This report will classify the 162 budget accompanying laws to expenditure and revenue laws. We presented the actual effect on local finance what if the related laws are established and revised.
In this report, we analyzed 162 budget accompanying laws which were passed by the National Assembly(NA) from beginning period of 18th NA to end of May, 2009, in Korea. The result of analysis shows that the estimated total enforcement expenses of 137 expenditure laws from 2009 through 2013 will be 13.3 billion dollars and the burden of local government expenditure will increase up to 3.7 billion dollars.
We may go on from this to the point that increasing the national subsidy enterprise will increase local expenditure burden.
Also, due to the 25 revenue laws which were passed in same period, local government's tax revenue will considerably decrease in amount of 7.2 billion dollars.
Therefore, the tax revenue and burden of local government will be total of 10.9 billion dollars during 2009 to 2013 due to budget accompanying law which is passed after the 18th NA begins.
If the budget accompanying bill, which is for revenue and expenditure of budget and fund application plan, is approved and announced in the NA, it will initially increase or decrease the central government's expenditure and the national tax revenue. However, that process will be applied into the local government. The expenditure law which is added into national subsidy enterprise will not only increase the central government's expense but also the local government's expenditure. Moreover, if the bill which reduces national and local tax for revitalization of the economy will be passed in the NA, decrease will follow on the local government local tax sources as well as the tax revenue.
The report proposes to launch assessing financial obligations on local government which are mandated by enactments.
In this report, we analyzed 162 budget accompanying laws which were passed by the National Assembly(NA) from beginning period of 18th NA to end of May, 2009, in Korea. The result of analysis shows that the estimated total enforcement expenses of 137 expenditure laws from 2009 through 2013 will be 13.3 billion dollars and the burden of local government expenditure will increase up to 3.7 billion dollars.
We may go on from this to the point that increasing the national subsidy enterprise will increase local expenditure burden.
Also, due to the 25 revenue laws which were passed in same period, local government's tax revenue will considerably decrease in amount of 7.2 billion dollars.
Therefore, the tax revenue and burden of local government will be total of 10.9 billion dollars during 2009 to 2013 due to budget accompanying law which is passed after the 18th NA begins.
If the budget accompanying bill, which is for revenue and expenditure of budget and fund application plan, is approved and announced in the NA, it will initially increase or decrease the central government's expenditure and the national tax revenue. However, that process will be applied into the local government. The expenditure law which is added into national subsidy enterprise will not only increase the central government's expense but also the local government's expenditure. Moreover, if the bill which reduces national and local tax for revitalization of the economy will be passed in the NA, decrease will follow on the local government local tax sources as well as the tax revenue.
The report proposes to launch assessing financial obligations on local government which are mandated by enactments.