CORPORATE FOUNDATION? - PANAMA LEGAL CENTER by Panama Legal Center

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CORPORATE FOUNDATION? - PANAMA LEGAL CENTER

CORPORATE FOUNDATION? Home / CORPORATE FOUNDATION?

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HOW TO SET UP A PANAMA FOUNDATION? ULTIMATE GUIDE WHAT IS A CORPORATE FOUNDATION? Corporate foundations are separate legal entities that normally used iin estate planning and family trust. Foundations are a separate legal entity and most foundations are o interest. Foundations can be used for reasons as follows;

1. Private interest foundations 2. Charitable foundations In this article we try to address Private Interest Foundations only.

CHARACTERISTICS OF A FOUNDATION GRANTOR: The Founder is the person or entity that establishes the Foundation. TRUSTEE: The trustee is the person or entity who ultimately Controls the Foundation and all assets held within it. The trustee is appointed by the Council when the Foundation is however, once the Protector is empowered, the Protector can then remove the council members at any time without consent of any one else. The trustee can be appointed p through a Private Protectorate Document, signed by the Foundation Council. Hence, the trustee can maintain this position free of public knowledge. We generally appoint our Protector of the Foundation, through a notarized Private Protectorate Document so that our client maintains complete control over the Foundation, in a private and anonymous Once the trustee is appointed, it can always be changed per the Protectors wishes. However, a trustee is not required and if you prefer, you can choose to not use a trustee, or nominee trustee. BENEFICIARIES: Unlike a corporation that issues share certi cates to certify who the owners are, the Private Interest Foundation does not have owners, rather it has Bene cia Foundation Bene ciaries are appointed by the Protector through either a simple, privately written Letter of Wishes, or through a more formal set of Foundation By-Laws Founda Laws should be written with the assistance of a Panamanian Attorney. Either way, the privacy and con dentiality of bene ciaries can be protected through their appointment in th of Wishes, or By-Laws of the Foundation, since the contents of the Letter of Wishes or Foundation By-Laws may remain private and need only be known to interested parties Panama Foundation may be set up so that the Protector is the sole bene ciary until his or her death, at which time the foundation continues for the bene t of other bene ciaries. COUNCIL MEMBERS: The Foundation Council serves the same purpose as the board of directors on a corporation. The council members are each registered in the public regi their names, addresses, and identi cations as council members to the Foundation. Our rm generally appoints a “Nominee Foundation Council” to ll the council positions, so to additional privacy and con dentiality for our clients. When we appoint a nominee council, we provide our client with signed, undated letters of resignation from each nominee member so that our client can replace the council at any time. The nominee council has no control over the Foundation or any of its’ assets, they are only there to ll in the blan public registry. OBJECTIVES OF FOUNDATION: The Letter of Wishes is a simple letter, written by the trustee, which speci es exactly how the Panama Foundation assets should be handled or dis upon a triggering event such as the death or incapacity of the trustee. The Letter of Wishes should also state whether the Panama Foundation should continue existing, and hav Protector appointed, or if the Panama Foundation should be dissolved upon the death of the Protector. There is no speci c format that the Letter of Wishes must be written, and written or changed at any time after the Foundation is incorporated, per the Protectors wishes. The Letter of Wishes can be held privately, or can be registered publicly. Genera people prefer to maintain the Letter of Wishes privately, so that the Bene ciaries and Protector remain anonymous and private. FOUNDATION BY LAWS: The Panama Foundation does not need to have Foundation By-Laws, since a Letter of Wishes is legally su cient for expressing the Protectors’ re

testamentary instructions. However, if one wishes to have a more formal Foundation testamentary document, written and signed by a Panamanian Attorney, and notariz

Panamanian notary, then one can request the assistance of a Panamanian attorney to draft the Foundation By-Laws. The Foundation By-Laws essentially handle the same func

Letter of Wishes since the Foundation By-Laws should specify exactly how the Foundations assets should be handled or distributed upon a triggering event such as the death or in

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of the Protector. The By-Laws should also state whether the Panama Foundation should continue existing, and have a new Protector appointed, or if the Panama Foundation s

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CHAT! FREEcan be changed at any ti dissolved upon the speci ed triggering event(s). There is a speci c format that the Foundation By-Laws must be written, yet the contents of the By-Laws the Panama Foundation is incorporated, per the Protectors wishes. The Foundation By-Laws can be held privately, or can be registered publicly. Generally, most people prefer to the By-Laws privately, so that the Bene ciaries and Protector remain anonymous and private.

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What Is Panama O shore Company? The Republic of Panama is a sovereign democratic country located in Latin America. In fact, Panama considered to be the hub of international business center connecting North to Central & South America countries. Panama due to its Panama Canal has the fastest growing economy and largest per ca-pita income in Central America. Republic of Panam popular and has registered over 500,000 corporations & foundations, making it the second most OFFSHORE JURISDICTION destination in the world, after Hong Kong. Export & plays a major factor in the economy of Panama and Panama Canal is the best source of income for Panama with more than $3.1 billion revenue in 2018. Panama has been rapidly in the last decade and it is considered an OFFSHORE HUB for foreign investors. In short, country of Panama is a TAX HAVENS for foreigners & investors in terms of tax be asset protection.

Panama Foundations & Corporations Are Anonymous (https://www.panamalegalcenter.com/contact-us/) The Panama Foundation is a separate legal entity that is entirely apart from its creators, and it is unlike any other entity. The Panama Private Interest foundation was designed to exible and a more a ordable model which is to be used internationally for various reasons. International estate planning, asset protection, ultimate privacy, anonymity, and prot the Protectors, Founders, and Bene ciaries of the Foundation. These are just some of the clear and present advantages of a Panama Foundation. Generally speaking, d corporations protect their owners and o cers from claims and liabilities. However piercing the corporate veil of a domestic company is possible and personal liabilities can be cla Domestic corporation does not provide Asset Protection (https://www.panamalegalcenter.com/contact-us/) to its directors and shareholders wherein there is a maliciou mischief. The consequences of such acts result in piercing the corporate veil and an owner may then be subjected to personal liability by the business creditors. The Panama Foundation is a global solution for an a ordable, anonymous, exible, private, estate planning instrument that can be used to hold various assets such as compan accounts, investment accounts, real estate, Trusts, or any other type of asset: real or tangible or intangible. Foundations were introduced rst in Western Europe over 100 years ago. Since then, these legal entities have been adopted by many o shore jurisdictions. The Panama Private Foundation under Law No. 25 was legislated into the Public Registry on June 12, 1995 and this is the presiding law for governance and regulation of all Panamanian Private Foundations. A foundation has no owners; a feature that makes it attractive as the assets held by the foundation belongs to no speci c person or persons. The assets held by Panama Foundat on a separate legal identity from the personal assets of the Founder, the Protector, the Council, or the Bene ciaries. The Panama o shore foundation bene ts from the exemption of all taxes and enhanced protection and privacy of owners guaranteed under the prescribed law. A Panama foun a tax free entity as long as the revenue or income of the foundation is earned outside of Panama. Unlike domestic corporation & foundation, with an OFFSHORE FOUNDATION or CORPORATION (https://www.panamalegalcenter.com/contact-us/), you would always maint corporate veil no matter what the case may be. Learn more about Panama Foundation HOW TO SET UP A FOUNDATION IN PANAMA? (https://www.panamalegalcenter.com/setting-up-a-foundation/)

We Set Up Panama Private Foundations ( TRUST ) For Asset Protection & Estate Planning Panama Foundation Summary- ( Legal Structure ) Panama Foundation as de ned in the Panama law in 1995, and as updated and improved over the years, is a separate and distinct entity from its owners. As a result, the Foundation not only recognized in Panama, but is accepted worldwide.

What Are Bene ts of a Panama Foundation? The Panama Foundation is a hybrid entity in between a trust and a corporation. Therefore, it may act as an o shore trust. Panama Foundations bene ts include:

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Capital Requirements of $10,000. Fast Setting Up Process No Panama Reporting Requirements or Taxes No Panama Business License Requirement Second Most Popular Jurisdiction in the World: Panama is the second most popular jurisdiction to incorporate in the world, next to Hong Kong. No Piercing the Corporate Veil: Panama would not permit “piercing the corporate veil”, and Panama Law allows Foundations to be 100% private and anonym Anonymous Ownership and Control: Panama Foundations can be appointed through a Private Protectorate Document and the Bene ciaries can be appointe through a Private Letter of Wishes, written and signed by the Private Protector. Directors: All Panama Foundations must have names and addresses of directors that are registered in the public registry. The directors of a Foundation can be individuals or entities of any nationality and resident of any country. The board members usually consist of 3 council members (President, Secretary and Treasu however If the council is an entity, then only one council member is required. Foundation Nominee: If interested in 100% con dentiality & anonymity, we can appoint individuals to be “Nominee Members” for your Panama Foundation. O Nominee Members” will provide you with o cial resignation letter so that you can replace them at any time. Another words, we can act as the Founder for you you will always have control over your foundation and its assets. Directors or Bene ciaries Meetings: No Annual meetings of directors required in Panama Foundations. Corporate Books: No records or books required in Panama Foundation. Annual Corporate Franchise Tax: Panama foundations to pay an annual corporate franchise tax of US$400. If the foundation do not pay the annual franchise incurs penalty for late payment. Foundations Entity: Panama foundations can do business, practice their acquired rights, own property, have obligations and be part of the administrative or ju process. CHAT! FREE CONSULTATION Foundation Assets: All of the assets of a foundation are legally independent of the Founder and once passed to the Foundation no longer assets belong to the founder; consequently, no court action or judgement can be applied to the foundation. GetButton (http: Foundation Existence: Panama Foundation continues to exist after death of its founder

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CORPORATE FOUNDATION? - PANAMA LEGAL CENTER Foundation Existence: Panama Foundation continues to exist after death of its founder Panama Presence: We can set up a foundation for you without you being present in Panama. ( Ask us for details ) Panama Jurisdiction: Foundations organized in Panama can be e ective in other o shore jurisdictions. Corporate Seal: No need for a Panama Foundation seal. Resident Agent: We act as your legal agent in your Panama Foundation using our physical address in Panama.

The bottom line is that you are the one who controls the foundations and its assets. You are always in control and can name anyone as bene ciary of your OFFSHORE TRUST. Th will explicitly dictate your wishes to the banks, brokerage rms and property managers what to do with your assets upon your passing. Learn more about Panama Relocation

WHAT ARE BENEFITS OF RELOCATING TO PANAMA? Panama Foundation Features: Passive activities such as shares and patents holding, collect royalties, manage trademarks, etc. O shore asset protection Estate planning & Trust

Panama Foundation Council Members Panama Foundation Council may consist of three or more persons or one legal entity.

HOW TO SET UP A FOUNDATION IN PANAMA? Name Search– We will do a search for a speci c name availability. Articles of Foundation– We will stipulate all the necessary articles of the Foundation ( ACTS ) as required and speci ed by you. Notary Public – Foundation documents notarized by Notary Public. Public Registry– We legalize and set up the foundation by registering in the Panama Public Register and pay the rst year Franchise Tax. Power Of Attorney– We prepare a General Power of the foundation. Private Documents – That speci es that the bene ciary ( natural or legal person ) of the foundation. Certi cate of Foundation– We retrieve the Foundation certi cate from Public Registry. Share Certi cates– We issue share certi cates in the name of owners of the Foundation. Learn more about doing business in Panama HOW TO DO BUSINESS IN PANAMA? ULTIMATE GUIDE (https://www.panamalegalcenter.com/how-to-do-business-in-panama/)

Set Up An O shore Foundation In Panama & Bene t From Its Tax Exemption & Asset Protection Here’s Panama law about “ Private Foundations ” PANAMA LAW No. 25 June 12, 1995 THE LEGISLATIVE ASSEMBLY DECREES: Article 1. One or more natural or juridical persons by themselves or through third parties, may create a private foundation in accordance with the provisions set forth in this law. purposes, the endowment of a patrimony exclusively dedicated to the objectives or purposes expressly stipulated in the foundation charter is required. The initial patrimony increased by the creator of the foundation, hereinafter called the founder, or by any other person. Article 2. Private foundations shall be governed by the foundation charter and its regulations, as well as by the provisions of this law and other legal or regulatory provisions that may be ap The provisions of Title II of Book I of the Civil Code shall not apply to these foundations. Article 3. Private foundations shall not be for pro t. However, they may carry out mercantile activities in a non-habitual manner or exercise the rights deriving from titles representing the c mercantile corporations that make up the patrimony of the foundation, provided that the economic results or proceeds of such activities be dedicated exclusively for the purpos Foundation. Article 4. Private foundations may be constituted to become e ective at the time of constitution or after the death of its founder, by anyone of the following methods: a) Through a private document, executed by the founder, whose signature must be authenticated by a notary public at the place of constitution. b) Directly before a notary public at the place of constitution. Whichever may be the method of constitution, it must comply with the formalities established in the present Law, for the creation of foundations. In case of a foundation being created either by public or private document, to have e ect after the death of the founder, the formalities stipulated for the execution of testame

not apply.

Article 5.

The foundation charter shall contain:

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1. The name of the foundation, expressed in any language with characters of the Latin alphabet, which shall not be equal or similar to that of a foundation previously existin

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Republic of Panama, 80 as to avoid confusion. The name must include the word “foundation” to distinguish it from other natural or juridical persons of a di erent nature. CHAT! FREE

CONSULTATION 2. The initial patrimony of the foundation, expressed in any currency of legal tender that in no case shall be less to a sum equivalent ten thousand Balboas (B/10,000.00) =U.S. Dol 3. A complete and clear designation, of the member or members of the Foundation Council, to which the founder may belong, including their addresses.

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4. The domicile of the foundation. 5. The name and address of the Resident Agent of the foundation in the Republic of Panama, which shall be an attorney or a law rm, who must countersign the foundation char to its registration at the Public Registry. 6. The purposes of the foundation. 7. The manner in which the bene ciaries of the foundation shall be designated, among which the founder may be included. 8. The reservation of the right to amend the foundation charter whenever deemed convenient; 9. The duration of the foundation. 10. The destination to be given to the assets of the foundation and the method of liquidation of its patrimony in case of dissolution; 11. Any other lawful clause that the founder may deem convenient. Article 6. The foundation charter, as well as any amendment thereto must be written in any language with characters of the Latin alphabet, and must comply with the regulations registration of acts and titles in the Public Registry; for which purpose it must be previously protocolized by a notary public of the Republic (of Panama). If the foundation char amendments are not written in the Spanish language, they must be protocolized together with their (Spanish) translation by an authorized public translator of the Republic of Pan Article 7. Any amendment to the foundation charter, when permitted, shall be carried out and executed in accordance with what is established therein. The respective agreement, resoluti of amendment shall contain the date on which it was carried out and the name, clearly identi able, of the person or persons subscribing it and their signatures which authenticated by a notary public of the place where the document is executed. Article 8. Every private foundation must pay a registration fee and an annual maintenance tax equivalent to those established for corporations in Articles 318 and 318A of the Fiscal C procedure and method of payment, the surcharge for late payment, the consequences for lack of payment and all other complementary provisions of the aforementioned legal p shall be applied to private foundations. Article 9. The registration at the Public Registry of the foundation charter shall bestow upon the foundation juridical personality without the need for any other legal or admin authorization. Besides, the registration at the Public Registry constitutes a means of publicity before third parties. Consequently, the foundation may acquire and own assets of any kind, incur obligations and be a party to any type of administrative and judicial proceedings in accorda applicable legal provisions. Article 10. Once the foundation has obtained its juridical personality, the founder or third parties that have pledged to contribute assets to the foundation, on their own or at the reque person with interest in the foundation, shall formalize the transfer to the foundation of the assets so pledged. When the foundation is constituted to be e ective upon the demi founder, it shall be deemed to have existed prior to such death, in respect to the donations that he (she) may have made to the foundation. Article 11. For all legal purposes, the assets of the foundation shall constitute a separate patrimony from the personal assets of the founder. Therefore they cannot be sequestered, emba subject to any precautionary action or measure, except for obligations incurred, or for damages caused by virtue of ful lling the purposes and objectives of the foundation, on the legitimate rights of its bene ciaries. In no case shall the assets respond for personal obligations of the founder or of the bene ciaries. Article 12. Foundations shall be irrevocable, except in the following cases: a) When the foundation charter has not been registered at the Public Registry; b) When the opposite is expressly established in the foundation charter. c) For any of the causes of revocation of donations. The transfers (of assets) made to foundations shall be irrevocable by whoever has made the transfer, unless the opposite is expressly established in the act of transfer. Article 13. In addition to the provisions of the previous article, when the foundation has been created to be e ective after the demise of the founder, the latter shall have the exclusive and u right to revoke it. The heirs of the founder shall not have the right to revoke the creation or the transfers, even if the foundation has not been registered in the Public Registry prior to the demi founder. Article 14. The existence of legal provisions in inheritance matters in the domicile of the founder or of its bene ciaries, shall not be opposable to the foundation, nor shall it a ect its va prevent the ful lment of its objectives as provided for in the foundation charter or its regulations . Article 15. The creditors of the founder or of a third party shall have the right to dispute the contributions or transfer of assets in favour of a foundation, when the transfer constitutes an act to the creditors. The rights and actions of such creditors shall prescribe three (3) years from the date of the contribution or transfer of the assets to the foundation. Article 16.

The patrimony of the foundation may originate from any lawful business and may consist of present or future assets of any nature. Periodic sums of money or other assets may

incorporated to the patrimony by the founder or by third parties. The transfer of assets to the patrimony of the foundation may be e ected by public or private document. Neve

in the case of real estate, the transfer must conform with the rules for the transfer of real estate.

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Article 17. number of members of the Foundation Council hall not be less than three (3).

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CHAT! FREE The foundation should have a Foundation Council, whose duties or responsibilities shall be established in the foundation charter or in its regulations. Unless it be a juridical pe GetButton (http:

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Article 18. The Foundation Council shall be in charge of carrying out the purposes or objectives of the Foundation. Unless otherwise stated in the foundation charter or its regulati Foundation Council shall have the following general obligations and duties: 1. To administer the assets of the foundation, in accordance with the foundation charter or its regulations. 2. Enter into acts, contracts or lawful businesses that may be suitable or necessary to ful l the object of the foundation, and to include in such contracts, agreements a instruments or obligations, such clauses and conditions as are necessary and convenient, which conform to the purposes of the foundation and are not contrary to the law, to m bonus mores or to public order. 3. To inform the bene ciaries of the foundation of the patrimonial situation of the latter, as established in the foundation charter or its regulations. 4. To deliver to the bene ciaries of the foundation the assets or resources set up in their favour by the foundation charter or its regulations. 5. To carry out all such acts or contracts which are permitted to the foundation by the present Law and other applicable legal or regulatory provisions. Article 19. The foundation charter or its regulations may provide that the members of the Foundation Council may only exercise their powers by obtaining previous authorization of a pro committee or any other supervisory body, appointed by the founder or by the majority of the founders. The members of the Foundation Council shall not held liable for the deterioration of the assets of the foundation, nor for any damages or prejudice caused, when said authorization has been duly obtained. Article 20. Unless otherwise provided for in the foundation charter or its regulations, the Foundation Council must render an accounting of its activities to the bene ciaries and, when appl the supervisory body. If the foundation charter or its regulations stipulate nothing in this regards, the rendering of accounts must be done annually. If the accounts 90 rendered objected within the term established in the foundation charter or its regulations, in lack of it, it shall be deemed as having been approved within ninety (90) days from the da received, for which purpose, record of this term shall be made in the report rendering the accounts. Such period having lapsed or the account approved, the members of the Foundation Council shall be exempted from liability for their administration, unless they had failed to act diligence of a bonus paterfamilias. Such approval does not exonerate them before the bene ciaries or third parties having an interest in the foundation, for damages caused due negligence or fraud in the administration of the foundation. Article 21. In the foundation charter the founder may reserve for himself/herself or for other persons, the right to remove the members of the foundation Council, as well as to appoint or members. Article 22. When the foundation charter or its regulations do not establish anything in respect to the right to and the causes for removal of the members of the Foundation Council, these judicially removed, through summary proceedings, for the following causes: 1. When their interests are incompatible with the interests of the bene ciaries or the founder. 2. If the administration of the assets of the foundation lacked the diligence of a bonus paterfamilias. 3. If they are convicted for a crime against private property or public faith. In this case, while the criminal proceedings are in progress, the temporary suspension of the membe may be decreed. 4. For incapacity or impossibility to carry out the objectives of the foundation, from the time such causes may arise. 5. For insolvency or bankruptcy proceedings. Article 23. The founder and bene ciary or bene ciaries may request the judicial removal of the members of the Foundation Council. Should the bene ciaries be disabled or under age they represented by whoever exercise upon them the â&#x20AC;&#x153;patria potestasâ&#x20AC;? or guardianship, as the case may be. The judgement of the court decreeing the removal, shall appoint new members in replacement of the previous ones, who shall be persons with su cient capacity, competence a moral standing to administer the assets of the foundation, in accordance with the purposes established by the founder. Article 24. The foundation charter or its regulations may provide for the constitution of supervisory bodies, that may be constituted by natural or juridical persons, such as auditors, protecto foundation or others. The duties of the supervisory bodies shall be established in the foundation charter or its regulations and may include, among others, the following: 1. To ensure the ful lment of the purposes of the foundation by the Foundation Council and (to protect) the rights and interests of the bene ciaries; 2. To demand from the Foundation Council, the rendering of accounts; 3. To modify the purposes and objectives of the foundation, if and when they become too costly or impossible to ful l. 4. To appoint new members of the Foundation Council due to temporary or permanent absence or for expiration of the period of anyone of them. 5. To appoint new members of the Foundation Council in cases of temporary or accidental absence of anyone of them. 6. To increase the number of members of the Foundation Council. 7. To approve the acts adopted by the Foundation Council, as indicated in the foundation charter or its regulations. 8. To guard the assets of the foundation and observe their application to the uses or purposes stated in the foundation charter. 9. To exclude bene ciaries of the foundation and to add others in accordance with the provisions of the foundation charter or its regulations. Article 25. The foundation shall be dissolved due to:

1. Reaching the day in which the foundation must terminate, in accordance with the foundation charter.

2. The ful lment of the purposes for which it was constituted or if their ful lment becomes impossible.

3. Being in a state of insolvency, cessation of payments or due to bankruptcy proceedings having been declared judicially.

6. Any other cause established in the foundation charter or in the present Law.

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5. Its revocation.

4. The loss or total extinction of the assets of the foundation.

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Article 26. Every bene ciary of the foundation may contest any acts of the foundation that may damage the rights conferred upon him/her, denouncing such circumstance to the protec other supervisory bodies, if any; or lacking them, directly promoting the respective judicial claim, before a competent court of the domicile of the foundation. Article 27. The acts of constitution, amendment or extinction of the foundation, as well as the acts of transfer, transmittal or encumbrance of the assets of the foundation and the income from such assets or any other act in connection therewith, shall be exempt from all taxes, contributions, duties, liens or assessments of any kind or denomination, provided t assets are: 1. Assets located abroad. 2. Money deposited by natural or juridical persons whose income is not derived from Panamanian sources nor taxable in Panama for any reason whatsoever. 3. Shares or securities of any kind, issued by corporations which income is not derived from Panamanian sources or when such income is not taxable for any reason whatsoev when such shares or securities be deposited in the Republic of Panama. The acts of transfer of real estate, titles, certi cates of deposit, securities, money or shares, carried out in ful lment of the purposes or objectives, or for the extinction of the fou in favour of relatives within the rst grade of consanguinity and of the spouse of the founder, shall also be exempted from all taxes. Article 28. Foundations constituted in accordance with a foreign law may become subject to the provisions of this law. Article 29. Foundations referred to in the previous article that opt to become subject to the provisions of this Law, shall present a Certi cate of Continuation, issued by such bodies as their regime may call for, and which shall contain: 1. The name of the foundation and the date of its constitution. 2. Data about its registration or deposit (of the charter) at its country of origin. 3. An express declaration of its desire to continue its legal existence as a Panamanian foundation. 4. Requirements stipulated under Article 5 of this Law, for the constitution of private foundations. Article 30. The certi cation containing the resolution of continuation and other requirements mentioned in the preceding paragraph must have the following documents attached there to: 1. Copy of the original act of constitution of the foundation expressing its desire to continue in Panama, along with any subsequent amendment; 2. A power of attorney granted to a Panamanian attorney to carry out the necessary proceedings to make e ective the continuation of the foundation in Panama. The certi cate of continuation, as well as the documents attached thereto referred to in this Law, shall be duly protocolized and registered at the Public Registry so that the fou may continue its legal existence as a private foundation in the Republic of Panama. Article 31. In the cases foreseen in Article 26, the responsibilities, duties and rights of the foundation acquired prior to the change or domicile or legislation, shall continue in force, as we proceedings already initiated against it or those that the foundation may have promoted, without being a ected such rights and obligations due to the change authorized by the a legal provisions. Article 32. The foundations constituted in accordance with this Law, as well as the assets comprising its patrimony, may be transferred or become subject to the laws and jurisdiction of country, as may be provided by the foundation charter or its regulations. Article 33. Registrations related to private foundations shall be e ected at the Public Registry in a special section that shall be named “Section of Private Foundations” The Executive Branch the Ministry of Government and Justice shall issue the regulations applicable to such section. Article 34. To avoid the unlawful use of private foundation, all legal provisions contained in Executive Decree No. 468 of 1994 and any other rule in force aiming at ghting money laundering from drug-tra cking, shall apply for their operation. Article 35. The members of the Foundation Council, of the supervisory bodies, if any, as well as the public or private employees who might have any knowledge of the activities, transa operations of the foundations shall at all times maintain secrecy and con dentiality in this respect. Infringement of this shall be penalized with six (6) months imprisonme $50,000.00 ne without prejudice of the corresponding civil liability. The provisions of this article shall apply without prejudice of the information which must be disclosed to the o cial authorities and of the inspections that they must carry o manner established by the law. Article 36. Any controversy for which there is no special procedure in this Law, shall be resolved through summary proceedings. The foundation charter or the regulations of the foundation may establish that any controversy arising in respect to the foundation shall be resolved by arbiters or arbitrators, a establish the procedure they should abide by. In the event that such procedure is not established, the rules in respect to such matters, as contained in the Judicial Code, shall appl Article 37.

This law shall be e ective from the date of its publication.

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PANAMA CORPORATION CONSULTATION

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FREE Panama Limited Liability Company (S.A.) – Panama S.A. helps to shield you as an owner / investor and this means, you are not personally CHAT! liable for the debts or funds of your c and your assets will be owned by a Panama corporation. Once the O shore Trust owns all your assets, no third parties and or government entities can seize your assets f O shore TRUST period

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O shore TRUST period. It is important to know that O shore Panama Companies do not require a commercial business license to operate o shore businesses. So as a foreign investor you can easily s O shore company in Panama to manage your holdings / business from anywhere in the world. Panama corporations provides full legal protection of its assets and identity due to Panama strict corporate secrecy laws—in fact, they are among the strictest privacy protectio the world. A Panama corp is perfect for international investors to protect their assets o shore.

What Is Panama Corporation Law? Panama corporation law is based on some of the most PRIVATE & ANONYMOUS corporate book secrecy laws in the world. The Panama Corporate law written into the constitutio considered one of the best OFFSHORE JURISDICTIONS to protect assets while enjoying privacy & secrecy of the owners.

What Are Bene ts Of A Panama Corporation? Panama corporation bene ts include:

Tax exemption from all business activities outside Panama No reporting requirements Annual Fee of $300. Foreigners can own a Panama Corporation Panama Corporations may issue shares in ‘bearer’ form Meetings of directors and shareholders may be held anywhere. Corporation books may be kept anywhere in the world. The accounting books of the corporation may be organized and kept anywhere on Earth The registered agent is the person required to keep corporation records.

Banking & Trading for a Panama Corp All corporate banking, stock trading & transactions done in Panama for the bene t of a Panama corporation is exempt from Panama taxes.

Documentation of Panama Incorporation Panama Corporation is set up for the bene t of its shareholders and owners. Panama Corporate Documents include:

Articles of incorporation Names and addresses of all directors and o cers of the corporation Type of business activity of corporation Notary Public authentication Registering the corporation in the Panama Public registry o ce Paying rst annual fee at Public registry

WHY PANAMA IS THE TOP OFFSHORE JURISDICTION? International Banking Banking Secrecy Laws Anonymous Corporation Registration Tax Havens Jurisdiction Low Cost Company Set Up & Maintenance U.S. Dollar Currency Strict Privacy & Con dentiality Law No Reporting Requirements No Minimum Capital Requirements Corporate Pro t / Interest Tax Exempt May Issue Shares in “Bearer Form” Meeting of Directors Can Be Anywhere Books & Accounting Can be Anywhere One Local Registered Agent Democratic Government & Security Economic Stability & Growth No Nationality Restriction Small Annual Fee Latin America Hub Panama Advanced infrastructure FOR MORE INFORMATION, SEND US AN EMAIL:

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info@panamalegalcenter.com

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