Revenue Effects Research Articles

Testing the Causal Nexus Between Tax Revenue and Human Development in Nigeria

We examined the effect of tax revenue on human development in Nigeria in this study. To carry out this study, we use Companies’ income tax, petroleum profit tax, value added tax, and customs and excise duties tax revenue on per capita income for the period 1990 to 2021. Ex-post facto research design was employed for the study. Secondary data from the Central Bank of Nigeria (CBN) statistical bulletin, Federal Inland Revenue Service (FIRS) reports and the World Banks database was used. Several statistical and econometric techniques were applied to analyze the data. Findings from the study revealed that tax revenue in the long and short run had an insignificant effect on human development (proxied with per capita income) in Nigeria. Based on the findings, it was recommended that government should invest tax revenue on the health system in form of providing adequate health infrastructures, provision of relevant and specialized manpower in the health sector, and provide adequate sensitization on healthy lifestyles that would promote increased life expectancy in Nigeria. Lastly, government should invest tax revenue in creating awareness on the benefits of early child enrolments in schools, provide adequate incentives to motivate teachers to deliver on the job and build conducive learning environments that will encourage students to engage in learning.

The Impact of Resource Revenue on Non-Resource Tax Revenue in Oil-Exporting Countries: Evidence from Nonlinear Analysis

The main objective of this study was to examine the asymmetric effect of resource tax revenues on non-resource ones in oil-rich countries, as most previous research on the subject has assumed a symmetric resource-non-resource tax revenue nexus. We employed linear ARDL model to analyze the short- and long-term effects and found a negative relationship between resource and non-resource tax revenues. Based on nonlinear ARDL model estimates, empirical results provide strong evidence for the asymmetric effect of resource tax revenues. In the long-run, positive shocks have negative impacts on non-resource tax revenues. Conversely, negative shocks were found to not lead to increased non-resource tax revenues. In addition, findings show that the short-term effects are stronger when resource tax revenues increase.

The Effect of Local Original Revenue, General Allocation Funds, and Special Allocation Funds on Economic Growth and Human Development Index with Capital Expenditure as Intervening Variable

The purpose of this study is to understand and analyze the effects of GDP, GDPU, and GDPK on GDP and the Index of Human Development with real money (BM) as intervening variables. The method used in this study is the structural equation model, or SEM, in conjunction with partial least squares, or PLS. The results of this study indicate that: Regional original income has a negative impact on economic growth; The General Allocation Fund has a negative impact on economic growth; The Special Allocation Fund has a negative impact on economic growth; Local original income has a positive impact on the Human Development Index; The General Allocation Fund has a negative impact; The Special Allocation Fund has a not-significantly-positive impact; Local original revenue has a positively significant positive impact on capital expenditure; The General Allocation Fund has a significant positive effect on Capital Expenditure; the Special Allocation Fund has a negative insignificant effect on Capital Expenditure; Capital Expenditure has a significant positive effect on Economic Growth; Capital Expenditure has a significant positive effect on the Human Development Index; Regional Original Income has a significant positive effect on Economic Growth through Capital Expenditure as an intervening variable; The General Allocation Fund has a positive and insignificant effect on Economic Growth through Capital Expenditure as an intervening variable; The Special Allocation Fund has a negative and insignificant effect on Economic Growth through Capital Expenditure as an intervening variable; Regional Original Income has a significant positive effect on the Human Growth Index through Capital Expenditure as an intervening variable; The General Allocation Fund has a positive and insignificant effect on the Human Growth Index through Capital Expenditure as an intervening variable; The Special Allocation Fund has a negative and insignificant effect on the Human Growth Index through Capital Expenditure as an intervening variable.

Analisis Pengaruh Dana Bagi Hasil, Pendapatan Asli Daerah, Dana Alokasi Umum, dan Dana Aloksi Khusus terhadap Belanja Modal dengan Pertumbuhan Ekonomi Sebagai Variabel Moderating di Jawa Tengah Tahun 2019-2021

The aims of this research was to analysis the impact of economic growth on Central Java Provincial Government's capital expenditures in 2019–2021. This included looking at the impact of revenue sharing funds, money collected at the regional level, as well as federal, state, and local allocations. Data and statistics were collected from the country's centrally located Bureau of Statistics and Ministry of Finance. Saturation sampling was used in the demographic and sample approach to collect data from all 35 cities and districts in Central Java Province (6 cities and 29 districts). According to the data, revenue splits and investment spending are unrelated (p=0.721), local own-source revenue (p=0.000), public allocation funds (p=0.001), and special allocation funds (p=0.032). The significance value for the effect of economic growth on capital expenditure was 0.196, meaning it had no effect on this variable. However, the effect of local revenue on capital expenditure was moderated by economic growth (p = 0.001), and the impact of general allocation funds on capital expenditure was moderated by economic growth (p = 0.048)

The Influence of Regional Tax Revenue Pre-Covid-19 and During Covid-19 on the Economic Growth Level of the Karawang Regency Government

This research aims to determine the influence of Pre-Covid-19 and During Covid-19 Regional Tax Revenues on the regional economic level of Karawang Regency, as well as to see how effective Pre-Covid-19 and During Covid-19 Regional Tax Revenues are on the economic growth level of the Karawang Regency area. The research method used is a quantitative research method with primary and secondary data sampling and obtained using SPSS statistics with a population from the Karawang Regency Regional Revenue Agency and the Karawang Regency Central Statistics Agency. The results of this research were obtained Based on the results of hypothesis testing carried out using multiple linear regression tests, there is a significance value of 0.012, which means the value is <0.05 in variables X1 and X2. A higher effectiveness value compared to regional tax revenue during Covid-19, with a greater growth rate in the pre-Covid-19 year compared to the year during Covid-19, in the year during Covid-19 the level of effectiveness of tax revenue increased. The lowest compared to the previous year, namely 89% in 2021. Then the level of economic growth also got the lowest growth percentage compared to the previous year, namely 3.95%, namely in 2020.

ANALISIS PENGARUH DESENTRALISASI FISKAL DAN PRODUK DOMESTIK REGIONAL BRUTO TERHADAP KEMISKINAN PADA KABUPATEN DAN KOTA DI PROVINSI JAWA TIMUR TAHUN 2015-2019

This study aims to determine the effect of Fiscal Decentralization on Poverty in the Regency / City of East Java Province. The study also examines the effect of Regional Original Revenue (PAD), General Allocation Fund (DAU), Revenue Sharing Fund (DBH) and Special Allocation Fund (DAK) and Gross Regional Domestic Product (GRDP) on Poverty in the Regency / City of East Java Province in 2015-2019. The data used comes from the budget realization report of the Regency / City of East Java Province published by the Directorate General of Fiscal Balance (DJPK) and the Central Statistics Agency (BPS). This type of research is descriptive quantitative. Data analysis uses panel data regression analysis which is a combination of 2015-2019 time series data and crosssection data of 35 districts / cities in East Java Province. The results showed that Revenue Sharing Fund (DBH) and Gross Regional Domestic Product (GRDP) had a negative effect on poverty, then Regional Original Revenue (PAD), General Allocation Fund (DAU) and Special Allocation Fund (DAK) had no effect on poverty.

Efektivitas Pajak Daerah Terhadap Pendapatan Asli Daerah

Regional Original Revenue (PAD) is a necessary source of revenue for the region. The largest revenue from PAD comes from local taxes including street lighting tax, billboard tax and PBB-P2 which is used to implement regional autonomy over decentralization. The purpose of this study is to determine the efficiency and effect of street lighting tax, billboard tax and PBB-P2 on PAD in Bandung City. The approach and data used in this study are quantitative approaches and secondary data obtained at BAPENDA in the form of Regional Budget Realization Reports (LRAPBD) with a total of 60 research samples from January to December 2017-2021. The analysis technique used is multiple linear regression analysis through SPSS 26 Version 26 software. The results revealed that the effectiveness of street lighting, billboard tax and PBB-P2 tax revenues from 2017 to 2021 showed that the level of effectiveness was included in the effective category, indicating that the tax received had reached the target. Simultaneously, all variables affect PAD. Partially, the street lighting tax and PBB-P2 have no effect on PAD, while the billboard tax has no effect on PAD.

On the government revenue on economic growth of Sub-Saharan Africa: Does institutional quality matter?

As studies report inconclusive results, the linkage between government revenue and economic growth remains a topic of debate in economic literature. This study investigates the effect of government revenue on the economic growth of Sub-Saharan African countries with the main objective of whether institutional quality matters. The panel data for 43 SSA countries were obtained from dependable data sources: World Development Indicator and Heritage Economic Freedom Index for the period of 2012–2022. The result from system GMM estimation reveals that government revenue adversely affects economic growth while institutional quality positively enhances economic growth before interacting with each other. However, the interactive coefficient of government revenue and economic growth positively affected the real GDP growth rate of SSA countries over the study periods. Precisely, before interacting with institutional quality, a percentage change in government revenue, keeping all other things constant, leads to a 0.0866% decline in economic growth while it marks a 0.2329% upsurge in economic growth in the presence of institutional quality. The result of the study further revealed that government revenue promotes the economic growth of the region when combined with institutional quality. On the other hand, foreign direct investment and openness to trade were the key sources of economic growth whereas the population growth rate adversely impacted economic growth in SSA countries during the study period under consideration. The policy implication of the study is that SSA needs to strengthen government revenue management. Further, the finding of the study implies that SSA countries need to improve institutional quality through promoting efficiency of the regulatory quality and the size of the SSA governments. In addition to this, the fast real GDP growth rate of SSA countries demands improved institutional quality indicators such as the rule of law and extended access to the open market.

Analysis of the Influence of Local Original Income, General Allocation Fund and Special Allocation Fund on Economic Growth with Capital Expenditure as an Intervening Variable in Regional Governments throughout Manggarai Raya in 2013-2023

The purpose of this study is to analyze and test the effect of Local Revenue, General Allocation Fund and Special Allocation Fund on Economic Growth with Capital Expenditure as an Intervening variable in local governments throughout Manggarai Raya. This study was conducted in Regencies/Cities throughout Manggarai Raya. The population and sample used in this study were reports on the realization of the RegionalBudget throughout Manggarai Raya. Furthermore, this study used path analysis as a research method. From the analysis conducted, it can be concluded that the test results found that partially the variables of Local Revenue and Special Allocation Fund have a significant effect on capital expenditure. While for the General Allocation Fund it does not have a significant effect on capital expenditure, the test results found that partially the variables of Local Revenue, Special Allocation Fund and Capital Expenditure do not have a significant effect on economic growth. While for the General Allocation Fund it has a significant effect on economic growth, the results of the path coefficient test show that only the Special Allocation Fund variable has a significanteffect on economic growth through capital expenditure. While Local Revenue and General Allocation Fund do not have a significant effect on economic growth through capital expenditure.

Non-Oil Tax Revenue and Infrastructural Development in Nigeria

Abstract In Nigeria, there has been a decline in oil revenue. This has impacted negatively on infrastructural development. This paper seeks to examine the effect of non-oil revenue as an alternative source of revenue for infrastructural development. The research design of the study was the ex post facto research design. The source of data was the secondary source and a time series of data from 1981 to 2021 was used in carrying out the research. The Autoregressive Distributed Lagged (ARDL) bounds test was used to determine the long-run and short-run relationship between the dependent and independent variables. It was observed that the variables are co-integrated, and as such, a long-run and short-run relationship exists among the explanatory variables. Furthermore, the ARDL short-run estimation result shows that the non-oil tax variables (proxied by VAT, CUSTD, and CIT) have a positive and significant effect on infrastructural development (proxied by total electricity production measured in Gigawatt hours (GWh) in Nigeria. In tandem, the ARDL long-run estimation results reveal that value-added tax, customs duties, and company income tax have a positive and significant impact on infrastructural development in Nigeria. Hence, an increase in the non-oil tax revenue base will boost infrastructural development in Nigeria in the long run. This finding is in tandem with the ARDL short-run estimation result. Therefore, it is inferred that Nigeria can experience infrastructural development when genuine commitment is made to explore an increase in non-oil revenue generation instead of being over-dependent on oil revenue.

Problem analysis of assessing the effectiveness of tax revenues of the regional and municipal budgets

This article presents methods for assessing the effectiveness of public finances, considered on the example of determining the filling of the revenue side of regional and local budgets. Based on data of the Federal Tax Service, the effectiveness of the process of paying property taxes on individuals to the budget in the regions of the Volga Federal District was assessed. This assessment was based on the analysis of the degree of the set goals achievement in the formation of budget revenues. The following types of public finances effectiveness are considered: a) budgetary, which determines the filling of the budget; b) social, aimed at observing the principles of social justice in society; c) dynamic, which demonstrates the dynamics and trends in the development of taxation processes; d) investment, which considers the missed potential opportunities for regional budgets replenishment. An analysis of the relationship between the growth rates of property taxes, the gross regional product (hereinafter referred to as GRP) and the rates of the real disposable income of the population was made. It is concluded that the rates of tax revenue to the budget outstrips the growth rates of GRP and significantly outstrips the rates of real disposable income of the population, which tends to decline. That indicates an increase in the tax burden for the population and an increase of socio-economic inequality in society.

Analysis Of The Budget Realization Report (Lra) At The Sub-District Office Of Seberang Musi Kepahiang District

The purpose of the study was to analyze the level of effectiveness of PAD revenue and the efficiency of the Budget Realization Report (LRA) expenditure budget in financial performance in 2021-2022 at the Head Office of Seberang Musi Sub-District, Kepahiang Regency. This type of research uses quantitative data and qualitative data, the operationalization of research uses ratio variables in analyzing the Budget Realization Report at the Head Office of Seberang Musi Sub-District, Kepahiang Regency, there are two ratios, namely the effectiveness ratio and the efficiency ratio. The method used is descriptive quantitative using effectiveness and efficiency ratios. The results of the research conducted show that the performance of PAD revenue is ineffective with a percentage, namely in 2021 of 0% and in 2022 of 0% and the Expenditure Budget is less efficient with a percentage in 2021 of 98.32% and in 2022 of 94.46.

Selection of corporate strategic and operational decisions based on the strategic orientation of informatization: an experimental study

Abstract This paper firstly divides the enterprise informatization strategy into three objectives, namely cost (C), time (T) and performance (P), so as to form a triangle with mutual constraints and equilibrium. Secondly, based on demand effect curve fitting, establish the product sales revenue effect function to find the product price that maximizes sales revenue. And under the cumulative effect of the multi-period business decision-making scheme, the traditional Markov process model is improved to form a multi-period business decision-making optimization method based on the Markov process. Finally, using Enterprise A as a study case in the horizontal expansion stage, simulation and sensitivity analysis of the enterprise’s business decision-making scheme are performed. The results show that in the 8-year operation cycle, as the target profit margin increases from 0.05 to 0.20, the cumulative profit level decreases from 11.43 to 8.38. Enterprises can select the scheme that obtains the optimal comprehensive ability in one aspect according to their own internal and external environments as the final implementation scheme.

COMESA Customs Union Commitments and the Impact on Kenya: Using the Wits-Smart Simulation Model

This research article included quantitative estimations of the likely outcomes of the welfare effects, trade diversion effects, changes in export and import quantities, revenue effects, and trade creation effects resulting from the Common Market for Eastern and Southern Africa Customs Unions Commitments (COMESA CU). Kenya was used as the case study in this research project, which utilized the Software for Market Analysis and Restrictions on Trade (SMART) and Pan-Euro-Mediterranean tools (PEM). The World Integrated Trade Solution (WITS)/SMART software has access to the most recent data on Kenya and uses databases and records of trade-related information, including those maintained by the United Nations Conference on Trade and Development (UNCTAD), the World Trade Organization (WTO), the Common Format for Transient Data Exchange for Power Systems (COMTRADE), and the Transportation Reporting and Accounting Information System (TRAINS). The results of the analyses show that COMESA CU has no indication of trade diversion and had a trade-creation impact of US$310.50 million. Further analysis revealed that the COMESA CU procedure is expected to record losses in the amount of US$327 million. Additionally, a US$56.27 million consumer welfare effect was projected for COMESA CU. Imports increased by 2.8% at COMESA CU, but exports fell. The research recommends that export-boosting actions be taken, including bolstering export processing zones, offering export subsidies, developing supply-side infrastructure, offering trade financing, and enhancing export-supporting institutions. Kenya and other developing countries now have the ability to implement policies that will make sure they benefit the most from the various regional trade agreements, thanks to the findings of this study.

Analysis of the Effect of Government Expenditure, Tax Revenue, and Road Infrastructure on Economic Growth in Lampung Province

Economic growth is essential for the prosperity of a country. Adequate infrastructure facilities, including roads, electricity, and water, are essential to encourage economic activity and ensure equitable development and community welfare. This study aims to determine the impact of government spending, tax revenue, and road infrastructure on economic growth in Lampung Province over 11 years using the Ordinary Least Squares (OLS) method and processed with E-Views 12 software. In this study, multiple regression will be used to examine the effect of the independent variable (Government Expenditure, Tax Revenue, and Road Infrastructure) partially on the dependent variable (Economic Growth). The findings revealed that Economic growth was significantly influenced favorably by transportation infrastructure., while Road Infrastructure showed a significant negative influence. This article highlights the importance of developing a strong transportation system to boost economic growth and improve well-being.

COMPARATIVE ANALYSIS OF THE EFFECTIVENESS AND CONTRIBUTION OF LOCAL TAXES IN THE TOURISM SECTOR BEFORE AND DURING COVID-19 (Study on Regency and City of Central Java Province)

The objective of this study is to investigate and analyze the variations in the effectiveness and impact of local tax revenues from districts and cities in Central Java, both before and during the COVID-19 pandemic. The study focuses on six specific variables, namely the effectiveness and contribution of Hotel Tax, Restaurant Tax, and Entertainment Tax. The study population consists of all the regencies and cities in Central Java from the years 2018 to 2021, and a saturated sample is used, meaning that all available data is included in the analysis. A total of 35 samples, comprising of 29 regencies and six towns, are included in the analysis. To conduct this research, a quantitative approach is employed, specifically using a paired t-test analysis of panel data. The analysis is carried out using SPSS analysis tools, which allow for the examination of the differences and similarities in the effectiveness and impact of the different tax revenues before and during the COVID-19 period. The findings of this study reveal significant disparities in the effectiveness of Entertainment Tax, as well as the contributions of Hotel Tax, Restaurant Tax, and Entertainment Tax, before and during the COVID-19 period. This suggests that the pandemic has had a significant impact on the efficacy and impact of these tax revenues in Central Java. However, no significant differences were observed in the effectiveness of Hotel Tax and Restaurant Tax, indicating that these taxes have remained relatively stable and unaffected by the pandemic.

Analysis of the Effectiveness and Efficiency of Local Government Budget Utilization

This research aims to determine and analyze the effectiveness and efficiency of revenue and expenditure budgets from 2017 to 2021 in the Administrative Authority of Baucau District. The analytical tool employed in this study is a quantitative descriptive method, involving an analysis of target data, expenditure and revenue realization, utilizing effectiveness and efficiency ratios. The data used includes both primary and secondary data. The findings of this research indicate that the average effectiveness of revenue and expenditure budget realization from 2017 to 2021 in the Administrative Authority of Baucau District is 85.97%, meeting the criteria of being Sufficiently Efficient. The average efficiency level is also 85.97%, meeting the criteria of being sufficiently efficient. Meanwhile, the performance achievement of the program planning in 2021-2022, measured by the average program realization, is considered quite good.

Analisis Kinerja Keuangan Pada Anggaran Pendapatan Dan Belanja Daerah (APBD) Kabupaten Kebumen

Measuring financial performance is very important in assessing the accountability of local governments in managing local finances. The development of government financial performance can affect the community, because the greater the ability of a region to explore regional potential, not only to provide funds for the implementation of governance and regional development, but also to realize maximum services for the community. In analyzing the financial performance of local governments, it can be done by looking at the performance of the Budget Realization Report (LRA). This study aims to analyze the financial performance of the local government of Kebumen Regency in 2017-2021 based on the Ratio of Degrees of Fiscal Decentralization, Regional Financial Dependence, Regional Financial Independence, Effectiveness of Regional Original Revenue and Efficiency of Regional Original Income. The analysis technique used is quantitative descriptive. The data used is secondary data in the form of Kebumen Regency APBD and LRA reports for 2017 – 2021 obtained from the official website of www.djpk.kemenkeu.go.id. The results of this study show the financial performance of the local government of Kebumen Regency in 2017 – 2021 based on the Fiscal Decentralization Degree Ratio with an average of 15.09%, based on the Regional Financial Dependence Ratio with an average of 23.49%, based on the Regional Financial Independence ratio with an average of 64.59%, based on the average Regional Original Revenue Effectiveness ratio of 117%, and based on the Regional Original Revenue Efficiency ratio with an average of 98.87%.

Analisis Penerimaan Pajak Restoran terhadap Pendapatan Asli Daerah dan Produk Domestik Regional Bruto di Kota Banjarmasin

This study aims to determine the effectiveness of the restaurant tax, the contribution of the restaurant tax to local revenue, and the elasticity of the restaurant tax on GRDP in Banjarmasin from 2011 to 2020. This research makes use of descriptive and quantitative research methods. The data is secondary from the Central Statistics Agency and BPKPAD. The results showed that the extent of the effectiveness of restaurant tax revenues was categorized as very effective, with a mean of 112.85%. In the meantime, the contribution of restaurant tax to local revenue remains less significant, with a standard of 14.27%. The elasticity of restaurant tax revenue on GRDP has a standard of -79.25%, which is classified as inelastic, meaning that every 1% change in GRDP can lessen the realization of restaurant taxes using -79.25.

Analisis Kontribusi, Efektivitas dan Pertumbuhan Pajak Daerah dan Retribusi Daerah Terhadap PAD Kabupaten/Kota di Kalimantan Selatan Tahun 2011 - 2020

This study aims to determine the level of contribution, effectiveness, and growth of local tax revenue and regional levies on the local income of districts/cities in South Kalimantan. The method used is descriptive quantitative with analysis technique of contribution ratio, effectiveness ratio, and growth ratio using secondary data from the Directorate General of Fiscal Balance, Ministry of Finance website. This study's results indicate that local taxes' contribution to local revenue has quite good criteria, and local levies to local revenue have poor bars. The effectiveness ratio shows that the average regional tax and regional retribution are very effective. Based on the results of the average regional tax growth rate for 2011-2020 with the criteria of not being successful and the average growth of provincial levies with the requirements of being unsuccessful.