Panama created its Short Stay Remote Worker Visa in 2021 for people who work for foreign employers or clients. It allows nine months in the country, renewable once, and Panama taxes only income produced within its borders. The unusual feature is the application route: you apply from inside Panama through a licensed local lawyer.
| Visa name | Short Stay Remote Worker Visa (Executive Decree 198 of 2021) |
| Income requirement | US$36,000 a year (US$3,000 a month) from outside Panama |
| Duration | 9 months, renewable once for 9 more (18 months maximum) |
| Application fee | About US$250 |
| How to apply | From inside Panama, through a licensed Panamanian legal representative |
| Citizenship pathway | No |
Income Rules
You must show at least US$36,000 a year from sources outside Panama, such as a foreign employer or foreign clients. Figures higher than this sometimes appear online for business owners, but they are not in the decree as reported.
Documents
- A notarised power of attorney for your lawyer
- An apostilled criminal background check
- A health certificate
- Passport-style photos
- Travel or medical insurance valid in Panama
- An employment letter or company certification proving your foreign income relationship
How to Apply
- Enter Panama as a visitor. Many nationalities can enter visa-free for a limited period.
- Hire a licensed Panamanian lawyer or legal representative.
- Your lawyer files the application with the National Migration Service.
- Pay the fee, reported at about US$250, and wait for approval.
Processing times are not published in detail, so allow a buffer.
Tax
Panama is a territorial tax country: it taxes income produced within Panama. Many local firms treat income from foreign employers or clients as outside Panamanian tax. The decree itself contains no explicit tax exemption, so this is an interpretation rather than a guarantee. Work physically performed in Panama could be argued to be Panamanian-sourced, so check with a Panamanian lawyer or accountant, and remember your home country may also tax you.
Family
The sources we checked did not address dependants. Ask your lawyer how to include a spouse or children.
Common Mistakes
- Looking for a consulate application route. There is none.
- Assuming tax treatment is guaranteed by the visa.
- Missing the apostille on the criminal record.
- Trusting online figures that disagree with the decree.
Frequently Asked Questions
Can I apply from my home country? No. You apply from inside Panama through a licensed representative.
How long can I stay? Nine months, renewable once for another nine.
Do I pay Panamanian income tax? Panama taxes income produced within Panama. Confirm your position with a local professional.
These figures come from secondary sources checked in 2026 and may change. Confirm requirements with the Panamanian National Migration Service or a licensed lawyer before applying.
Related: All digital nomad visas | Colombia Digital Nomad Visa | Best banks for digital nomads