Panama digital nomad visa: the short-stay visa for remote workers
Nine months, renewable once, for people paid from outside Panama. What it requires and where it stops.
Panama’s digital nomad visa is officially the short-stay visa for remote workers (visa de corta estancia como trabajador remoto). It was created in 2021 for people who live in Panama for a while and keep working for an employer or clients elsewhere.
Do you need it?
US citizens can already stay in Panama as tourists for up to 180 days under current rules, and many remote workers on short stays do just that. The visa makes sense when:
- You want to stay longer than a tourist visit allows, up to 18 months.
- You want a clear legal status for working remotely, instead of relying on tourist entry.
- You want a Panamanian ID card for the period, which makes renting and other paperwork easier.
Who qualifies
- You work for a company based outside Panama, or you are self-employed with clients outside Panama.
- Your income from those foreign sources is at least $36,000 a year.
- Your work is done remotely, and you don’t work for Panamanian employers or sell to Panamanian clients.
- You have health insurance that covers you in Panama for the length of your stay.
Documents
- Passport, with copies.
- A criminal background check, apostilled. For Americans this is the FBI report.
- For employees: a letter from your employer confirming your role, your salary and that you work remotely.
- For the self-employed: proof of your business and its foreign clients, such as company registration and contracts.
- Bank statements showing the income arriving.
- A sworn statement that you won’t work in Panama’s local labour market.
- Proof of health insurance.
- A medical certificate from a doctor in Panama.
Government fees for this visa are modest, a few hundred dollars. Legal fees are separate.
How long it lasts
The visa is granted for nine months and can be renewed once for another nine, 18 months in total. It is a temporary stay, not residency:
- It doesn’t lead to permanent residency.
- The time doesn’t count toward citizenship.
- When it ends you leave, return as a tourist, or apply under a different route.
How to apply
- Collect and apostille your background check and gather the employment or business documents.
- Travel to Panama. Like other immigration applications, this one is filed in Panama through a Panamanian attorney.
- Get the medical certificate and file. Processing is usually faster than for residency, a matter of weeks.
- Collect your card.
Tax and your employer
- Panama. Panama taxes income from Panamanian sources. The visa was set up on the basis that income from foreign employers and clients is not taxed in Panama.
- The US. US citizens file a US return on worldwide income wherever they live. Time abroad may help you qualify for the foreign earned income exclusion, but it doesn’t remove the filing. See taxes for Americans in Panama.
- Your employer. Some companies restrict working from another country for payroll or security reasons. Get agreement before you apply, since you need their letter anyway.
If you want to stay longer
| Your plan | Usual route |
|---|---|
| A few weeks to six months | Tourist entry |
| Six to eighteen months, working for a foreign employer | Short-stay visa for remote workers |
| Several years, or settling in Panama | Friendly Nations visa or another residency route |
Panama City has the most reliable internet and the widest choice of rentals and co-working space. Connections in mountain and island areas are less consistent, so test before you sign a lease. See the best places to live in Panama.
Common questions
Does Panama have a digital nomad visa?
Yes. It is officially the short-stay visa for remote workers, created in 2021. It lets people who work for a foreign employer or foreign clients stay in Panama for nine months, renewable once for another nine.
How much income do you need for Panama's digital nomad visa?
At least $36,000 a year, which is $3,000 a month, earned from sources outside Panama. Ask your attorney how the figure is applied if you are bringing a family.
Do digital nomads pay tax in Panama?
Panama taxes income from Panamanian sources, and the remote worker visa was set up on the basis that income earned from foreign employers and clients is not taxed there. US citizens still file a US return on their worldwide income.
Can the remote worker visa become permanent residency?
No. It is a temporary stay of up to 18 months in total. To stay longer you would apply separately under a residency route such as the Friendly Nations visa.
This page is general information, not professional advice. Rules and amounts change, and officials apply them differently. Confirm the details with the relevant authority or a qualified professional before you act on them.