National Social Economics Board
What's the Cultural Development Certificate (CFC)?
The Cultural Fomento Certificado (CFC) is an instrument of fiscal incentive to invest in cultural activities and the Panamanian heritage, issued by the Ministry of Culture after approval of the application by resolution, with which the natural or legal person for whom it was issued gets a credit of thirty-five percent (35%) on the amount invested, with which they can pay the Income Tax (RSI) and the Money Transfer and Service Delivery Tax (FITBMS).
Legal framework
- Act No. 90 of 15 August 2019, Establishment of the Ministry of Culture, published in Official Digital Gazette No. 28840-A of 16 August 2019.
- Act No. 175 of 3 November 2020, General of Culture, Section XVI "Incentives regime," published in Official Digital Gazette No. 29151- A of 11 November 2020.
- Executive Decree No. 14 of 29 September 2023 "regulating Section XVI, Incentives Regime of Act No. 175 of 3 November 2020, General of Culture published in Official Digital Gazette No. 29880-A of October 2, 2023.
- Resolution MC-DS-OAL-Rn.144-24 of 17 July 2024, "That creates the Cultural Fomento Certificado as an instrument for investing cultural activities and the cultural heritage of Panama, with which, the natural or legal person for whom it was issued, will get a credit, by means of that attestation, about a percentage of the amount invested with which it will be able to pay national taxes, fees and special contributions.
- Resolution MC-DS-OAL-Rn.145- 24 of 17 July 2024 "To create an EVALUADOR COMMITTEE ON CULTURAL PROJECTS TO ACCEDIATE THE CERTIFICATION OF CULTURAL FUNCTION" to be referred to as an EVALUADOR COMMITTEE. "
- A public register statement dated 1 March 2025 stating that as from that date, a certificate of a legal person will have been used for a single procedure.
- Resolution MC-DS-OAL-Rn.088-25 of April 23, 2025. "To approve the nomination of public servants that make up the EVALUADOR COMMITTEE ON CULTURAL PROJECTS, established by Resolution MC-DS-OALn.145- 24 of July 17, 2024.
- Resolution MC-DS-OAL-Rn.259-2025 of 8 September 2025. "To approve the Manual of Procedures for the Obtaining of the Cultural Fomento Certificate," published in Official Digital Gazette No. 30142-B of 25 November 2025.
How do I apply?
- Enter and complete the appropriate online form or put it down manually to the website of the Ministry of Culture.
- Fill out the requested information, according to the attached Instruction.
- To attach all requested documentation, as required by his or her status (natural person or legal person).
- To surrender an attached request and documentation to the National Social Economics Board.
Impact:
- Tax credit: Thirty-five% of what's been invested and that's generating an incentive.
- Validity period: Eight years after issue.
- Conditions: Nominative, non-transferable, No interest.
Apply to:
- Type of person: Natural or legal.
- Type of investment: Cultural and / or Panamanian cultural heritage activities.
- Investment period: A fiscal period and more than a fiscal period (Protocol.Section 13 to 19 of Executive Decree No. 14).
Do not apply to:
Upon payment of:
Fees and contributions caused in fiscal periods prior to their issue, with the exception of those caused during the period that generated the CFC.
- Additional minimum taxes.
- Dividades.
- Fuel and petroleum production taxes.
- Tributes with the restraint system.
If you have any prior incentives from the state.
For the determination of net pensionable income (Section 25 of Executive Decree No. 14):
- The amounts recognised as costs, expenses and depreciation cannot be deducted from the Cultural Development attestation.
NOTE: Retiring net income in Panama is the amount that results from deducting exempt income, foreign source income and costs and cats deductible from gross income or general gain.
"That income should To be recognised in the year that it is generated "
Section applying
Below are some examples, as a reference, of cultural and creative projects that can be applied to the Cultural Development Certificate (CFC).
Click "Know more" under each section for more details.
Application for a Cultural Development Certificate
OBJECTIVE: To facilitate information about the basic steps to be followed and documentation to be attached, with an application for approval of a Cultural Development Certificate (CFC), either through a regular request (a fiscal period) Section 1 of Executive Decree No. 14 of 2023 or a protocol (a project with a duration of more than a fiscal period) (Section 13 of Executive Decree No. 14 of 2023).
NORMAL REQUIREMENTS(A fiscal period)
Depending on his or her status as a natural or legal person, complete his or her form at his or her website and following his or her actions as outlined in his or her attached Instruction.:
Forms used by the Evaluation Commission
Parameters to be considered for Cultural Project Evaluation
Special information To opt for a project protocol
Request and Submission of Cultural Projects Protocol
National Social Economics Board
What's the Creative Economy?
The Creative Economy analyzes the relationship between culture and economy. It's the area of encounter between creativity, culture and innovation with economic activity and technology to generate sustainable development.
Mission
FTo create creativity, innovation and entrepreneurship in the cultural and creative sectors as well as to promote the international projection of Panamanian cultural expressions. The National Creative Economics Section aims at creating an enabling environment for artists, creators, entrepreneurs and industry professionals to conduct their projects and businesses effectively. It also strives to promote cultural diversity and preserve and disseminate Panama's cultural heritage.
What's important about that?
The Creative Economy not only enriches our culture but also diversifies our economy, contributes to sustainable development and creates opportunities for local entrepreneurs and creators. It's a source of formal employment and a way to export our traditions and talent to the internal world. Thanks to our partners, you can find online ties that suit every choice and budget, from economic models to high-end super-elegant models.
Creative Economics is far more than a concept. It's a reality that drives our nation's progress. We invite you to explore more about this exciting world and join us in promoting creativity and culture as engines of economic development.
Cultural and Creative Industries
At the heart of Creative Economics are creative and cultural industries. It's a broad and diverse sector where people of all ages, genres and educational levels work. We have identified 8 main sectors and 52 subsectors in Panama.
Culture and creativity as economic and sustainable development engines
In the Creative Economy, culture and creativity drive employment generation, production growth and international projection of our cultural and creative manifestations. From music that resonates throughout the world to the design that you saw our streets, creativity is at the heart of our economy.
