Residence eligibility test in Panama for Italians
Do you want to move to Panama or have a plan B outside of Europe? With our free test, find out in a few minutes if you can obtain permanent residency thanks to the Italy-Panama Friendship Treaty and, in some cases, how much you could save on taxes.
How the test works:
- Verification of requirements. Answer questions about citizenship, the country you live in, your work situation, your criminal record, and the availability of a bank account.
- Estimate of savings, if applicable. If you pay taxes in Italy today and have a private pension or cryptocurrencies, enter a few amounts and you will see an indicative estimate of your savings.
- Next step. You will receive guidance on your case and you can immediately book a free 30-minute call, already with a summary of your answers.
What the test tells you:
- Suitability: if you meet the basic requirements for permanent residence under the Italy-Panama Treaty.
- Savings on pension (only private pensions, only for those who pay taxes in Italy): How much you pay in pension taxes today and how much you could save per year and per month. For public pensions (ex INPDAP), the calculation is not shown, because they are usually taxed in Italy.
- Savings on cryptocurrencies (only for those who pay taxes in Italy): the tax that you could avoid on capital gains (33%) and on the value of the portfolio (2 per thousand per year).
- Income from work or business: What changes depending on where you generate income (Italy, Panama, or abroad/online).
- If you live abroad: specific instructions for the United States, Canada and Latin America, where savings depend on the rules of your country.
Your privacy:
The answers you enter in the test remain on your device: the page does not save them, send them, or store them in any database.
If you choose to book a call, we receive a summary of your responses via Calendly along with your name and email. We use this information exclusively to prepare and conduct the consultation: We do not disclose them to anyone, we do not sell them and we do not use them for profiling or marketing activities. If you do not become our customer, we will delete your information within [30] days of the call.
For more details, read our Privacy Policy.
An estimate, not tax advice!
The savings calculation, available to those receiving private pensions or owning cryptocurrencies, only serves to give you a rough idea. It is calculated only for those who currently pay taxes in Italy: if you live in the United States, Canada, Latin America, or another country, the savings depend on your country’s tax rules and we calculate it together in a call.
The estimate is based on the 2026 IRPEF rates, on an average value of regional and municipal supplements, and on the Italian tax on cryptocurrencies. It does not take into account your personal situation: other income, deductions, real estate, dependents, type of pension, rules of your municipality and region.
For this reason does not constitute tax advice And it cannot replace it. The transfer to Panama also has important implications in Italy: Panama is on the list of countries with preferential taxation, so a real transfer and proper documentation are required.
To know your real and definitive savings, book a call with one of our tax advisorsWe will check your data together and tell you exactly what changes will occur in your case.
Who can obtain residency under the Italy-Panama Treaty?
The Treaty of Friendship, Commerce and Navigation between Italy and Panama (Law No. 15/1966) grants Italian citizens a simplified procedure for permanent residence. The basic requirements are a valid Italian passport, a criminal record without convictions for serious crimes, a deposit of approximately 5,000 USD in an account with a Panamanian bank and proof of an economic or professional link with Panama. The exact requirements vary depending on the profile and we verify them with you in the preliminary call.
Pension in Panama: private pension and pension from the INPDAP
Panama taxes only income generated within its territory; therefore, pensions paid from abroad are not taxed in Panama. For private INPS pensions, the Convention against Double Taxation between Italy and Panama (L. 208/2016) may allow you to receive the gross pension once you actually transfer your residence. Public pensions (ex INPDAP) remain, however, as a rule, taxed in Italy. Those with a lifetime pension of at least 1,000 USD per month can also consider the Pensionado program, with discounts on healthcare, transportation, and services.
Cryptocurrencies and residence in Panama
From 2026, Italy will tax cryptocurrency gains at 33%, without the 2,000 euro exemption, and apply an annual tax of 2% per thousand on the value held. With a real residence in Panama, foreign income is usually not taxed. However, the timing is crucial: gains realized before the actual transfer remain taxable in Italy. Panamanian banks also require documentation of the origin of funds derived from crypto: we can help you prepare the documentation.
Residence in Panama and Italian tax: black list and AIRE
Obtaining Panamanian residency is not enough to stop paying taxes in Italy. Panama is on the list of countries with preferential taxation (D.M. 4 May 1999), so anyone who moves there is presumed to be resident in Italy until proven otherwise. Registration with the AIRE is required, a real transfer of one’s center of interests, and documentation to prove it. This is the part where many people settle for “in a few days” residency and then risk an inspection: we follow it from the beginning.
Italians living in the United States, Canada or Latin America
The treaty applies to every Italian citizen with a passport, wherever they may live. However, the tax savings depend on the country where you live today. The United States, for example, taxes citizens and green card holders on worldwide income even if they live abroad, while Canada applies a tax on capital gains generated when leaving the country. From our Miami headquarters, we follow the practice in Italian, English and Spanish, with the support of our American CPA.
Frequently asked questions (FAQ)
What does the Italy-Panama Friendship Treaty allow?
The Treaty of Friendship, Commerce and Navigation between Italy and Panama (Law No. 15/1966) allows Italian citizens to obtain permanent residence in Panama through a simplified procedure, demonstrating an economic or professional link with the country.
Do Italian pensioners pay taxes on their pensions in Panama?
Panama applies a territorial tax that exempts income from foreign sources, including pensions. For private pensions, the Convention against Double Taxation between Italy and Panama may allow you to receive the gross pension; public pensions (formerly INPDAP) are usually taxed in Italy.
Does my residence in Panama automatically stop me from paying taxes in Italy?
No. Panama is on the list of countries with preferential taxation for Italy, so anyone who moves there is presumed to be resident in Italy until proven otherwise. An actual transfer, registration with the AIRE, and appropriate documentation are required.
Does the test also calculate the savings on cryptocurrencies?
Yes, for those who pay taxes in Italy today. From 2026, Italy taxes capital gains in cryptocurrencies at 33% without a tax exemption, plus an annual tax of 2% of the value held. With an effective residence in Panama, foreign income is generally not taxed, but capital gains realized before the transfer remain taxable in Italy.
Does the treaty also apply to Italians living in the United States or in Latin America?
Yes. The requirement is Italian citizenship with a valid passport, regardless of the country in which you live. Link2America follows the procedure from its Miami headquarters in Italian, English and Spanish.
Does the calculation of savings apply even if I live outside Italy?
No. The estimate is calculated only for those who pay taxes in Italy today. For those living in the United States, Canada, Latin America, or other countries, savings depend on the tax rules of the country of residence, such as the U.S. citizenship tax, and must be calculated on a case-by-case basis.
How long does it take to obtain Panamanian residency?
The time depends on the type of procedure (bilateral treaty, Pensionado visa, investment) and the completeness of the documents. A first free call allows you to estimate the time and costs for the individual case.