| Rule | Details |
|---|---|
| Regulatory Status | Restricted — rules apply |
| Permit / License Required | Yes — ATP license; only hotels/authorized operators for sub-45-day stays |
| Tax Rate | ITBMS applies; hotel-style taxes for licensed operators |
| Minimum Stay | 45-day minimum unless ATP-licensed (origin of the 2012 rule) |
| Penalties | Fines $5,000–$50,000; possible closure orders |
| Primary Residence Required | No |
Short-term rentals in Panama City, Panamá are allowed but subject to significant restrictions under local regulations as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: Yes — ATP license; only hotels/authorized operators for sub-45-day stays.
Short-term rental operators in Panama City should be aware of these tax obligations: ITBMS applies; hotel-style taxes for licensed operators. Yes — ATP registry, business registration, tax declaration.
Key operational rules for vacation rental hosts in Panama City include: Primary residence requirement: No. Minimum stay: 45-day minimum unless ATP-licensed (origin of the 2012 rule).
Zoning considerations for short-term rentals in Panama City: MIVIOT zoning certificate required; PH (horizontal property) regime limits unit STRs.
Hosts who fail to comply with Panama City's short-term rental regulations may face enforcement action. Fines $5,000–$50,000; possible closure orders.
Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Panama City: No formal regime; enforcement system overwhelmed.
Apply for your STR permit or registration directly through the official government portal.
Official Source ↗Airbnb and short-term rentals are legal in Panama City but subject to restrictions. Hosts must comply with local permit requirements and zoning rules. Strictest market; Law 284/2022 PH regime distinguishes PH-owned rentals from private-unit listings; Casco Viejo tourism zone exempt
Yes. Panama City requires the following for short-term rental operation: Yes — ATP license; only hotels/authorized operators for sub-45-day stays.
Short-term rental hosts in Panama City are subject to the following tax obligations: ITBMS applies; hotel-style taxes for licensed operators.
Hosts who operate without proper permits in Panama City may face enforcement. Fines $5,000–$50,000; possible closure orders.
Casco Viejo special tourism zone is a notable exception where STRs are permitted
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