Government lowers tax on small and medium businesses to 0.5 percent

Jakarta (ANTARA News) - The Indonesian government is mulling to lower the amount of tax on small and medium businesses to 0.5 percent from 1 percent as of late March 2018.

"Actually, I have proposed 0.25 percent but the finance minister rejected it. If the decline is that far it will have an impact on state revenues," President Joko Widodo said while addressing the opening of the meeting of the plenary council II and the meeting of the Indonesian Young Businessmen Association (Hipmi) leadership of 2018 in Tangerang west of Jakarta on Wednesday.

The president said the spatial change of the global economy has created opportunities for the national economy to grow further.

He predicted that a number of food and beverage manufacturers as well as lifestyle industries will have bright prospects in the global market.

"I think that such businesses will grow well in the future. I have seen for myself food stalls and restaurants in several countries which I think will grow at a faster pace," he said.

He also predicted that digital application-based start-ups particularly those engaged in sociopreneurship will also grow rapidly.

Indonesia also has excellent industry in the handicraft sector which is known for its creativity, he said.

Source: ANTARA News

Related posts