THE INFLUENCE OF LOCAL TAX, LOCAL RETRIBUTION, AND AUDIT OPINION ON EXPENDITURE PERFORMANCE IN LOCAL GOVERNMENTS CENTRAL JAVA PROVINCE, INDONESIA

Purpose: Capital expenditure is one of government performance. It is a component of direct expenditure in government budgets that produce fixed assets. This study aims to examine the influence of Local Tax, Local Retribution and Audit Opinion on Expenditure Performance in Regencies / Cities in Central Java Period 2014-2016. Methodology: The populations in this study are 30 regencies and 6 cities in Central Java. The samples are 27 regencies and 6 cities in Central Java Period 2014-2016. The sampling technique in this study uses a purposive sampling nonprobability sample. The data analysis technique uses multiple linear regression. Results: The results of this study indicate that partially Local Tax and Local Retribution have a positive significant influence on Expenditure Performance. Meanwhile, Audit Opinion has no significant influence on Expenditure Performance. The result simultaneously shows that there is a significant influence of Local Tax, Local Retribution and Audit Opinion on Expenditure Performance. Implications: Based on the results of statistical calculations, this study yields the conclusion that the Local Tax has a significant influence on the Performance of Local Government Expenditure of Regencies / Cities in Central Java Period Year 2014-2016.