Approval of the law on fiscal transparency will establish a mechanism to be followed in order for tax information to be exchanged with the United States.

From a statement issued by the National Assembly of Panama:

Draft Law No.363, in which an agreement between Panama and the United States is approved for improving international tax compliance and to enforce the foreign accounts tax compliance act (FATCA) and its links, given in the city of Panama on April 27, 2016, was approved on its third reading by the plenary of the National Assembly.

In the view of deputy Manuel Cohen, approval of the agreement between the governments of Panama and the United States will improve international tax compliance and enforce the foreign accounts tax compliance act which is part of the commitment undertaken by the Panamanian government in order to get off the gray list of the Organisation for Economic Co-operation and Development (OECD).