panama offers several immigration programs that make relocation accessible:

Friendly Nations Visa
Pensionado Visa for retirees
Investor Visas (Real Estate, Business, or Bank Deposit)
Self-Economic Solvency Visa
Digital Nomad options

These programs allow applicants to obtain temporary or permanent residency efficiently with professional legal support.

4. High Quality of Life and Modern Infrastructure

Panama provides a comfortable lifestyle with modern services, international hospitals, excellent internet, shopping centers, and safe neighborhoods. Residents enjoy beaches, mountains, tropical weather, and a vibrant expat community.

5. Safety and Political Stability

Known for its long-term stability and strategic economic importance, Panama offers a secure environment to live, work, and invest. This reliability attracts thousands of foreign residents every year.

6. Excellent Global Connectivity

Tocumen International Airport is the “Hub of the Americas,” offering direct flights worldwide. This makes Panama ideal for global entrepreneurs and frequent travelers.

7. Affordable and High-Quality Healthcare

Residents have access to both public and private healthcare. Medical services are high quality and significantly more affordable than in the U.S. or Europe—making Panama especially attractive for retirees.

8. Pathway to Permanent Residency and Citizenship

Many visa programs lead to permanent residency, and after fulfilling the legal requirements, residents may apply for Panamanian citizenship and a Panama passport.

9. Pensionado Program Benefits

Retirees under the Pensionado Visa enjoy discounts on:

Health services
Flights and travel
Hotels and entertainment
Utilities and transportation

These savings make living in Panama even more attractive and affordable.

10. Welcoming Expat Communities

Large expat communities in Panama City, Coronado, Boquete, and Bocas del Toro make integration easy. New residents feel supported and quickly adapt to the local lifestyle.