Once in the United States, Cuban citizens become part of the U.S. tax system and must comply with the tax obligations imposed on them according to their immigration status and the manner in which they earn income.
The payment of taxes in the United States follows the steps established by law, so you should know each procedure in detail or seek advice to make a calculation and payment of taxes in accordance with the rules of the country.
Tax Return
Cuban citizens residing in the United States, regardless of their immigration status, are required to file an annual tax return, including those Cubans classified as nonresident aliens who are in U.S. territory for more than 31 days in the same tax year or 183 days in a three-year period.
Taxable income
The U.S. tax system is characterized by the fact that all income is subject to taxation, so the self-employed must also comply with their tax obligations.
In addition to federal taxes, tax liabilities may include
Note: In addition to federal taxes, you may be required to pay state and local taxes depending on your state of residence. Note 1: if a Cuban citizen is a tax resident of the United States, he/she is required to report income earned abroad.
(ITIN) Individual Taxpayer Identification Number (TIN)
Cuban citizens must apply for an ITIN in order to file their tax returns; with this identification, they will be able to comply with their tax obligations and be included in the taxpayer registry. To obtain this number, you must complete Form W-7.
Tax obligations in Cuba
At this point, it is of utmost importance to understand that living outside of Cuba does not in all cases imply a disconnection from the Cuban tax system. Those who have emigrated or are otherwise outside of Cuba, but still have business or interests in Cuba, must pay their taxes as taxpayers, just like any other citizen in the same position.
In order to keep this process in order, Cuba has a Taxpayers’ Registry, in which every Cuban citizen who carries out an economic activity in the country must register. Inclusion in the registry implies an explicit commitment to comply with the corresponding tax obligations.
Personal Income Tax
Cuban law requires all Cuban citizens to pay taxes on their income, regardless of its source, if they reside in Cuba for more than 180 days per year. Therefore, Cuban citizens residing abroad who meet this requirement must file an annual declaration of their personal income and pay the corresponding contribution.
Avoid double taxation
Cuba does not have a policy to protect Cuban citizens from double taxation, so in many cases Cuban citizens may be forced to pay a high amount of taxes both outside and inside the country. Because of this situation, it is always recommended to seek tax advice for a better understanding of the process and greater benefits for the taxpayer.
Continuous compliance with tax obligations in both countries is the only guarantee of avoiding serious legal consequences for tax evasion.
About Us
Opapeleo is your procedure agency 100% online or by phone We are in Washington DC 150 meters away from the Cuban Consulate. We offer services for Cuban passports extensions and renewals, Legalizations, Powers of attorney of all kinds, minor travel authorizations, DVT, Visas to Cuba, Top-ups, Cuban certificate requests, official document deliveries, and all types of formalities related to Cuba.
