globaltaxnews.ey.comSign up for tax alert emailsPrintDownload

25 March 2020

Panamanian Government establishes additional sanitary measures to mitigate spread of COVID-19

Based on the increase COVID-19 cases among Panamanians, the Panamanian Government has issued Executive Decree 499 of 2020 and Executive Decree 500 of 2020, establishing additional measures to curb the spread of COVID-19.

Executive Decree 499 of 2020

Under Executive Decree 499 of 2020, the provinces of Panama, West Panama and Colón are declared as epidemic zones subject to sanitary control, which means individuals may not leave those zones. To control the entry and exit of individuals in those zones, the following sanitary control checkpoints have been established:

  1. Panama Province: In the National Police checkpoint in Chepo district
  2. Western Panama Province: In the La Espiga sector of the La Chorrera district and in the El Lago area of the Capira district
  3. Colón Province: In the Interoceanic Bridge and in Maria Chiquita

Individuals who must go in and out of the epidemic areas due to the nature of their work are exempt from the sanitary control measures (i.e., may leave the epidemic areas). Those individuals must carry the following documents:

  1. Personal identification document
  2. Work identification card
  3. Institutional safe-conducts (i.e., documents identifying the worker and place of employment)
  4. Water bill, electricity bill or document that shows their address

Executive Decree 500 of 2020

Executive Decree 500 of 2020 temporarily closes certain commercial establishments and companies. The following establishments may remain open:

  1. Supply chain: establishments that trade and sell goods, pharmacies, safety equipment companies, veterinary and agricultural supply companies, construction material suppliers, printers, laundries, packaging manufacturers, maintenance companies, medical supply companies
  2. The Panama Canal, airports, and establishments dedicated to maritime, land, air transportation and others
  3. Establishments dedicated to security (private security)
  4. Certified lawyers authorized to defend people arrested during the curfew
  5. Restaurants with delivery and take out options
  6. Distribution companies, fuel supply
  7. Establishments dedicated to banking, insurance, etc.
  8. Companies that provide public services
  9. Concrete and derivatives companies
  10. Establishments that are part of the agricultural industry
  11. Medical and hospital equipment suppliers

Companies that are not on the list will be subject to sanctions if they do not temporarily close.

For additional information with respect to this Alert, please contact the following:

Ernst & Young Limited Corp., Panama City
Ernst & Young LLP (United States), Latin American Business Center, New York
Ernst & Young LLP (United Kingdom), Latin American Business Center, London
Ernst & Young Tax Co., Latin American Business Center, Japan & Asia Pacific

ATTACHMENT

Document ID: 2020-5459

 
 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 2025, Ernst & Young LLP.

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

Any U.S. tax advice contained herein was not intended or written to be used, and cannot be used, by the recipient for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or applicable state or local tax law provisions.

 

"EY" refers to the global organisation, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.

 

Privacy  |  Cookies  |  BCR  |  Legal  |  Global Code of Conduct Opt out of all email from EY Global Limited.

 


Cookie Settings

This site uses cookies to provide you with a personalized browsing experience and allows us to understand more about you. More information on the cookies we use can be found here. By clicking 'Yes, I accept' you agree and consent to our use of cookies. More information on what these cookies are and how we use them, including how you can manage them, is outlined in our Privacy Notice. Please note that your decision to decline the use of cookies is limited to this site only, and not in relation to other EY sites or ey.com. Please refer to the privacy notice/policy on these sites for more information.


Yes, I accept         Find out more