Cuba Opens Car Sales to IndividualsSeptember 30, 2011 | | Print |
By Circles Robinson
HAVANA TIMES, Sept. 30 — As of this Saturday, buying a used car in Cuba is no big deal, as long as you have the money to do so. Selling a car had been previously limited to pre 1959 revolution vehicles.
The new regulations also allow Cubans living on the island as well as foreign permanent residents to own more than one vehicle.
Cars can change hands by donation, inheritance or sale between individuals. Both the seller and buyer will play a flat 4% tax (on the sale price) as part of the streamlined vehicle legalization process.
Notaries will maintain a minimum reference amount for each type and year vehicle in case the declared amount by the two parties is less.
The tax increases by 50% on each additional vehicle owned by the same person.
Allowing individuals to buy and sell vehicles has been a long-term demand by much of the population.
With the average wage in Cuba under $20 USD a month, the new measure will especially benefit Cubans who receive considerable family remittances from abroad.