Final Tax on MSME, Incentive or Disincentive?
The issuance of Government Regulation Number 23 Year 2018 becomes the policy reinforcement especially for Taxpayers with revenue less than IDR4.8 billion per year. The extra is the final income tax rate that is cut from 1% to 0.5%.
There are terms and conditions as well as the period that shall be considered by MSME who choose the 0.5% final tax rate. It is because that not all Taxpayers and business types may utilize this cheapest tax facility.