Convention on Mutual Administrative Assistance in Tax Matters

Panama signed on October 27, 2016 its adhesion to the Convention on Mutual Administrative Assistance in Tax Matters (MAC). This instrument provides for all forms of administrative cooperation between States in the assessment and collection of taxes, that includes: exchange of information on request, spontaneous exchange, tax examinations abroad, simultaneous tax examinations, assistance in tax collection and the service of documents.  The Convention also provides for automatic exchanges of information, that will only require to be implemented an administrative agreement between the competent authorities of two or more interested Parties.  The agreement would address issues such as the procedures to be adopted and the information that will be automatically exchanged.