General mechanism for calculating income tax
General mechanism for calculating income tax for individual taxpayers who do business as stipulated by the income tax law can be explained as follows.
In principle, individual taxpayers who do business bookkeeping should organize movements to calculate his income tax. Income tax is calculated based on the profit / loss as provided for in article 17 of the Income Tax Act. For those who use bookkeeping, income tax calculation based on the financial statements of commercial and fiscal adjustments were made to obtain net income from business.
But we realize that not all individual taxpayers who do business is able to maintain their books. Therefore, the established norms of calculating net income provided for in article 14 of the Income Tax Act of 2000 revised by decision of the Director General of Tax No.. KEP-536/PJ./2000