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After passing the heated debate, small and medium businesses eventually have to accept
the application of a 1 percent income tax. Although ready to confront a number of obstacles
to the implementation of SME turnover tax of up to 4.8 billion dollars per year.
Weak financial bookkeeping SMEs still be obstacles in the field. This condition could hamper
efforts to crawl taxpayers. Given the record attempt is not an easy matter, especially
SMEs with a turnover under 4.8 billion dollars. Currently 50 million entrepreneurs in Indonesia,
95 per cent are SMEs which do not have a neat bookkeeping. So socialization and cooperation
with relevant government, the Directorate General of Taxation determines success. Therefore
in compensation the government should encourage more SMEs to grow professionally. And incorporated
banking institutions to gain access to capital.