Tuesday, November 30, 2010

Cuba Legalizes Private Property Rental

Cuba Legalizes Private Property Rental
2010-11-30 10:46:19 Xinhua Web Editor: Zhangxu

Cuban authorities have allowed citizens to rent rooms, gardens, roofs
and swimming pools to help the establishment of small businesses, the
official daily Granma said in a Monday editorial.

The government has also authorized the rental of rooms and houses for
Cubans seeking to alleviate the shortfall of 500,000 homes.

"This will be considered as an alternative employment," Granma said, a
reference to the expected initial cut of half a million state jobs over
the next six months.

Owners must pay tax according to the space they rent, plus tax on income
and social security contributions. Landlords can also hire domestic
servants or gardeners.

The government will cancel the lease license or confiscate the property
of anyone found breaking the law.

"These kinds of activities will be monitored and controlled," Granma
said. "Total compliance with the law is required."

The Cuban authorities began discussing self employment as a method of
boosting the nation's ailing economy in October. Business proposals
include coffee shops, gyms, carpenters, locksmiths and watchmakers.

The new opportunities of self employment could provide a new source of
income to supplement Cuba' s current state salaries of about 20 dollars
a month.

Cuban leader Raul Castro described the salaries as insufficient in his
inaugural speech in July 2007.

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