The new set of regulations approved by the Cuban regime not only modifies who can purchase and import vehicles. It also introduces significant changes for those looking to sell a car, receive it through inheritance, donate it to a family member, or exchange it via a swap.
The new rules appear in the Decree 163/2026, published this Tuesday in the Official Gazette, and replace the legal framework that has been in place since the end of 2024. CiberCuba has already reported on the overall scope of the automotive market reform; now we will review what specifically changes in the property transfer between individuals.
The regulation governs transfers through sale, inheritance, exchange, and donation, in addition to establishing new notarial, tax, and registration obligations for those involved in these transactions.
Who will be able to transfer ownership of a vehicle?
The decree explicitly expands the range of individuals authorized to carry out these operations.
Natural persons who are Cuban and foreigners with permanent, temporary, real estate, provisional, or humanitarian residence in Cuba, as well as certain authorized non-state Cuban and foreign legal entities, will be able to buy, sell, donate, exchange, or inherit vehicles.
In the case of state entities, the transfer of vehicles will continue to be governed by specific regulations.
The transactions must be formalized before a public notary.
However, one of the most significant developments is that the buyer must submit a sworn statement certifying that the money used comes from a legitimate source and detailing how many vehicles they own.
Additionally, the decree establishes that payments may be made in Cuban pesos, US dollars, or other convertible currencies, but they cannot be made in cash. Transactions must be conducted using instruments authorized by the Central Bank of Cuba.
The rules for tax payments are also changing
All property transfers will continue to be subject to the Transfer Tax on Goods and Inheritances and, when applicable, the Personal Income Tax. The difference is that now the Ministry of Finance and Prices sets new minimum reference values for calculating these taxes.
For example, the minimum reference value for a car up to five years old is set at 2,040,000 pesos, while for one older than 15 years, it will be 510,000 pesos. For motorcycles and tricycles, the minimum values range between 265,000 and 66,250 pesos, depending on the age of the vehicle.
The resolution also allows that when the transaction is formalized in U.S. dollars or another convertible currency, taxes can be paid in both foreign currency and Cuban pesos, applying the official exchange rate.
There will be a 30-day period to register the change of ownership
Once the sale, donation, inheritance, or exchange has been completed, the new owner will have 30 days to register the transfer in the Vehicle Registry of the Ministry of the Interior corresponding to their residence. To do so, they must present the documentation of ownership, the license plate, and proof of payment of the required taxes.
What happens if the owner of the vehicle no longer lives in Cuba?
The decree also seeks to address a common issue: vehicles whose owners emigrated without formally transferring ownership.
The regulation states that the holder may carry out the transfer personally or through legal representation. If the owner has passed away, the process must follow the general rules of succession law, and when it is not possible to resolve it through extrajudicial means, the option of going to court will remain open.
A broader reform of the automotive market
These changes are part of the package of measures approved by the Government to reform the vehicle market in Cuba. The new Decree 163 repeals Decree 119 of 2024 and also introduces new rules for importation, commercialization in foreign currency, the assembly of vehicles by authorized entities, and the promotion of electric mobility.
With these provisions, the regime aims to reorganize the automotive market and establish new controls over transactions between individuals, incorporating greater documentary, banking, and tax requirements for each transfer of ownership.
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