Colegio de Contadores Publicos Autorizados de Panama

Law No. 280 of 2021 empowers the Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)), under the Ministry of Commerce and Industries, to establish and implement the quality assurance (QA) review program for the accountancy profession. In March 2025, the JTC issued Resolution No. 02-2025, which requires firms and individual Certified Public Accountants providing audit, review, compilation, and attestation services to implement systems of quality management based on International Standard on Quality Management 1 and International Standard on Quality Management 2 by June 30, 2026, with QA reviews scheduled to begin on December 31, 2026.

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP), together with the Association of Women Authorized Public Accountants, continues to operate the Alliance for Quality initiative (ALCAPA), which supports firms in implementing quality management systems aligned with international standards. ALCAPA provides a structured review process covering diagnosis, action planning, guided review, certification, and follow-up, and is open to Certified Public Accountants and firms seeking to strengthen the quality and reliability of their professional services.

CCPAP has played a leading role in developing the voluntary QA framework in Panama, including through regional collaboration, technical assistance, stakeholder engagement, and ongoing advocacy for formal recognition of the system. The JTC’s 2025 resolution now permits firms reviewed under a QA program recognized by the JTC to submit certification of that review, subject to JTC verification, which creates a clearer pathway for linking the voluntary program with the jurisdiction-level framework.

CCPAP continues to support implementation through ALCAPA, technical communication, training, and awareness-raising on quality management requirements. These activities demonstrate sustained action to support the adoption and implementation of SMO 1 requirements, particularly in a jurisdiction where the mandatory QA review system is still being operationalized.

CCPAP is encouraged to continue working with the JTC and other professional accountancy organizations to support the operational launch of mandatory QA reviews, expand firm participation in ALCAPA, and strengthen the formal link between QA review outcomes and the jurisdiction’s investigative and disciplinary framework.

Current Status: Sustain

In Panama, the Ministry of Education, universities, and the Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)) share responsibility for initial professional development requirements for professional accountants. Individuals seeking authorization as Certified Public Accountants must register with the JTC and provide evidence of a bachelor’s degree in accounting and other legal eligibility documentation. Current requirements do not include a professional competence examination, defined practical experience requirement, or continuing professional development requirement for all professional accountants.

As a voluntary professional accountancy organization, the Colegio de Contadores Públicos Autorizados de Panamá (CCPAP) does not have authority to adopt International Education Standards (IES) at the jurisdiction level. CCPAP has established continuing professional development requirements for its members and continues to support professional development through seminars, conferences, technical training, and education activities. CCPAP also promotes professional updating, ethics, and excellence through continuing education and member engagement.

CCPAP has continued to advocate for stronger professional education requirements, including practical experience, competence assessment, and closer alignment of university curricula with IES. Recent academic analysis in Panama also indicates ongoing attention to the integration of IES into university accounting programs, supporting the need for continued engagement between the profession, universities, and regulators.

CCPAP has undertaken relevant actions within the scope of its authority to promote continuing professional development and support alignment with SMO 2 requirements. However, jurisdiction-level gaps remain in initial professional development, practical experience, assessment of professional competence, and continuing professional development requirements for all professional accountants.

CCPAP is encouraged to continue working with the JTC, universities, and other professional accountancy organizations to promote a roadmap for adopting IES-aligned requirements, including practical experience, professional competence assessment, curriculum benchmarking, and continuing professional development for all Certified Public Accountants.

Current Status: Execute

The Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)) and financial sector regulators are responsible for setting auditing standards in Panama. The JTC is empowered to adopt accounting and auditing standards for the profession, while the Superintendency of Banks (SBP), Superintendency of Insurance and Reinsurance (SSRP), and Superintendency of the Securities Market establish sector-specific audit requirements. The SBP requires external auditors to comply with International Standards on Auditing (ISA) or U.S. Generally Accepted Auditing Standards, and the SSRP requires audits to follow ISA.

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP) supports the adoption and implementation of international auditing standards through its participation in the Commission of Financial Accounting Standards (Comisión de Normas de Contabilidad Financiera (NOCOFIN)), engagement with regulators, and technical activities led through its Professional Practice Commission. CCPAP monitors international developments, disseminates technical updates, and provides continuing professional development activities on audit and assurance topics. Its recent technical communications include guidance and awareness on the International Standard on Auditing for Audits of Financial Statements of Less Complex Entities, which is effective internationally from December 2025.

CCPAP continues to provide members with implementation support through seminars, technical publications, newsletters, and professional development activities, and reports ongoing engagement with universities to support the inclusion of ISA in accounting curricula. These activities demonstrate sustained action to support SMO 3 requirements and ongoing implementation of IAASB pronouncements.

CCPAP is encouraged to continue monitoring updates issued by the International Auditing and Assurance Standards Board, supporting implementation of new and revised standards, and working with regulators and universities to ensure consistent application of ISA across all relevant audits in Panama.

Current Status: Sustain

In Panama, professional accountants are subject to ethical requirements established by the Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)). The national Code of Ethics for Certified Public Accountants, approved through Decree No. 26 of 1984, remains in force. Law No. 280 of 2021 requires the JTC to update the national Code or adopt the International Code of Ethics for Professional Accountants, including International Independence Standards, issued by the International Ethics Standards Board for Accountants (IESBA). However, available sources indicate that, as of 2026, this process had not been completed and the 1984 national Code remained applicable.

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP) played an active role in the legislative reform process leading to Law No. 280 of 2021 and continues to advocate for formal adoption of the IESBA Code for all professional accountants in the jurisdiction. CCPAP supports implementation through technical guidance, seminars, conferences, continuing professional development activities, newsletters, and technical publications focused on ethics, independence, and professional conduct. In 2025, CCPAP issued technical materials explaining the principles and structure of the IESBA Code and emphasizing the public interest responsibilities of professional accountants. CCPAP also continues to promote awareness of international ethical requirements among universities, regulators, and other professional accountancy organizations operating in Panama.

Sectoral regulators have incorporated the IESBA Code by reference for certain regulated auditors. The Superintendency of Banks (SBP), through Agreement No. 3-2025, requires external auditors of regulated entities to comply with the independence requirements established in International Standards on Auditing, the IESBA Code, and the national Code of Ethics. The Superintendency of Insurance and Reinsurance (SSRP), through Agreement No. 6-2013, requires external auditors to observe the national Code and the IESBA Code. The IFAC translations database indicates that the 2024 Handbook of the International Code of Ethics for Professional Accountants is available in Spanish-Latin America translation, although no evidence was identified that the JTC has formally adopted this version for all professional accountants.

CCPAP has undertaken sustained advocacy, training, awareness-raising, and implementation support activities within the scope of its authority to promote alignment with SMO 4 requirements. However, the jurisdiction-level framework remains only partially aligned because the latest IESBA Code has not been formally adopted for all professional accountants.

CCPAP is encouraged to continue intensifying its collaboration with the JTC, regulators, universities, and other professional accountancy organizations to support formal adoption of the latest IESBA Code, expand implementation guidance and ethics-focused continuing professional development activities, and promote consistent application and enforcement of ethical and independence requirements across the profession.

Current Status: Review & Improve

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP) is not responsible for setting public sector accounting standards in Panama. This responsibility rests with the National Comptroller Office (Contraloría General de la República (CGR)), which has adopted a General Government Accounting Manual based on International Public Sector Accounting Standards (IPSAS), approved through Decree No. 288-2014-DMySC and updated through Decree No. 01-2017-DNMySC. The CGR continues to support implementation, including recent capacity-building activities on IPSAS 33.

CCPAP supports IPSAS adoption and implementation within the scope of its authority through advocacy, technical engagement, training, and dissemination of updates to members and stakeholders. CCPAP maintains a Public Sector Committee that supports training activities and monitors developments issued by the International Public Sector Accounting Standards Board (IPSASB). The institute has also supported the international standard-setting process through prior participation of a member and technical advisor on IPSASB from 2014 to 2019.

CCPAP continues to identify support for the CGR’s IPSAS implementation and training activities as a priority and promotes awareness of IPSAS developments through its professional education and technical activities.

CCPAP has demonstrated sustained actions to support SMO 5 requirements within a framework where it has no direct standard-setting authority.

CCPAP is encouraged to continue collaborating with the CGR to support implementation of IPSAS-based requirements, expand public-sector training activities, and promote continued progress toward full accrual-basis IPSAS adoption across the public sector.

Current Status: Sustain

In Panama, the Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)) is responsible for investigating and disciplining Certified Public Accountants. Law No. 280 of 2021 establishes the JTC as the superior governing body of the profession and assigns it responsibility for monitoring professional practice and enforcing compliance with the law and related regulations. The national Code of Ethics also provides for sanctions by the JTC for breaches of professional conduct.

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP), as a voluntary professional accountancy organization, maintains investigative and disciplinary procedures for its members and continues to promote stronger alignment of the jurisdiction-level system with SMO 6 requirements. CCPAP supported the legislative reform leading to Law No. 280 of 2021 and has continued to raise awareness of the JTC’s disciplinary authority, professional conduct expectations, and sanctions applicable to Certified Public Accountants.

CCPAP has also used its technical and advocacy structures to promote improvements to the jurisdiction’s investigative and disciplinary framework. However, publicly available information does not indicate that the JTC system has been fully aligned with SMO 6 requirements, including transparent categories of misconduct, linkage with quality assurance review outcomes, public reporting of disciplinary results, and formal cooperation mechanisms with professional accountancy organizations.

CCPAP has undertaken relevant actions within the scope of its authority to support SMO 6 implementation, but significant jurisdiction-level gaps remain.

CCPAP is encouraged to intensify its collaboration with the JTC and other stakeholders to develop a formal roadmap for aligning the national investigative and disciplinary system with SMO 6, including clearer public procedures, publication of outcomes where legally permissible, linkage with quality assurance review findings, and formal cooperation between the JTC and professional accountancy organizations.

Current Status: Execute

The Technical Board of Accounting (Junta Técnica de Contabilidad (JTC)) and financial sector regulators are responsible for setting corporate reporting requirements in Panama. Panama has adopted International Financial Reporting Standards (IFRS Accounting Standards) and the IFRS for Small and Medium-sized Entities Accounting Standard, with ongoing adoption of revisions and updates. Sectoral requirements are also established by the Superintendency of Banks (SBP), Superintendency of Insurance and Reinsurance, and Superintendency of the Securities Market for entities under their supervision.

The Colegio de Contadores Públicos Autorizados de Panamá (CCPAP) supports adoption and implementation through its participation in the Commission of Financial Accounting Standards (Comisión de Normas de Contabilidad Financiera (NOCOFIN)), which recommends standards to the JTC. CCPAP monitors new and revised standards issued by the International Accounting Standards Board (IASB), contributes to regional standard-setting discussions through NOCOFIN and the Latin American Accounting Standard Setters Group, and provides technical input on exposure drafts at the regional level.

CCPAP supports implementation through continuing professional development, technical updates, seminars, and dissemination of information on IFRS Accounting Standards and the IFRS for SMEs Accounting Standard. Recent activities include training and awareness on IFRS for SMEs and international sustainability disclosure developments. Panama has also begun considering sustainability reporting developments, including the Superintendency of Banks’ request for regulated financial institutions to prepare a gradual adoption plan for IFRS S1 and IFRS S2, although no jurisdiction-wide adoption requirement for IFRS Sustainability Disclosure Standards was identified.

CCPAP has demonstrated sustained actions to support SMO 7 requirements within the scope of its authority.

CCPAP is encouraged to continue supporting implementation of IFRS Accounting Standards and the IFRS for SMEs Accounting Standard, while expanding technical support and stakeholder engagement on IFRS Sustainability Disclosure Standards as regulatory expectations evolve.

Current Status: Sustain