Jakarta, June 3 -- Minister of Micro, Small and Medium Enterprises (MSMEs) Maman Abdurrahman said there would be no tax increase for MSMEs under amendments introduced through Government Regulation No. 20 of 2026.

"There is no change, let alone an increase, in taxes for MSMEs. Tax incentives for MSMEs remain the same as before," Maman told a press conference at his office in Jakarta on Wednesday.

He said MSMEs with annual revenue of less than Rp500 million would continue to be exempt from income tax.

MSMEs with annual revenue of up to Rp4.8 billion would also continue to be subject to a final income tax rate of 0.5 percent of gross revenue.

According to Maman, the key change in the new regulation concerns the validity period of the fin...