-
5,345
-
The 25 autonomous districts in Seoul is no exception for the problem of the gap of financial power though their financial conditions have been receiving healthy. In addition, the new property tax scheme took effect in 2005 is expected to amplify the gap of financial power between the 25 autonomous districts in Seoul. Accordingly, Seoul Metropolitan city and its 25 autonomous districts will lessen the gap of financial power between the districts through the operation of both the sharing system of the property tax and tentatively named “a balanced grant of development.” Empirical results show that the introduction of these systems brings the equalization effects of both the property tax and tax revenue between the districts in Seoul. However, complementary measures that correct the distorted structure of tax revenue, establish a scheme expanding the independent revenue resources, and so on, should be constantly considered in order to make it clear the aims of introducing the systems.
