Panama

Individuals must consider as gross income the total income received from their activities undertaken in the Panamanian territory.

Employment income

Compensation includes salary, premiums, share-profits, living expenses allowance, house allowance, car allowance, tax reimbursements, benefits-in-kind, retirement benefits, and any other compensation in kind.

Representation allowance is subject to a definitive WHT at the following rates:

Capital gains

See Capital gains tax in the Other taxes section for a description of how capital gains are taxed in Panama.