Relocation for Canadians
Canada is on Panama’s Friendly Nations list, which makes residency easier for Canadians than for most. We take care of the Panamanian side of the move: residency, property, banking, schools. The Canadian side is yours to settle before you go, and the checklist further down covers what to ask your accountant.
Residency
Which one fits depends on whether you plan to work, retire or invest.
The usual route if you’re still working. You get a two-year provisional residency first, then permanent residency.
For retirees with a lifetime pension. CPP counts, and so does a workplace pension. Pensionados get discounts set by law, like 50% off entertainment and 25% off restaurants and airfare.
Gives permanent residency directly, with no provisional stage. The rules were rewritten in September 2026.
Amounts are those set by Executive Decrees 16 and 17 of 2026. Requirements and government fees do change, so we check the current rules against your file before you commit to anything.
Why Panama
Panama only taxes income earned in Panama. A Canadian pension, foreign investments, or remote work for clients abroad aren’t taxed here. Canada may still tax some of that income, which the checklist below gets into.
Panama has used the US dollar since 1904. Groceries, property and bank accounts are all in USD.
Panama City’s main private hospitals normally see patients in English. Hospital Punta Pacífica, for one, is affiliated with Johns Hopkins Medicine International. Public hospitals may not offer English. Your provincial plan stops covering you once you settle abroad, so you’ll need private insurance, which our insurance team can arrange.
Immigration, real estate, school enrollment and the practical setup are handled by the same team, so nothing gets lost between advisers.
On the ground
These are the same relocation services we offer every client, from the day you land until you’re settled.
Before you leave Canada
Leaving Canada has tax consequences of its own. These are the points Canadians most often have to plan for. They’re Canadian matters, so take them to a Canadian tax professional, preferably before you sell the house or book the flight.
The CRA decides whether you’ve left by looking at your ties to Canada: a home, a spouse or dependants, social and economic ties. Form NR73 gets you the CRA’s opinion, but filing it is optional.
When you emigrate, most of what you own is treated as if you sold it at fair market value. Canadian real estate and registered plans (RRSPs, RRIFs, TFSAs) are exceptions. The forms are T1243 and T1161, and T1244 lets you defer payment.
Provincial plans generally stop once you no longer live in the province. Ontario, for example, requires you to be there 153 days in any 12-month period. Tell your plan you’re leaving, and have private coverage in place before you go.
CPP is paid wherever you live. OAS keeps coming abroad only if you lived in Canada for at least 20 years after turning 18. Non-resident tax is withheld from both, and if you get OAS while living abroad you file an OAS Return of Income every year.
You can keep them. RRSP and RRIF withdrawals have 25% non-resident tax withheld, which a section 217 election may reduce. A TFSA stops earning new room, and contributing while you’re a non-resident costs a 1% penalty per month.
Canada and Panama don’t have an income tax treaty. There is a tax information exchange agreement, in force since 2013, but it doesn’t lower withholding. So Canada’s default 25% non-resident rate applies to your pensions and registered-plan payments.
Advice Panama is a Panamanian firm. This checklist is general information about Canadian rules, checked in September 2026. It isn’t Canadian tax or legal advice, and your situation may change how the rules apply, so confirm each point with a Canadian tax professional.
Next step
Vera, our AI assistant, takes the first call. She notes what your matter is about, then a professional at the firm follows up.
