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Panama Tax Information

7% ITBMS

ITBMS is 7% (10% for alcohol/tobacco). No income tax on foreign income. RUC required.

AI/ML Engineer Services to Invoice

  • Model development
  • Data pipeline
  • MLOps
  • AI consulting
  • Model training
  • API integration
  • ML research

Invoice Requirements in Panama

RUC number
DGI registration
Client RUC
Invoice number
ITBMS (7%)
Total in PAB/USD

Payment Terms

Project milestones or monthly retainer. Cloud/GPU compute costs passed through separately.

Contado15 días30 díasCrédito

Payment Methods in Panama

Bank TransferBanco GeneralBanistmoCredit CardCash USD

AI/ML Engineer Invoice Tips

  • Reference model versions
  • Include compute costs separately
  • Document training hours
  • Note data processing fees
  • Track API usage

Frequently Asked Questions

What tax rate applies to ai/ml engineer invoices in Panama?

Panama has 7% ITBMS. ITBMS is 7% (10% for alcohol/tobacco). No income tax on foreign income. RUC required.

What payment methods are common for ai/ml engineers in Panama?

Common payment methods in Panama include: Bank Transfer, Banco General, Banistmo, Credit Card, Cash USD. Project milestones or monthly retainer. Cloud/GPU compute costs passed through separately.

What should ai/ml engineer invoices include in Panama?

Your invoice should include: RUC number, DGI registration, Client RUC, Invoice number. For ai/ml engineer services specifically, also include: Model development, Data pipeline, MLOps.

How should AI engineers price their work?

Project-based for model development, hourly for consulting. Compute costs billed separately.

Should compute costs be on the invoice?

Yes, list cloud/GPU costs as separate line items from service fees.

What is Panama's ITBMS rate?

Panama applies 7% ITBMS on most goods and services. Higher rates for alcohol, tobacco, hotels. Exports exempt.