재정보전금제도 개편의 재원 재배분 효과와 함의

Abstract

This paper studies the fiscal redistribution effect of recent amendment of the provincial revenue sharing system proposed by government to suggest some implications on the reform. The main findings of both theoretical analysis and simulation are as follows. Firstly, some rich cities in Gyeonggi Province will be turned to the local share tax (LST) granting jurisdictions by abolishing the special provincial revenue sharing grant Secondly, as the adjustment ratio of LST increases with the abolition of the special provincial revenue sharing grant, all jurisdictions except for those in Gyeonggi Province will be benefited by the increase in the LST grants. Thirdly, there will be the redistribution of both the provincial revenue sharing grant and LST grant among jurisdictions around the nation with the revision of the sharing rule of the general provincial revenue sharing grant. Finally, the simulation result shows that the fiscal equalization effect will not be guaranteed by the amendment of the provincial revenue sharing system. These results show that one should expect the result and evaluate the reform by considering that the provincial revenue system is directly related to the national LST system through the calculation of the basis fiscal needs.