The Effectiveness Of Local Taxes And Local Levies On The Optimization Of Local Original Revenue (Pad)

Abstract

The implementation of regional autonomy requires local governments to be independent in financing development and public services, one way of doing this is through optimizing Regional Original Revenue (PAD). Regional taxes and levies are two main components of PAD, the effective management of which significantly determines regional fiscal independence. The purpose of this study is to analyze the influence of the effectiveness of regional taxes and levies on optimizing Baubau City's PAD. Sampling technique using total sampling, so that the entire population was used as a research sample. The research object focused on the Regional Revenue Agency (Bapenda) of Baubau City. Data were obtained through documentation of local government financial reports and analyzed with a quantitative approach using methods based on multiple linear regression analysis, the results of the study indicate that regional taxes have a positive and significant influence on optimizing PAD, while regional levies have a positive impact but do not have a significant effect. Simultaneously, both have a significant influence on optimizing PAD, with the dominant contribution coming from regional taxes. The conclusion of this study confirms that efforts to optimize PAD in Baubau City are more supported by regional tax revenues, while the contribution of levies still needs to be strengthened through collection innovations, improving the quality of public services, and digitalizing the management system.