JAKARTA. The government will exempt micro, small and medium enterprises (MSMEs) from paying taxes over the next six months. This is a stimulus for MSMEs which suffer due to coronavirus (COVID-19) pandemic.
Minister of Cooperatives and SMEs Teten Masduki said after a limited meeting on Wednesday (15/4) that the tax stimulus is given to maintain the continuity of MSMEs, since MSMEs is an important sector for Indonesia's economy. The contribution of MSMEs to gross domestic product (GDP) reached 60%.
The government provides credit restructuring for micro and ultra micro-businesses for credit under Rp 10 million. In addition to credit restructuring, there are also proposals to inject capital for micro-businesses. "The President asked earlier, not the matter of relaxation, but injection of capital, because the micro sector is struggling," explained Teten. (AM/AR)