The Constitution of Panama provides for a Republican form of Government. Citizens over the age of 18 years have the right and obligation to vote directly for a President and two Vice Presidents, and to vote for appointment of Legislators to the Legislative Assembly. For the purpose of the election of Legislators, the country is divided into Electoral Circuits with an average of 30,000 voters in each.
Panamanian law is based on the Spanish Civil Code, although the company law has been taken from the corporation law of Delaware in the USA.

A Panamanian Company

A Panamanian company has the following characteristics:-

Taxation
Taxation in Panama is strictly territorial, and provided the company's activities are carried out outside of Panama no tax will be levied, other than a US $150 Annual Franchise Tax which is payable to maintain the good standing of the company.

Shareholders
A company should have a minimum of one shareholder and the names of the subscribing shareholders will appear on public record. These can, however, be nominees and any subsequent transfer of shares does not involve official registration. Bearer shares are permitted.