Local revenue from the tax sector in Malang Regency has shown a positive trend, with realization reaching IDR 416.23 billion as of July 20, 2026. This figure equals 55.15 percent of the overall annual target set at IDR 754.68 billion, marking an achievement that has passed the halfway point for the current fiscal year target.

Based on data from the Regional Revenue Agency (Bapenda) of Malang Regency, the Specific Goods and Services Tax (PBJT) for Arts and Entertainment Services was the main driver of growth, achieving the highest percentage. This sector successfully collected IDR 5.89 billion, or approximately 72.37 percent of the annual target of IDR 8.14 billion. Following closely behind, the PBJT on Food and Beverages contributed IDR 13.99 billion (67.89 percent), while the Non-Metallic Mineral and Rock (MBLB) Tax recorded IDR 582.63 million (66.91 percent).

Other significant contributions were made by the Electricity PBJT sector, which reached IDR 89.76 billion (61.87 percent), and the Groundwater Tax at IDR 4.39 billion (61.21 percent). Meanwhile, Rural and Urban Land and Building Tax (PBB-P2) contributed IDR 72.55 billion (57.79 percent), followed by the Motor Vehicle Title Transfer Duty (BBNKB) Option with a realization of IDR 35.96 billion (55.55 percent). The hospitality sector and motor vehicle taxes also showed steady progress in the range of 52 to 54 percent.

In contrast to other sectors, revenues from advertising tax experienced a slump, ranking as the lowest. Realization has only reached IDR 1.42 billion, or just 27.64 percent of the IDR 5.13 billion target. Head of Bapenda Malang Regency, Made Arya Wedanthara, explained that this minimal achievement was influenced by market dynamics and shifts in promotional strategies among business actors.

Made added that local governments cannot force corporations to put up commercial campaign props, as this is purely a company internal policy. In addition to the economic slowdown leading businesses to tighten promotional budgets, the shift in advertising trends toward digital media—perceived as more efficient and cost-effective—has been the primary driver behind the decline in physical advertising tax potential in public spaces.