Influence of Local Tax and Zakat Infaq Maslahah Through to Regional Income (Overview of New Trends in Sustainable Development)

Chablullah Wibisono,Indrayani ,Iskandar Muda

doi:10.5430/ijfr.v10n4p181

Abstract

Conditions Batam Island, Indonesia, economic growth declined from 5.4% in 2016, to under 2% percent in 2017, the disparity is difficult to increase revenue growth in Batam. It is necessary to look beyond the local revenues of local taxes, such as zakat and donation, to contribute to Maslahah through local revenue. Which research aimed at contributing to the Regional Income and Maslahah by using samples taken from the Department of Revenue at Batam City, Amil Zakat Agency (BAZ), Indonesia Religious Leader (MUI), Public Welfare with respondents 190. This study used software AMOS version 23 with Structural Equation Modeling (SEM). The result shows that the variable contribution of local taxes to regional variable income is a significant positive contribution to variable regional Infaq variable income is not notable positive. Tithe variable contribution towards regional variable pay is a significant positive contribution of the variable to variable Maslahah local tax is not significant positive contribution of geographical variables to variable Maslahah income is not a significant negative contribution to mutable Maslahah title variable is significantly positive, Infaq variable contribution towards Maslahah variable is significantly positive, regional changes in contributions by local income tax, donation, charity amounted to 55.2%, a shift Maslahah given by local tax contribution, Infaq, welfare, and regional income amounted to 53.6%. For the local contribution, Maslahah significant positive income to the charity and donation should be maximized not a tax.

Highlights

Execution and implementation of regional development geared to spur development equalization to increase the potential of each area owned optimally
Characteristics are required, are the entire workers, sampling technique selected non-probability technique is judgmental. This method is chosen to ensure that only the samples that have certain elements that have been established by researchers who will be taken as sample
4.2 Discussion a) Local tax variable contribution to variable Regional Income Tax has standardized estimate of 0.269 to Cr (Critical ratio = identical to the value t-test) of 3,563 on probability = 3.563, *** Rated CR ≥ 2.00 and Probability = ** * ≤ 0.05 indicates that Local tax variable Contributions to Regional Income variable is significantly positive

Summary

Introduction

Execution and implementation of regional development geared to spur development equalization to increase the potential of each area owned optimally. To improve the implementation of the development and provision of services to the community as well as increased economic growth areas, required the provision of local revenue sources are adequate (Kim, 2019 and Power, 2019). Efforts to improve the provision of financing from these sources, among others, carried out by polling performance improvements, enhancements and additional types of taxes as well as providing flexibility for regions to explore sources of revenue, such as local taxes, charity, and donation (Aliyev, 2018, Kuran, 2018; Taylor, 2018; Abdulfatah, 2019 and Mohseni, 2019). Efforts to improve the provision of financing from these sources, among others, carried out by polling performance improvements, enhancements and additional types of taxes as well as providing flexibility for regions to explore sources of revenue, such as local taxes, charity, and donation.

Methods

Discussion

Conclusion