Electronic Invoicing in Panama: Implementation, Regulations, and Requirements

Electronic invoicing in Panama is now a requirement for most taxpayers. The General Directorate of Revenue (DGI) continues to expand its mandatory scope to new sectors, strengthening the system’s nationwide coverage. The Panama Electronic Invoicing System (SFEP) has become an essential tool for modernizing tax management and reinforcing fiscal control across the country.

Current regulations and key dates for issuing electronic invoices in Panama

The General Directorate of Revenue (DGI) has established a clear regulatory framework governing the use of electronic invoicing through the Panama Electronic Invoicing System (SFEP). Law 256 of 2021 and Executive Decree 766 of 2020 lay the foundation for its implementation and determine that taxpayers can fulfill their tax obligations using electronic documents validated by an Authorized Qualified Provider (PAC).

Since 2023, all new Unique Taxpayer Registrations (RUC) have been required to issue electronic invoices. In October of the same year, this obligation was extended to government suppliers. Later, in 2024, it was expanded to include self-employed professionals and service providers, such as lawyers, accountants, or architects. Furthermore, starting in January 2026, those who issue more than 100 invoices per month or generate annual income exceeding B/. 36,000 will be required to use the services of an authorized PAC provider. For these businesses, free invoicing tool offered by the DGI will no longer be available.

How Electronic Invoicing Works in Panama According to the DGI Model

Electronic invoicing in Panama is an electronic tax document with the same legal validity as a paper invoice. To be evidentiary and accepted by the General Directorate of Revenue (DGI), it must comply with the technical and regulatory requirements established by the authority. Issuance follows a clearance (pre-validation) model, meaning the invoice must be authorized before it is delivered to the customer. The general flow is:

• Generation of the document in XML format from an authorized system.
• Qualified electronic signature by the issuer, using a digital certificate approved by the National Directorate of Electronic Signatures.
• Submission to an Authorized Qualified Provider (PAC), which checks that the invoice meets the technical standard requirements.
• Authorization for use by the PAC.
• Assignment of the Unique Code for Electronic Invoicing (CUFE), which enables verification before the DGI.
• Generation of the Auxiliary Electronic Invoice Receipt (CAFÉ), a human-readable representation that can be printed and delivered to the customer.

If errors or later adjustments are needed, the system allows the issuance of electronic credit or debit notes. In addition, if technical issues prevent immediate validation, the invoice can be issued in contingency mode and sent to the PAC once the issue is resolved to complete its validation.

Panama Electronic Invoicing System (SFEP): What it is and how it’s used

The SFEP is the official platform managed by the General Directorate of Revenue (DGI) that regulates and coordinates the use of electronic invoicing in Panama. It allows taxpayers to issue, validate, and record their electronic tax documents in compliance with current regulations. There are two modalities to issue electronic invoices within the SFEP:

• Free Invoicing Tool: a DGI-provided tool for small taxpayers with annual revenue below B/. 1,000,000.
• Authorized Qualified Provider (PAC): designed for companies that require accounting integrations or exceed the volume permitted by the Free Invoicing Tool. The PAC acts as an intermediary, validating and authorizing each electronic tax document issued.

The SFEP allows up to 1,000 line items per invoice and includes a technical specification sheet that defines the mandatory formats and specifications for generating and validating electronic documents.

Who Must Issue Electronic Invoices in Panama?

The following groups of taxpayers are currently required to use the Panama Electronic Invoicing System (SFEP):

• New RUCs: since January 1, 2022.
• Government suppliers, including the Panama Canal Authority (ACP).
• Large taxpayers and verified businesses identified by the DGI.
• Independent professionals and service providers (such as lawyers, accountants, or architects).
• Companies located in special economic zones: Colón Free Zone, City of Knowledge, Panama Pacifico, among others.
• Financial and insurance institutions.
• Legal entities with annual income exceeding B/. 36,000 or issuing more than 100 invoices per month (mandatory use of a PAC starting January 2026).

Requirements for Issuing Electronic Invoices in Panama

To correctly implement electronic invoicing in Panama, taxpayers must comply with the following requirements:

• Be registered with the DGI with an updated RUC.
• Hold a qualified electronic signature certificate issued by a provider certified by the National Directorate of Electronic Signatures of the Public Registry.
• Register in the SFEP as an authorized user.
• Issue documents according to the current technical specification sheet, respecting XML structure, mandatory fields, validations, and established formats.
• Contract a PAC service if required due to invoicing volume or integration needs.
• Notify the DGI about the replacement of fiscal equipment, if applicable.

All documents must obtain authorization for use before being delivered to the recipient. Without this validation, the e-invoices have no fiscal validity.

Recent Changes in Electronic Invoicing Regulations in Panama

Some of the most recent resolutions and updates include:

• Resolution No. 201-6299 (2025): establishes that as of January 1, 2026, all taxpayers exceeding a certain revenue or document volume must issue their electronic invoices exclusively through a PAC.
• Resolution No. 201-0384 (2024): requires political parties, candidates, and government suppliers to record their income and expenses exclusively through the SFEP.
• Operational updates to the SFEP (2024): scheduled maintenance tasks that may temporarily affect document consultation through QR or CUFE.

EDICOM, DGI-Authorized PAC for Electronic Invoicing in Panama

EDICOM was authorized by the DGI as an Authorized Qualified Provider (PAC) under Resolution No. 201-7569, dated November 14, 2022. This authorization allows EDICOM to provide a comprehensive solution for the issuance, validation, and archiving of electronic tax documents in Panama.

The EDICOM platform, operating under a SaaS model, guarantees:

• Automated issuance and reception of electronic invoices integrated with your ERP.
• Qualified electronic signature and validation of each document according to the official technical specification.
• Contingency management and issuance of correction notes.
• Full compliance with SFEP technical and legal requirements.
• Legal archiving of documents ensuring integrity and traceability.
• 24/7 multilingual support and direct connectivity with the DGI.

How to Comply with Electronic Invoicing in Panama?

EDICOM is an international leader in e-invoicing and tax compliance solutions and has been authorized as an Authorized Qualified Provider (PAC) by Panama’s General Directorate of Revenue (DGI). Our global platform enables companies to automate the issuance, validation, and transmission of electronic documents in full compliance with the technical and legal requirements of the Panama Electronic Invoicing System (SFEP).

Thanks to its advanced technology, the EDICOM platform enables direct integration with ERP systems, optimizing administrative processes through workflow automation, reducing manual errors, and ensuring the legal validity of every issued document. It also provides a secure electronic archiving service, guaranteeing the preservation and retrieval of documents for the period required under Panamanian regulations.

As a global e-invoicing specialist, EDICOM offers a scalable and flexible solution that adapts to complex environments and complies with the tax regulations of multiple countries. This allows companies to operate safely and efficiently in Panama and abroad, ensuring the traceability and compliance of all their fiscal operations.