Importation of certain items and products to Panama may be controlled or prohibited, and the customs declaration form gives details, but much trouble can be avoided by knowing in advance what you can and can't do.
Up to 200 cigarettes and three bottles of alcoholic beverages can be brought in tax free ' the usual sort of personal-use quantities. You are also allowed to bring in a small, personal-use quantity of perfumes and cosmetic products.
Importing items for resale or business purposes is another matter, so it is vital to find out whether your particular goods are restricted or not.
Prohibited products in Panama are:
Firearms and bladed weapons must be declared to the customs authorities upon arrival in the country. Firearms will be seized by custom officers until your departure.
You will have to pay a departure tax amounting to some US$ 40 when you leave Panama. It may or may not be already covered by your ticket, so check with the airline.
Useful links:
National Customs Authority of Panama
Export.gov - Panama's custom regulations