Getting Around Malibu
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Getting in
Citizens of many countries, US citizens included, may enter Panama without a visa, but are required to purchase a tourist card on arrival (cost US$5, allows a 30-day stay). The cost is $13 (US) for a visa stamp to enter at Bocas del Toro, when arriving by airplane, as of May 2008. Entry requirements are proof of
* a return ticket out of Panama
* possession of US$500 in cash or travelers' checks
* vaccination for yellow fever--only if coming from a country where yellow fever occurs (includes most of Latin America but not USA).
In practice, border officials may be lax about checking clean-cut travelers coming from the USA or other developed countries.
Getting Around
There are two kinds of buses in Panama. The ones you find on the highway, and "city buses". The highway buses are constantly making journeys from terminals in Panama city to different destinations along the Pan American Highway, and back to the terminal. They're pretty frequent, and the buses will pick you up or drop you off at any point along their route, and most of them are air conditioned. The roughly linear shape of the country makes it ideal for a bus system, so ideal in fact that you don't really need to rent a car to get around most areas. Take a bus to the intersection on the Pan American highway that you want. You can get on a bus any place on the Pan American highway going towards Panama City, but all trips originating from within the city require a ticket. The Grand Terminal in the city is large and modern, and will remind you of an American shopping mall or airport (it actually is a shopping mall, Albrook Mall, too).
If you want to get on a bus, stand by the side of the road, hold you out your arm and make obvious pointing motions toward the ground. If you're on the bus and want to get off, yell "parada!" or tell the driver in advance. You'll get the hang of it pretty quick. The locals are very helpful with tourists on buses, and may offer help.
The highway buses are very cheap, count on a fare of about US$1 per hour traveled, sometimes less. One exception is fares from Tocumen airport, which both buses and taxis charge through the roof for (by Panamanian standards), simply because they can.
City buses are different. They are crowded, decoratively painted school buses, often unairconditioned, with a flat rate of 25 cents to any location in Panama City. They can be fun, but have a reputation for being dangerous, both in driving and the likelihood of encountering criminals. They can be fun to take a couple of times, but once you've done it, best to take a taxi, which won't be that much more expensive anyways. They definitely have a particular style apart from other Central American countries. They look as if a bunch of 60's hippies decided to drive as far south as they could go in school buses, and when they could go no further, they stopped and started a bus company. If you like Salsa Music, you'll be happy as a clam on these buses. Most locals aren't.
Taxis
If your destination actually happens to lie far off the bus route, or if you just want to be lazy, taxis are also a decent way to get around in Panama. They're not expensive at all, usually US$1.50 per ride within most of the city; and unlike the urban taxis you may be used to, they can take you way out into the country. A taxi ride from Tocumen airport to Panama City, at a minimum of US$20, can easily exceed your taxi fares for the rest of your trip combined. If you share a taxi ride with other passengers going from the airport to the city, your fare per person can be cheaper, at around US$12. You can save quite a bit of money by taking the bus to the Gran Terminal, but even the bus fares will be higher than normal.
By Car
You can rent a car and drive it around the country if you are an excellent defensive driver. Panama City is more difficult to navigate than any big city in the United States, with terrible traffic jams at rush hours, few signs for names of streets, poor street design, and a lack of traffic lights at busy intersections. You must be aggressive about positioning your car to get anywhere, yet highly alert to erratic and irrational behavior by others. Drivers have little respect for or even knowledge of traffic laws, and drivers from North America or Western Europe will be stunned by their recklessness. The Pan American Highway is paved for the entire length of the country, and has many roads which branch off to towns off the highway, most of which are paved, and most of the rest are still easily navigable in a sedan. However, road engineering standards are low, so be on the lookout for off camber turns, deep potholes, and sharp turns with no warning.
It is important to note that if you are in a traffic accident in Panama, you are required by law to remain with your vehicle until a policeman arrives. In typical Panamanian logic, you are also not allowed to move it to the side of the road, but must stop right where the incident occurred, even if this is the middle of a busy street.
How to Register a Vessel in Panama
Panama's Ship Registry is number-one worldwide in popularity due to the ease of use and very low registration taxes and fees as compared to other countries throughout the world. Marine vessel registration in Panama is widely used by international shipping companies due to the numerous advantages.
At the time of registration all vessels must pay a one-time enrollment fee, based on a variable scale, plus a government fee. Registration of the bill of sale is $0.20 per net registered ton or fraction thereof, plus 20% surtax. Annual tax is $0.10 per net ton, plus other charges.
Liberal labor laws concerning Panama flag vessels are also an important consideration, and income earned on international shipping activities are specifically and expressly exempted from Panama income taxes.
Yacht Registration
It is possible to register recreational yachts in Panama. This has a different pricing structure than the ship registration described above. The registration certificate is issued for a two-year period, which is renewable after this period.
Applicable Registration Tariff:
• $1,500.00 - if owned by a foreigner
• $1,000.00 - if owned by a Panamanian (or a Panamanian corporation which is a nominal expense to arrange)
This tariff must also be paid upon renewal of the Registration.
Documents required for Registration:
1. Sale & Purchase Agreement, Bill of Sale - or if the yacht is newly built, then a Builder's Certificate
2. Power of Attorney
3. Deletion Certificate from previous registry (or Builder's Certificate if brand new)
Please note: you must also comply with the Radio Operator requirements, in order to register the yacht in Panama. If the yacht is more than 20 years old, then it will also be required to undergo a survey and safety
inspection.
Anonymous Yacht Ownership – What is done is the yacht is purchased in the name of the Panama bearer share corporation. The ownership of such a corporation is anonymous in that no ownership records are in any database or registry. Thus if the yacht is owned by the corporation which is anonymous, the yacht ownership is anonymous. The nominee directors and your law firm (us) can handle the transaction for you completing all paperwork. We can wrap additional layers around the boat by having the Panama Bearer Share Corporation owned by a Panama Private Interest Foundation which is also anonymous, yet controllable by you. There are a number of different strategies we can employ to keep the ownership of your vessel anonymous and confidential as a tool to protect you from kidnapping, extortion, criminals and to keep your affairs private in general. Panama excels in privacy. Unfortunately financing with conventional lenders does not work with anonymous ownership strategies. If you were wondering when it comes time to sell the boat you basically just sell the corporation which owns the boat leaving the boat ownership in tact. There is no requirement to report new owners of Panama corporations.
Two Yacht-Based Panama Residency Visa Approaches
Because your yacht is owned by a Panama anonymous bearer share corporation and your investment is over $150,000, immediate residency is granted. You must have 3 full time Panamanian employees along with your company, which is easy to do with the standard minimal wage at $253 a month for crew members. This would be under the so called inversionista (business investor) program. However, if you invested $200,000 or more you could qualify under the solvencia economia propia program (person of means visa) and not even have the requirement of hiring at least three Panamanian crewman, since it can be easily argued that you are buying a home, albeit a moveable one. This latter probably would require investing in a full time moorage at a Panama port which would become your home away from home.
Full residency with a cedula is granted after one full year of holding the provisional residency card and after 5 years full citizenship is granted! (Click here for more details in our Panama residency section on these two visa classifications).
About Panama