On August 14, 2025, in Panama City, the Government of the Republic of Panama and the Government of the Republic of Ecuador signed an agreement for the exchange of information for tax purposes. This instrument will allow Panama to be removed from the Ecuadorian list of tax havens, in which it had been included since 2008.

The agreement establishes a cooperation framework for the exchange of relevant information in the determination, collection and investigation of taxes, guaranteeing the confidentiality of the data at all times.

The mechanism contemplates automatic exchange modalities, upon request or spontaneously, as well as the possibility of conducting tax inspections abroad.

The benefits include access to banking, corporate and accounting information, which will help prevent tax evasion, identify undeclared income and simulated operations, as well as protect the tax system against unfair tax competition practices.

With this step, Panama and Ecuador reinforce their commitment to international cooperation in the fight against money laundering, corruption and other financial crimes, aligning themselves with international standards.

This information has been updated in the CIAT Data Tax Treaty Database

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