Panama Vessel Registry - Yacht Registry - Ship Registry - Panama Flag

If you are a yacht owner, merchant shipping company or boat owner, you may consider a vessel registration in Panama. The Republic of Panama is home of the famous Panama Canal, Free Zone, Banking district and much more! However, this Central American paradise offers a great number of advantages and benefits to maritime companies.

Panama Flag Vessel Registry Advantages

The Republic of Panama is one of the best countries in the world for vessel registry since vessel owners have the advantage of Tax Breaks that Panamanian laws offer to vessel owners, yacht owners and boat owners. Furthermore, Panama´s taxation is only territorial and does not tax the income of vessels involved on international trade. There is no discrimination on citizenship, nationality or residence for anyone willing to register a vessel under the Panamanian Flag. Besides from the mentioned registration advantages, Panama offers a dual registry system yachts, boat or vessels.

The dual vessel registry system was established in the Republic of Panama by means of Law No. 1 of 1973 and later changed by Law No. 3 in that same year. These laws state that a foreign yacht, vessel or boat chartered by a period of two years is eligible for a registration in Panama. This can be held without loosing its previous registration for that same period and also vise versa, meaning that can be done under a Panamanian registered vessel to other countries. It´s important to mention that a Certificate of Consent from the country where the vessel was originally registered is a requirement. This means that Dual Registry is no longer reciprocal and the register of its home country must allow it.

The Panama dual vessel registry system offers a great advantage for ship owners, merchant shipping companies, yacht owners, boat owners who have no registration under the open registry. The Dual Registry System might be the solution to European Shipping Companies who experience high operational costs related to the use of flags from European countries against those under open registries.

Another advantage on vessel registration is that there are no minimum tonnage requirements for vessel registration. Registering a yacht, vessel or boat in Panama is inexpensive and convenient for yacht, vessel or ship owners who have registered their vessel under a Panamanian Corporation.

Registering a vessel under a Panamanian flag is a one-time fee! If your vessel is registered under a Panamanian Corporation, you are eligible for a discount! In case you dont have a Panamanian corporation please click here.

Payments are as follows; you pay for your bill of sale's registration at around $0.20 per registered ton then an additional 20% surtax. There are annual taxes on your tonnage. In general, registering a vessel in the Republic of Panama and under its flag will be the least expensive overall in comparison to anywhere else in the world. Just focusing on the tax savings you will tell that in the long term is way cheaper.

Once a vessel is registered under a Panamanian corporation you will have the option of an anonymous ownership. A Panamanian corporation and foundation of personal interest are essentially for asset protection, privacy and confidentiality. Furthermore, a Panamanian corporation can change ownership in a blink of an eye and will not pay taxes over the sale. It is basically the sale, trespass of shares, corporate name and its assets.

There are a few requirements needed for the process of ship, yacht and boat or vessel registration under the Panama Flag.