The Policy of Final Income Tax Incentives For Micro, Small Medium Enterprises (MSMEs) During the Covid-19 Pandemic

The Covid-19 pandemic has had a significant impact on Indonesia. The impact of Covid-19 is not only in the health sector, but also in various aspects including economic, social, educational, and so on. Various government policies were carried out to overcome and prevent the wide spread of the Covid-19 virus, such as social distancing, and working from home. It was to reduce the occurrence of crowds by establishing Large-Scale Social Restrictions and Enforcement of Restrictions on Community Activities. However, the government's policy also harmed the economic sector, especially MSMEs. They suffered a lot of losses and some were even unable to continue their business. From such conditions, it would be very difficult for MSMEs to pay tax obligations. therefore, the government made policies in the field of taxation, by providing incentives for MSMEs. The problem was what the benefits of providing this final income tax incentive for MSMEs would be. The research method used was an empirical legal study. The results showed that most of the respondents interviewed by the author had not taken advantage of these incentives due to ignorance of the existence of these incentives, lack of understanding of the procedures, and so on.