Panama introduces criminal liability for tax evasion

On January 31^st, 2019, the President of Panama signed the Law on Criminal Responsibility for Tax Evasion. The law enters into force after 30 days from the date of its official publication.

So far, tax evasion in Panama was considered an administrative offense, in connection with which the jurisdiction was entered into the "black" lists of highly developed states.

The new law provides for criminal penalties in the form of imprisonment from 2 to 4 years for deliberate evasion of tax obligations, if they exceed 300 thousand Balboas in total (1 Panamanian balboa = 1 US $).

The law also provides for the imposition of fines several times higher than the amount of tax debt. However, the National Assembly of Panama left the opportunity to avoid punishment if you pay all taxes before the court of first instance pronounces it.

On materials of the following website: https://www.gacetaoficial.gob.pa/pdfTemp/28705_A/71331.pdf