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A term used to describe a weapon (i.e. a tank, as per the name) that is designed but never actually built. Alternatively, a term refering something that one intended to do, but never got around to doing.
Guy 1 (who knows nothing about weapons): Dude check out the Maus!
Guy 2 (who knows a fuckton about weapons): Meh, it's just a paper panzer.

Girl: I thought you were going to fix the sink?
Guy: It's a paper panzer.
by RedShocktrooper June 17, 2011
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