Panama released provisions to regulate the use of electronic invoices back in 2018, through Resolution 201-5784 of the General Directorate of Revenue (DGI). An e-invoicing regulatory framework followed in Executive Decree No. 115 of 2020, and this has been further updated by Resolution 201-0251, released in January 2022.  This new resolution “updates the duties of the users of the Electronic Invoicing System of Panama (SFEP) and the deadlines for non-active users within the pilot plan”. Let’s take a look at what these further resolutions cover.

The Resolution establishes deadlines for taxpayers, whether natural or legal persons, who want to opt to use the SFEP Free Biller. These persons must have annual gross income below PAB/. 1,000,000 and less than 200 monthly documents. (As the Panamanian balboa directly equates to the US dollar, the converted amount is US$1,000,000.)

It also details modifications for those taxpayers who wish to use the SFEP through an SFEP adoption affidavit form and lists the information that must be provided on it. Being an affidavit, this form constitutes a sworn statement before the DGI, with the gravity of an oath. Individuals or legal entities will have a maximum of 15 calendar days from the date of submitting this Affidavit of Adoption to start billing using the SFEP.

Taxpayers identifying as Qualified Authorised Providers (Proveedores Autorizado Calificados – PAC) have been permitted longer periods before SFEP billing must begin:

  • Natural persons have up to 60 calendar days
  • For legal persons:
    • With income less than or equal to PAB./1,000,000 have up to 60 calendar days
    • With income from PAB/.1,000,000 to 2,500,000 have up to 90 calendar days
    • With income above PAB/. 2,500,000 have up to 120 calendar days

Calendar days are counted from the date the Affidavit is submitted.

This resolution will come into force from 1 February 2022.

If you’d like more information on this Resolution or any other aspect of the SFEP system, our experts in Panama are ready to help you.

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Manrique Blen
Director HUB Costa Rica

Local Knowledge – International Coverage

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