Pengaruh Kontribusi Pajak Dan Retribusi Pajak Terhadap Pendapatan Asli Daerah Kabupaten Di Indonesia Perioade 2017-2022

ABSTRACT
Taxes and tax levies in Indonesia play a central role in supporting Local Original
Revenue (PAD), which is the main pillar of funding for local governments to
implement various development programs and provide public services. The
involvement of taxes and levies as a source of local revenue shows its strategic
significance in supporting the sustainability of the local economy. The purpose of this
study is to investigate the dynamics of tax and tax levy contributions to Local Original
Revenue at the district level in Indonesia during the period 2017-2022. A quantitative
approach is used to analyze related data in exploring these dynamics. Research
findings show that tax contributions (Inpad) and tax levies (Inretda) have a significant
relationship with Local Original Revenue. The regression model used showed an
excellent degree of adjustment, with an R-squared of 0.8514 and an adjusted R-
squared of 0.8512, as well as a statistically significant F-. From a multicollinearity
perspective, Variance Inflation Factor (VIF) analysis shows that regression models do
not suffer from serious multicollinearity problems, and the coefficient estimation
results can be considered reliable. This finding reflects that tax contributions and tax
levies do not only focus on revenue aspects alone, but also reflect the close relationship
between the tax sector and regional financial stability. In addition, the findings of this
study provide empirical support to the important role of taxes and tax levies in
strengthening Local Original Revenue and, more broadly, regional finance in
Indonesia. The implications of these findings can guide local government policies in
designing more effective tax strategies, as well as raising public awareness of their
contributive role in supporting development and public services at the local level.
Therefore, this research is expected to make a positive contribution in improving
regional financial sustainability and supporting sustainable economic growth in
Indonesia.
Keywords: tax_1 contribution; Tax levy_2; Regional original income_3