The Ambassador in Cuba (Braden) to the Secretary of State

No. 4855

Sir: I have the honor to refer to the exchange of notes between the Cuban Government and the Embassy with reference to the granting to the Defense Supplies Corporation and Metals Reserve Company certain tax exemptions which the Cuban Government had provided on behalf of the Commodity Credit Corporation.

The Department will recall that in the Embassy’s despatch No. 4791 of October 14, 1943,67 it was stated that the Ministry of State’s Note No. 1729 of October 2, 1943,67 informed the Embassy that the tax exemptions in question had been granted to the Defense Supplies Corporation by decree but that the final resolution of the request for tax exemption on behalf of the Metals Reserve Company had not yet been completed as the Government wished to make a further study of the matter. I am now pleased to report to the Department that [Page 279] Decree No. 2971 of October 15, published in Official Gazette No. 583 of October 19, 1943, grants to the Metals Reserve Company the tax exemptions requested by the Embassy in its Note No. 965 of September 8, 1943,69 to the Ministry of State.

There are Attached a copy and translation69 of Decree No. 2971.

In order that there be no interruption or delay in the movement of vessels carrying ore belonging to the Metals Reserve Company Agency, which ore is covered by the tax exemptions provided for in Decree No. 2971, the Embassy discussed with the Director General of Customs the desirability of his office promptly transmitting telegrams to the various customs authorities from which shipments of ore are customarily made, informing their agencies that ore shipments of the Metals Reserve Company Agency are exempt from taxation. The Director General of Customs agreed to transmit these telegrams without delay and stated that the appropriate customs circular notifying all of the customs authorities of the Island would be issued immediately.

It will be noted that, in addition to the tax exemptions requested by the Embassy in its abovementioned Note No. 965, Decree No. 2971 also exempts the Metals Reserve Company from the requirement of registering in the taxpayers’ registers maintained by the State, the Province or Municipality or any other public registers in which commercial or industrial entities operating in Cuba for a profit are required to register.

Respectfully yours,

For the Ambassador:
Charles H. Ducoté

Commercial Attaché
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