PA Value added tax

Invoicing in Panama

A business registered in Panama charges VAT at a standard rate of ⁨7%⁩, invoices in ⁨PAB⁩, and issues documents under names and numbering rules that are specific to Panama. DocsOrigin carries all of that as registry data, so choosing Panama once configures the tax, the document set, the numbering and the layout together.

Invoicing in Panama is free forever with DocsOrigin: every document type, every export, no card and no trial.

Tax in Panama

VAT 7%
Reduced and zero rates 10% 15% 0%

How reliable is this figure

Graded high: this rate has been checked against a tax-authority or official source. It is still your responsibility to confirm it before you rely on it.

Whatever the grade, your own setting always wins — a rate you enter overrides the registry everywhere, including on documents already dated in the past.

Document types recognised in Panama

These are the documents DocsOrigin will offer a business registered in Panama, under the names used there. A type that has no meaning locally is not offered at all.

Ofertă

O ofertă cu preț. Nu e document fiscal și nu se înregistrează în cărțile tale până nu e acceptată.

Factură proformă

O cerere de plată. Nu îndreptățește clientul să deducă taxa.

Factură fiscală

Documentul fiscal însuși. Blocat după emitere.

Factură-chitanță

Factură și plată într-un singur document, pentru când ești plătit pe loc.

Chitanță

Confirmă banii primiți contra unei facturi.

Notă de credit

Singura cale legală pentru a anula sau reduce un document deja emis.

Aviz de livrare

Bunuri predate fără taxă.

Tax identifier

On a document issued in Panama the identifier is labelled VAT number. It is printed in the header of every tax document, isolated left-to-right so it reads correctly in any interface language.

No structural check is applied for Panama: the format is accepted as entered, because a wrong rule that rejects a valid number is worse than no rule.

Numbering

Documents in Panama are expected to run in an unbroken sequence. DocsOrigin allocates the number at the moment of issue — never earlier — so a draft that is abandoned does not burn a number and leave a gap you have to explain.

Prefix, padding and yearly reset are configurable per document type, and the series is kept separately for each type.

How Panama writes dates and money

Set the country and these stop being settings you have to think about. The examples below are rendered by the same formatter the documents use.

Date
09/21/2026
Amount
B/.12,345.67
Currency
PAB
Minor units
2

⁨PAB⁩ is written with ⁨2⁩ decimal places, and every amount is stored as a whole number of minor units. ⛔ Money never touches floating point.

A worked example in Panama

Three lines, priced identically everywhere, run through the real tax engine with the Panama registry entry applied. This is what the document looks like there.

Ofertă Factură proformă Factură fiscală Factură-chitanță Chitanță Notă de credit
Northwind Studio
VAT number 000000000 · Panama
Factură fiscală
Nr. 2026-0042
Facturat pentru Riverbank Coffee
Descriere Cantitate Preț unitar Total
Lucrări de design 12 B/.45.00 B/.540.00
Ghid de identitate vizuală 1 B/.380.00 B/.380.00
Suport continuu 3 B/.60.00 B/.180.00
Total net B/.1,100.00
VAT 7% B/.77.00
Total B/.1,177.00

Invoicing in Panama — questions

What tax rate do I charge in Panama?

The standard VAT rate recorded for Panama is ⁨7%⁩. Reduced rates may apply to particular supplies, and your own setting always overrides ours.

Which document do I issue to a customer in Panama?

The document set recognised in Panama is listed above, under the names used locally. For a paid sale the usual document is Factură fiscală, and a mistake on an issued document is corrected with a credit note rather than an edit.

Does DocsOrigin cost anything in Panama?

No. DocsOrigin is free forever for businesses in Panama as everywhere else: no subscription, no card, no trial, no per-document fee and no export fee. Optional professional services are the only thing that is ever charged for, and they are quoted per project.

What if the rate for Panama is wrong or changes?

Set your own rate in the business settings and it overrides the registry immediately, for new documents and for any date. Rates are applied by document date, so an old document keeps the rate that applied when it was issued.

Issue your first Panama document

Choose Panama once. The tax, the document names, the numbering, the date order and the currency format are configured together, and it costs nothing.

Free forever for businesses Creează prima ta factură

This page describes what DocsOrigin does with the registry entry for Panama. It is not tax advice, and it is not a statement of Panama law. Confirm your obligations with your accountant or the tax authority. Registry data as of ⁨2026-08⁩.