Taxes are a very important sector for the source of state revenues, in the post budget and state expenditure (APBN) tax contributions have large contribution compared with other sources of state revenue (non-tax). Local taxes consist of various types of taxes related to various joints of people’s lives. Each type o local tax and levy has the object, subject, tariff, and various individual imposition conditionts, which my differ from other types of taxes and budget and regional expenditure. This study uses quantitative methods using data in the form of reports of tax revenues and budget data of revenues and expenditures of the city of Kediri in 2011 – 2015. The results of this study indicate that the regional tax has a significant influence on the regional revenue budget in revenue board, financial management and assets district of Kediri in 2011 up to 2015. Relationship level of 0,005 indicating that the level of relationship between local taxes with the regional revenue budget is high a positive direction, which means the higher the receipt of regional tax, the higter ther value of regional revenue budget and so is other.Keyword : Local Tax Revenue, Regional Revenue and Expenditure Budget