Expatriation Canada - tax comparison
🇨🇦

Canada

VS
Expatriation Panama - tax comparison
🇵🇦

Panama

Canada vs Panama

Complete comparison for your tax relocation

Data up to date as of January 15, 2025
Top income tax bracket
33%
🇨🇦 Canada
vs
25%
🇵🇦 Panama
Monthly cost (single)
1 500 €
🇨🇦 Canada
vs
900 €
🇵🇦 Panama
Safety
9/10
🇨🇦 Canada
vs
6/10
🇵🇦 Panama

Taxation

🇨🇦Canada
🇵🇦Panama
Top income tax bracket33%25%
Corporate tax15%25%
Capital gains26.7%10%
VAT5%7%
Tax treaty with FranceYesNo
Special regimeNoneTaxation territoriale
Wealth taxNoNo
Territorial taxationNoYes
🇵🇦

Taxation territoriale

Duration: Illimitée (systeme fiscal national permanent)

Le Panama applique un systeme de taxation purement territoriale : seuls les revenus de source panaméenne sont imposés. Les revenus générés à l'étranger sont totalement exonérés, y compris les dividendes, intérets et plus-values d'origine étrangere.

Cost of living

🇨🇦Canada
🇵🇦Panama
Monthly cost (single)1 500 €900 €
Monthly cost (couple)2 400 €1 400 €
City center rent1 400 €700 €
Outside city rent900 €400 €
Private health insurance0 €70 €
Public healthcareAccessibleAccessible

Estimated total monthly budget (single, with city center rent)

🇨🇦 Canada2 900 €/mo
🇵🇦 Panama1 600 €/mo

Panama is approximately 1 300 € cheaper per month in total.

Quality of life

🇨🇦Canada
🇵🇦Panama
Average temperature5°C27°C
Safety9/106/10
Health index91/10062/100
Internet200 Mbps60 Mbps
Timezone vs Paris-6h-6h
French-speaking communityLargeVery small
LanguagesFrançais, AnglaisEspagnol, Anglais
CurrencyDollar canadien (CAD)Balboa / Dollar US (PAB/USD)
Corruption index76/10036/100
Democracy index8.88/107.05/10

Settling in

🇨🇦Canada
🇵🇦Panama
Residence permit delay8 months2 months
Company creation5 days6 days
Bank accountEasyEasy
Political stability9/106/10
Ease of business23th worldwide86th worldwide

Summary

🇨🇦

Canada

  • Top IT: 33% | Corp. tax: 15%
  • Cost of living: 1 500 €/mo
  • Safety: 9/10 | Health: 91/100
View full profile Canada
🇵🇦

Panama

  • Top IT: 25% | Corp. tax: 25%
  • Cost of living: 900 €/mo
  • Safety: 6/10 | Health: 62/100
  • Regime: Taxation territoriale (Illimitée (systeme fiscal national permanent))
View full profile Panama

Comparative analysis: Canada vs Panama

Which country has lower taxes?

Both countries are fairly close on taxation. Income tax reaches 33% in Canada and 25% in Panama. Corporate tax is 15% and 25% respectively. Capital gains are taxed at 10% in Panama versus 26.7% in Canada.

Which country is cheaper to live in?

The cost of living is lower in Panama. A single person spends about 900 EUR/month excluding rent, compared to 1 500 EUR/month in Canada. City center rent averages 700 EUR versus 1 400 EUR.

Which country is safer?

Canada scores higher on safety (9/10 versus 6/10). In terms of healthcare, Canada leads with an index of 91/100 compared to 62/100 for Panama.

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Disclaimer

The tax information presented is based on estimates from public sources (PwC, OECD, government sources). It does not constitute tax or legal advice. Tax rules change regularly and your personal situation may significantly affect the calculation. Consult a qualified professional before making any relocation decision.