Govt committed to keeping MSMEs' taxes low: minister

id MSMEs,income tax,economic growth,tax

Govt committed to keeping MSMEs' taxes low: minister

Coordinating Minister for Community Empowerment Abdul Muhaimin Iskandar. ANTARA/HO-Kemenko PM

Jakarta (ANTARA) - Coordinating Minister for Community Empowerment Abdul Muhaimin Iskandar highlighted the government's commitment to keeping the taxes imposed on micro, small, and medium enterprises (MSMEs) as low as possible to improve community welfare."President Prabowo's administration will keep MSMEs' tax expenses as low as possible," he said at the Micro Business Facilities and Protection Festival in Lombok, West Nusa Tenggara, on Tuesday, according to a statement received here.

According to Iskandar, the government's commitment has been reflected by the issuance of the 0.5 percent final income tax policy for MSME taxpayers. He expressed optimism that the tax relaxation policy for MSMEs will be extended as a form of protection for small business players.

The minister noted that the 0.5 percent final income tax policy is aimed at protecting MSMEs so that they can continuously grow and level up. Furthermore, he ensured that the government would consistently collaborate with MSME players to meet the 5.2 percent economic growth target in 2025.

"All government officials, including myself, are working hand-in-hand and collaborating to achieve the target precisely as instructed by the President," he remarked.

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Under the leadership of President Prabowo Subianto, the Indonesian government recently launched the "8+4+5" economic stimulus package, comprising eight programs to be accelerated in 2025, four programs to be continued in 2026, and five job-creation programs.

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The stimulus package includes imposing a 0.5 percent final income tax for MSMEs.

Iskandar has ensured that his ministry will do its best to ensure the economic stimulus is implemented effectively to alleviate poverty and create jobs.


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Editor: I Komang Suparta
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