Have you ever noticed a price on a product or service, only to find that the final amount charged is higher due to taxes or additional fees? This practice, common in Panama for many years, creates confusion and undermines consumer confidence among both locals and visitors. It also complicates household budget planning and can negatively impact the country’s reputation as a commercial and tourist destination.

With the enactment of Law 473 of June 19, 2025, amending Law 45 of 2007 on consumer protection, this scenario is set to change. The new regulation introduces the principle of price transparency, requiring all establishments and sales channels to display the total cash price, including all legally established taxes and official fees.

Key Features

• Price display: published prices must include all national taxes and fees.
• Credit sales: only financing costs may be added.
• Additional charges: permitted solely when not inherent to the main product or service (e.g., shipping or installation).
• Special sales: promotions, discounts, or clearance sales must be announced based on the total price, replacing the previously used term “real price.”

Challenges for Businesses

Although this may initially appear to be a simple change in presentation, the regulation entails significant operational adjustments. Companies will need to review and adapt their processes to avoid legal risks. Key challenges include:

• Reviewing pricing strategies across all sales channels (physical and digital).
• Adapting billing systems, point-of-sale software, and accounting platforms to ensure the final price is consistently displayed.
• Defining valid additional charges and incorporating them transparently into pricing policies.
• Clear communication with clients and internal teams to minimize disputes or misunderstandings.

Companies that fail to adapt in a timely manner may face:

• Claims of misleading advertising.
• Sanctions imposed by the Consumer Protection and Competition Authority (ACODECO).
• Reputational damage among both national and international consumers.

Recommended Actions

1. Audit pricing and display processes across all sales channels.
2. Update technological systems to ensure billing consistency.
3. Review sales terms and conditions to align with the new law.
4. Train sales and customer service staff to communicate the new requirements effectively.
5. Monitor forthcoming regulations from the Executive Branch to anticipate specific changes.

How We Can Support Your Business

At FABREGA MOLINO, we understand that the implementation of this law is not merely a legal adjustment, but also a business and operational challenge. Our team supports companies in:

• Assessing the law’s impact on their commercial and financial processes.
• Providing legal and regulatory guidance to adapt contracts, policies, and sales terms.
• Designing communication and consumer care protocols in compliance with the new framework.
• Preventing and mitigating risks related to potential sanctions and consumer claims.

The Law will come into effect one year after its promulgation, allowing a reasonable timeframe for preparation. Acting in advance will be essential: businesses that implement these changes strategically will not only avoid sanctions but will also be able to transform price transparency into a competitive advantage to attract and retain customers.