The new set of rules approved by the Cuban regime not only alters who can buy and import vehicles, but also introduces significant changes for those wishing to sell a car, inherit it, donate it to a family member, or exchange it through a swap.
The new regulations appear in the Decree 163/2026, published this Tuesday in the Official Gazette, and they replace the legal framework that has been in effect since late 2024. CiberCuba already reported on the general scope of the automotive market reform; now we will review what specifically changes in the transfer of ownership between individuals.
The regulation governs transfers due to sales, inheritance, exchange, and donation, as well as 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 expressly expands the group of individuals authorized to carry out these operations.
Cuban individuals and foreigners with permanent, temporary, real estate, provisional, or humanitarian residency in Cuba, as well as certain authorized non-state Cuban entities and foreign legal persons, 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 new requirements is that the buyer must submit a sworn statement certifying that the money used has a lawful origin and detail how many vehicles they own.
In addition, the decree establishes that payments may be made in Cuban pesos, U.S. dollars, or other convertible currencies, but they cannot be made in cash. Transactions must be conducted through instruments authorized by the Central Bank of Cuba.
The rules for tax payment are also changing
All property transfers will continue to be subject to the Property and Inheritances Transfer Tax and, when applicable, the Personal Income Tax. The difference is that now the Ministry of Finance and Prices establishes new minimum reference values to calculate 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 operation 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 is completed, the new owner will have 30 days to register the transfer with the Vehicle Registry of the Ministry of the Interior corresponding to their residence. To do so, they must present the ownership documentation, the circulation license, and proof of payment of the required taxes.
What happens if the owner of the vehicle no longer lives in Cuba?
The decree also aims to address a common situation: that of vehicles whose owners emigrated without formally transferring ownership.
The regulation stipulates that the owner 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 to go to court will remain available.
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, marketing in foreign exchange, the assembly of vehicles by authorized entities, and the promotion of electric mobility.
With these measures, the regime aims to reorganize the automotive market and establish new controls over transactions between individuals, incorporating stricter documentation, banking, and tax requirements for each transfer of ownership.
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