Panama signs agreement on tax avoidance

Panama’s government Thursday signed up to an international agreement to combat tax avoidance and evasion, seven months after the country became the focus of global attention with the publication of a trove of leaked documents showing that one of its law firms had created hundreds of thousands of shell companies and offshore accounts for rich and powerful people around the world.

The move signals a change of approach for the Central American financial center, and comes ahead of a July 2017 deadline set by the Group of 20 largest economies for compliance with international rules on sharing tax information.

Source: Wall Street Journal