The Trust is a contract with which a Trustor transfers assets to a Trustee o Fiduciary, to administer them for the benefit of a Beneficiary.

The Fiduciary can be a natural or legal person and also a Company. The parties can be of any nationality and the Trustee can identify with the Beneficiary. The Trust may be revocable or irrevocable.

The law does not place limits on the assets of the contract, which can be present and future, nor on its purposes, with the exception of those that threaten morals or public order.

This type of contract is highly valued as an instrument of asset protection, investment or to provide a guarantee.

Advantages of the Trust:

  • The assets of the contract cannot be seized or confiscated
  • The Investment Trust allows the investor to participate in the profits obtained by trustees such as banks or investment companies.
  • The Guarantee Trust is used to access mortgage loans and is used especially in the purchase and sale of real estate.


The disclosure of information relating to the elements of the contract by trustees, representatives, employees, etc. is a criminal offence.


  • Profits obtained abroad are not taxed in Panama (territoriality principle).

They are tax-exempt:

  • Minutes of constitution, modification and extinction
  • Transfer of assets covered by the Trust
  • Interest on bank deposits.