Cuba Personal Income Tax

Cuba Personal Income Tax

Personal income tax (Impuesto sobre los Ingresos Personales)

• 2024/2025 scale reform — For fiscal year 2024 settled in 2025, Law No. 174/2024 replaced the previous 5-band scale (10%–50%) with a more gradual 10-band progressive scale running from 5% to 50%. The scale applies to self-employed workers (TCP), artists, intellectuals, journalists, usufruct holders, landholders and other individual producers. The exact bracket boundaries below should be confirmed against the published scale. (Law No. 174/2024)
• Annual minimum exempt amount (mínimo exento) — 39,120 CUP (Annual minimum exempt amount) (Ley No. 174/2024 del Presupuesto del Estado)
• Progressive scale structure (2025) — 10 brackets, from 5% on the first taxable band up to 50% on income exceeding 1,000,000 CUP (Ley No. 174/2024 del Presupuesto del Estado (http://www.cubadebate.cu/noticias/2025/01/04/conozca-sobre-la-nueva-escala-progresiva-para-la-declaracion-jurada-del-impuesto-sobre-ingresos-personales/))
• Bracket 1 rate — 5 % (on the first 25,000 CUP of taxable income) (Ley No. 174/2024 del Presupuesto del Estado)
• Top bracket rate — 50 % (on taxable income exceeding 1,000,000 CUP) (Ley No. 174/2024 del Presupuesto del Estado)
• Intermediate bracket rates (bands 2–9) — Rates rise gradually between 5% and 50% across the eight intermediate bands; exact band boundaries to be confirmed against the published Ley 174/2024 scale % ((approx — confirm)) (Ley No. 174/2024 del Presupuesto del Estado)
• MIPYME partners — personal income tax on dividends — Progressive scale with a maximum marginal rate of 20% on dividends distributed to MIPYME partners (per DL93/2024 scale) % ((approx — confirm)) (Decreto-Ley No. 93/2024 (https://www.mep.gob.cu/en/node/1381))
• Deductible expenses — Documented expenses for carrying on the activity, taxes paid relating to the activity, rental payments to authorized state entities, and restoration/preservation contributions are deducted from gross income before the scale applies (Ley No. 113 del Sistema Tributario)
• Annual filing deadline (Declaración Jurada) — 30 April of the year following the fiscal year (Ley No. 113 del Sistema Tributario)
• Early-payment bonus — 5% bonus (reduction) for paying the annual settlement before 28 February % (Decreto-Ley No. 93/2024 (https://ivacalculator.com/cuba/impuestos-mipymes-empresas-privadas/))
• Advance payments — Self-employed and individual taxpayers make periodic (monthly/quarterly) advance payments during the year, reconciled in the annual Declaración Jurada ((approx — confirm)) (Ley No. 113 del Sistema Tributario)
• Non-resident taxation — Non-residents are taxed only on Cuban-source income; employment income earned through Cuban entities is subject to withholding ((approx — confirm)) (Ley No. 113 del Sistema Tributario)