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Cuban Artists Allowed To Contract Workers, Services

Oct 8, – Cuban artists are now permitted to contract private-sector workers and services, according to new regulations published Monday in the government Gazette.

The regulations, which will take effect in January 2014 and are part of wider reforms to modernise Cuba's economy, cover financial and tax matters in the cultural sector, bringing them in line with other private sector activities legalised before, the daily Granma cited Maritza Cabrera from the Ministry of Finance and Prices (MFP) as saying.

Artists contracting more than five workers will have to pay taxes on those contracts, which can be recognised as deductible expenses on personal income tax, said Cabrera.

Artists will also have to pay a 4-per cent tax on any remuneration received, but that amount also may be written off on end-of-year income tax.

In return, artists, their assistants and support staff will be eligible for a special social security plan that offers old-age pensions and disability payments, as well as maternity care and other guarantees.

Cabrera said officials were currently trying to determine the tax burden for each art form.

Since taking office in 2008, Cuban President Raul Castro has promoted some 300 economic reforms, including gradually legalising numerous private-sector jobs to boost productivity and lighten burden on the government, the country's largest employer.

More than 432,000 Cubans are either self-employed or working for others in the country's budding private sector, accounting for about 4 per cent of its population. /Source: XINHUA

Edited by Juan Leandro
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