교육교부금 내국세 연동 폐지 가닥…‘최소 보장’ 막판 진통

The national budget for education, known as 교육교부금, is facing major negotiations over the removal of the 'domestic tax linkage' system. While the government and the Ministry of Planning and Budget have reached an agreement to abolish the system, the parties are struggling to reach an understanding on key issues such as the minimum guarantee level of the education budget and its usage.

The government aims to finalize the reform proposal at the end of the month, but the proposal's acceptance by the National Assembly is far from certain.

The government plans to introduce a new way of allocating the education budget based on the average growth rate of the economy over the past three years and the change in the school-age population. This new method will determine the education budget size for the coming year. However, the final decision on the minimum guarantee level of the education budget remains a point of contention between the two ministries.

The Ministry of Education demands that the minimum guarantee level be protected by providing a safeguard in the Domestic Tax Linkage Law, while the Ministry of Planning and Budget fears that this could turn into a new 'automatic linkage mechanism'. The Ministry of Planning and Budget proposes a growth rate of 6% for the education budget over the next 10-20 years, but the Ministry of Education insists on a more substantial increase.

This disagreement could lead to a reduction of the education budget by up to 20 trillion won compared to the current system that ties the budget to domestic tax revenues.

The main disagreement lies in the usage of the education budget. The Ministry of Planning and Budget suggests that the budget should be allocated for future strategic investments in areas such as advanced technology, lifelong learning and early childhood education. The Ministry of Education, however, argues that the budget should also be used to support existing areas like primary and secondary education.

This dispute could lead to significant controversy in the upcoming legislative process, especially if the final government proposal is not finalized.