For tax-deduction purposes, Panama is now part of the tax-defined and tax-favored North American area.
That’s good. Tax law no longer applies that difficult foreign-travel reasonable test to conventions, seminars, and similar meetings held in Panama.
Example. Your study group decides to hold a tax-deductible business meeting in Panama. No special IRS rules apply as to the business reason for the meeting, such as those that would apply to a meeting in Paris as discussed in the article titled “Deduct That Convention ... Log in to view full article.