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- - - - Paragraph 3. The taxable events indicated in article 1057-V and in Paragraph 1 thereof, are affected by this tax when they are carried out in Panamanian territory, regardless of the place where the contract was signed and the domicile, residence or nationality of those who have participated in the operations, except as provided in paragraphs 7 and 8.
- - - - PARAGRAPH 8.
        Are exempt from this tax: a. Transfers from:
        
        Agricultural products in their natural state. Goods that have suffered alterations that modify their form or natural state that are obtained as a consequence of processes or treatments are not considered such, except when these are necessary for the conservation in the referred state.
        
        Export and re-export of goods,
        
        Goods within the free zones and those that are in customs facilities, as well as in deposit warehouses and whose ownership is transferred by endorsement of documents.
        
        Carbonated drinks.
        
        Paragraph 9.
        This tax will be settled and paid monthly or quarterly depending on whether the taxpayer is classified according to the categories detailed below for these purposes:
        Class 1. Taxpayers whose average monthly gross income is greater than B/.5,000.00 and greater than B/.1,500.00, will settle and pay this tax monthly;
        Class 2. Taxpayers whose average monthly gross income is less than five thousand balboas (B/.5,000.00) and greater than three thousand balboas (B/.3,000.00), will pay this tax quarterly.
        
        Paragraph 9-A. People who work in professions or trades on their own account or independently who are dedicated exclusively to the provision of professional services, will settle and pay this tax quarterly.
        Paragraph 10. For the purposes of the liquidation and payment of this tax, the taxpayer will present within fifteen (15) days following the end of each one of the periods in which it is classified, a sworn liquidation declaration of its taxed operations. with this tax. For these purposes, the forms will be provided by the General Directorate of Revenue, but the lack of these does not exempt the taxpayer from submitting his tax return.
        Paragraph 11. The taxpayer incurs in delinquency who, within the legal term granted in paragraphs 9, 9-A and 10 of this article, does not present the declaration-settlement and pay the corresponding tax. The delinquency in question will cause the interest provided by article 1072-A of the Tax Code, from the moment in which the tax caused should have been paid.
        
        Paragraph 12. In the declarations - sworn settlements, the taxpayer will determine the tax by difference between the debit and the tax credit.
        Paragraph 13. The deductions to which the taxpayer is entitled, may only be made when the tax paid has been charged by means of an invoice or equivalent document which must necessarily state:
        a. Your name or company name and the verification digit assigned by the General Directorate of Revenue.
        b. The name or business name and the Unique Taxpayer Registry number (RUC) of the natural or legal person transferring or providing services.
        c. The tax caused, which will be recorded separately from the tax base.
        
        Paragraph 14. In the cases that in a certain period the taxpayer after carrying out the liquidation finds himself with a credit in his favor, he will impute the same to the subsequent fiscal periods.
        Paragraph 15. The General Directorate of Revenue, as the administrative office of this tax, is empowered to:
        a. Enable state institutions to function as collection offices.
        b. Require taxpayers to use special books or records that facilitate auditing.
        c. Require taxpayers to enable and register their invoices in the dependencies of the General Directorate of Revenue, as well as any other document or form used in the development of their activities.
        Paragraph 16. The General Directorate of Revenue will issue Cancellation Power Certificates at the request of taxpayers who, by virtue of carrying out activities considered to be export, re-export or assimilated to these by this Law, when when liquidating the tax they determine a fiscal credit surplus from the ITBMS paid on imports and from that included in the documentation of internal acquisitions.
        
        Paragraph 17. In those cases in which the consideration has not been made effective totally or partially due to termination of the contract, return of merchandise or bonuses and discounts of general use in the trade, the taxpayer will be entitled to the deduction of the proportional tax charged in the invoice, provided that the aforementioned situations occur within a period not exceeding ninety (90) days from the invoice date and are reliably documented, in the opinion of the Administration.
        Paragraph 18. The right of the General Directorate of Revenue to collect this tax prescribes after five (5) years counted from the first day of the following month in which the tax should have been paid. The statute of limitations is interrupted by any written action by the competent official aimed at collecting the tax.
        Paragraph 19. The General Directorate of Revenue, at the request of a party and prior inspection, will grant Certificates of Tax Regularity, through which the taxpayer will certify that all his declarations-settlements of this tax were made in accordance with the reflection of his taxed operations.