The Influence of Green Tax Implementation and Social Responsibility Programs on Environmentally Sustainable Development in The Manufacturing Industry

ABSTRACT : The issue of climate change related to carbon emissions has become an alarming globalphenomenon. The manufacturing sector contributes significantly to global greenhouse gas emissions. Therefore,efforts to mitigate climate change through the implementation of green taxes and Social ResponsibilityProgramsare important for manufacturing industry. This research aims to analyze the effect of implementinggreen tax and Social Responsibility Programs on environmentally sustainable development in manufacturingindustry. A quantitative approach is used with the research object of manufacturing industry listed on theIndonesia Stock Exchange in 2020-2022. Analyzed using Partial Least Square (PLS) method. The researchresults show that the implementation of green tax has a significant effect on environmentally sustainabledevelopment, while Social Responsibility Programsdo not have a significant effect. These findings indicate thatgreen tax policies are effective in encouraging companies to switch to more environmentally friendly businesspractices, but Social Responsibility Programshave not been fully integrated with environmental sustainabilityefforts. This research contributes to the literature related to fiscal policy instruments and corporate socialresponsibility practices in supporting environmentally sound sustainable development in the manufacturingsector.

KEYWORDS: Green tax; Social responsibility; Environmentally sustainable development; Manufacturingindustry