Panama to Reinstate 20 Year Property Tax Exoneration

Well, just as we find ourselves coming close to the deadline, once again it is extended and for good reason as it is an equalizer that levels the playing field for developers.  Martinelli has also suggested that the affordable housing limit be increased from $80,000 to $100,000 for preferential interest subsidization.   All good news for a booming economy that will continue to do so.

The president, Ricardo Martinelli, announced yesterday that it will extend  the 20-year tax exemption.

This benefit, which has contributed to the development of the industry, was not being applied to projects that received a building permit after June 2009.

This situation, according to industry experts, would have created an imbalance between projects with the exemption for 20 years and those who do not have.

Martinelli made the announcement last night, during the inauguration of the XXIV edition of the Building Capac Expo Habitat, an event that brought together leading entrepreneurs in this sector.

The President invited the manufacturers to meet the new Minister of Housing and Land Management, José Domingo Arias to increase the limits of preferential interest “to $ 100 000” (currently under $ 80 000).

He added that the Ministry of Finance is prepared to register any property improvements within 30 days.

For his part, President of the Panamanian Chamber of Construction, Gaston Regis, said it should ensure the social and political stability for the industry to further development, and thereby sustain the growth of the country.

The fair, which feature 400 exhibitors and Panamanian and foreign open until next Sunday. Commerce transactions are expected $ 200 million.