PPh Final Calculator for MSMEs, 0.5% (Estimate)

The 0.5% final income tax on gross turnover is set out in PP 55/2022 (Government Regulation) as amended by PP 20/2026, in force since 22 April 2026. According to the explanation on the Directorate General of Taxes website, the taxpayers who may use this rate are individuals, sole-proprietor companies (perseroan perorangan) and cooperatives with turnover of no more than Rp4.8 billion per tax year. Ordinary CVs, partnerships (firma) and limited liability companies (PT) can no longer use it.

For individuals only, the first Rp500 million of turnover in a tax year is not taxed, counted cumulatively from the first month of the tax year. Individuals and sole-proprietor companies can use this rate indefinitely as long as they meet the requirements. The turnover of a husband and wife, and of a sole-proprietor company established by one of them, is combined.

An individual business owner has recorded cumulative turnover of Rp450,000,000 up to last month, and this month’s turnover is Rp100,000,000. The remaining tax-free portion is Rp50,000,000, so the taxable turnover this month is Rp50,000,000. Final PPh = 0.5% × Rp50,000,000 = Rp250,000. The following month, because the Rp500 million has been exceeded, all turnover is taxed at 0.5%.

This calculator does not assess whether your business qualifies. Check the type of business entity, combined family turnover, business income from abroad, and the transitional provisions for those who used this rate before the new rules. Payment and reporting are done yourself through the DJP system.