This research aimed at analyzing the level of effectiveness and contribution of land and building tax revenue of regional finance and asset office of Sleman regency in 2012 – 2017. It also identified the obstacles faced by the regional finance and asset office of Sleman regency that influenced the effectiveness of land and building tax revenue and the effort to solve the obstacles. This research was conducted in the regional finance and asset office of Sleman regency. The data collecting technique was conducted with documentation, interview, and literature study technique. The data analysis method used descriptive quantitative analysis method, by using data in the form of targets, realization of land and building tax revenues and data on regional revenue realization. The result of the data analysis and discussion of the land and building tax collection of Sleman regency in 2012 – 2017 conducted showed “Less Effective” criterion with percentage of 75.32%. Meanwhile, the land and building tax contribution towards the average local own- source revenue in 2012 – 2017 was 10.06% with “Very Poor” criterion. The obstacles that influenced the effectiveness level of land and building tax revenue were the low awareness of the taxpayer to pay the tax, the number of taxpayer that was not in Sleman regency and the administration error in tax object determination. The effort to overcome the obstacle in land and building tax revenue was by establishing land and building tax intensification team, by monitoring taxpayer, holding land and building tax payment week and doing advisory when the payment was due.