Panama: Required filing of monthly sales and services report

Rules for filing the “sales and services report” or Form No. 1027

Rules for filing the “sales and services report” or Form No. 1027

Resolution No. 201-10011 (20 October 2021) implements the rules for filing the “sales and services report” or Form No. 1027.

  • Who must file? These rules require taxpayers with gross income above U.S. $1 million, or that hold more than U.S. $3 million in assets, to file a monthly report of sales and services provided.
  • What must be reported? The report of the sales and services requires the reporting of transactions with value added tax (VAT or ITBMS) taxpayers, transactions with the government, and transactions intended for export.
  • When is the first report due? The deadline for the first sales and services report is 1 February 2022. That report must include all transactions conducted during January 2022. The report is to be filed electronically. of the month following the reporting period and must be submitted to through the E-Tax 2.0 system.
  • Can the report be revised, once filed? If there is an error in the report, it can be amended by the taxpayer. The report also can be amended at the request of the tax authority (DGI) in instances when inconsistencies are detected. There is no penalty for amending the report. However, a penalty can be imposed for a failure to comply with the requirements for filing the report.

Read a November 2021 report [PDF 456 KB] prepared by the KPMG member firm in Panama

 

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