Glossary · Taxes
Property tax (impuesto de inmueble)
Definition
The property tax is Panama's annual tax on a property's registered value. A primary residence gets a preferential rate with an exemption on the first $120,000; other properties pay the general progressive table.
In practice
It's paid to the DGI in three installments (with a discount for paying the year upfront), and debts follow the finca — hence the mandatory clearance certificate when buying. For a foreign owner of an investment home, it's a net-yield cost that's often underestimated. Key detail: registering the property as a Tax Family Patrimony or Primary Residence, when applicable, activates the preferential rate. The tables current as of July 2026 are detailed in our tax guide.
Keep going
Panama property tax guide →General information, not legal or tax advice. Every transaction is confirmed with an attorney and accountant.
Term reviewed as of July 2026 · Vaca Group Real Estate, Lic. PN 5904