A simplified tax system could draw more small businesses to pay tax

Published: Jan. 23, 2019, 12:14 a.m.

b'Regulations need to be stronger, and their implementation needs to be simpler, to bring more small- and medium-sized enterprises (SMEs) into Indonesia\\u2019s tax system.\\n\\nSMEs are an important and growing segment of Indonesia\\u2019s economy but they are under-represented when it comes to paying tax. In 2015, SMEs accounted for 60% of the country\\u2019s gross domestic product.\\n\\nThe SME sector has been growing fast because the use of information technology and the promotion of creative industries have been adapted to local characteristics. Significant SME growth has taken place in fashion, food, advertising, interior design, and software development.\\n\\nRead the transcript\\nhttps://bit.ly/2WaXZ6A\\n\\nRead the report\\nhttps://www.adb.org/publications/tax-and-development-challenges-in-asia-pacific\\n\\nRead the chapter\\nhttps://bit.ly/2GyqbM7\\n\\nAbout the authors\\nWawan Juswanto was special advisor to the dean of ADBI and a senior economist in the Capacity Building and Training Department of ADBI at the time the book was written.\\nMilson Febriyadi is a fiscal analyst in the Fiscal Policy Agency of the Ministry of Finance in Indonesia.\\n\\nKnow more about ADBI\\u2019s work\\nhttps://bit.ly/2DswkGU\\nhttps://bit.ly/2FKtYVW'