[단독] Self-employed persons receive up to 7 million won in disaster support by dividing into 5 grades

Also reviewed the plan to apply collectively to the bottom 40% of income

If the demand is confirmed, it seems that the first extra 22 trillion won

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The government and the ruling party are reviewing a plan to divide small business owners and self-employed persons into five levels and pay up to 7 million won for the fourth disaster support. The ruling party also demanded that the Ministry of Strategy and Finance provide subsidies to the bottom 40% of income. If the job support budget and vaccine purchase are added, the size of the first supplementary budget for this year is expected to reach ’22 trillion won + α’.

According to the Democratic Party along with the Ministry of Science and Technology on the 21st, the party government is discussing the plan to organize the first supplementary administration in 2021. First, the party government has tentatively agreed on a plan to divide small businesses into five levels and pay the fourth disaster support fund. When the third subsidy was paid, the government divided small business owners into △businesses prohibited from grouping (240,000 people), △businesses restricted to business (810,000 people), and △general businesses (1.75 million people) and paid 3 million to 1 million won each.

However, this time, the group ban and the general sector are supported by subdividing into two classes each according to the extent of the decrease in sales. For example, karaoke, a business that is prohibited from gathering, is divided into two classes according to the extent of the decrease in sales. Restricted businesses such as cafes receive subsidies regardless of the level of decline in sales, and the base line for subsidy payments for general businesses is raised from less than KRW 400 million to KRW 1 billion in annual sales.

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The party government, however, could not reach an agreement on the upper limit of the amount of disaster assistance, but the ruling party is poised to raise the maximum amount to 7 million won. The Ministry of Information and Transportation recently reported a plan to pay up to 5 million won to the prohibited industry, which paid 3 million won in the third round, but the ruling party ahead of the election again raised it. The amount required for disaster support according to the Ministry of Information and Transportation is 6.200 trillion won, but when the ruling party’s 7 million won payment is confirmed, the required budget will increase to 10 trillion won.

It has also been confirmed that the ruling party is also pursuing a plan to provide a lump sum subsidy (a total budget of 10 trillion won) to the lower 40% of income. Following the consultations held by the Party Administration to oppose this, it is expected that there will be a fierce battle between the Party governments over the supplementary administration this week. The party administration plans to finalize the first supplementary bill this year on the 28th.

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The government’s decision to give subsidies by dividing small business owners and self-employed into five grades is interpreted with the intention of strengthening the’selection payment’ effect by tightening the grades while expecting the’wide and thick’ support effect ordered by President Moon Jae-in. However, if the ruling party raises the maximum amount of disaster support to 7 million won with a sincerity, and the gap in the support fund widens, controversy is likely to rise.

The government gave the third disaster support fund for the damage of Corona 19 and divided it into three categories: a collective ban (3 million won), a business restriction (2 million won), and a general business (1 million won), with little difference by grade. For example, the difference in subsidy between a karaoke room, which was not open at all, and a convenience store (general business) that were able to operate normally, was only 2 million won. Some of the business restricted businesses, such as restaurants, increased sales due to special delivery, but not a few cases received subsidies.

However, if the group-prohibited sector and the general sector are divided into two groups according to the extent of the decrease in sales, and the subsidy grade is expanded to five, the subsidy gap will widen. Assuming that the maximum 7 million won payment plan promoted by the ruling party is applied, the difference between the 1st grade (7 million won) and the 5th grade (1.5 million won) widens up to 5.5 million won. Even with the plan prepared by the Ministry of Science and Technology, the first-class small business owners receive 5 million won, and the 5th grade only receives 1 million won, a difference of 4 million won. This means that the support system has been redesigned to give thicker compensation to businesses in the prohibited business such as karaoke. An official from the Ministry of Information and Transportation explained, “We are in consultation with the party under the principle that more benefits will be given to those who suffered more damage.

Accordingly, 12 facilities and businesses including karaoke, gym (indoor group exercise facility), PC room, buffet restaurant, hunting pot tea (entertainment bar), etc., can receive a support fund of up to 7 million won depending on the result of the party meeting and the scale of reduction in sales. Seems to be. However, the criteria for the prohibition of grouping and the reduction in sales by dividing the’grade’ within the general industry have not yet been established, which could lead to controversy.

The outline of the plan for expanding the target for disaster subsidies is also being revealed. In the third subsidy, the government provided support funds to a total of 2.8 million people, including 240,000 prohibited business types, 810,000 business restricted businesses, and 1.75 million general business types. At this time, the standard of sales of 1 billion won was applied to the businesses that are prohibited from collective and restricted operations, while the general industry was backfired based on annual sales of less than 400 million won. For example, in the case of convenience stores, cigarette sales with little margin reached 45% of the total, and many were excluded from support.

Accordingly, the government plans to raise the standard of sales of general industries to less than 1 billion won when the 4th disaster subsidy is paid. However, the sales reduction criteria remain the same. Even in general industries with sales of less than 1 billion won, if the sales increase or are similar compared to the previous year, it means that they cannot get support. If the sales standard is raised, the number of beneficiaries such as convenience stores and large franchises will increase by more than 1 million, according to the related industry.

Separately, a plan to ease the standard of subsidy for small businesses with less than 10 employees in the manufacturing industry and less than 5 in the service industry is being reviewed. A large number of small business owners employing five or more people were excluded from the subsidies, but the party government is gathering opinions toward providing subsidies to encourage employment retention. A plan to provide bypass support by increasing employment subsidies instead of disaster subsidies is also discussed.

The street vendors, which have been controversial so far, have been caught in the direction of not giving subsidies. The ruling party continued to argue that “people who are missing due to lack of tax and tax data like street vendors should also be included”. However, due to the nature of most of the street vendors who trade in cash, it is difficult to specify the amount of change in sales and the amount of loss.

Disaster subsidies for small businesses have been prepared in a large framework, but variables remain in terms of the size of the supplement. This is because the ruling party is requesting the payment of lump sum subsidies to those in the lower 40% of their income in the Ministry of Economy, Trade and Industry. It is known that the ruling party insisted on creating an additional budget of 10 trillion won in addition to this. If the bottom 40% of domestic income is about 10 million households, about 1 million won per household is paid.

However, the Ministry of Science and Technology feared that if such a plan was confirmed, the basic purpose of’selection support’ would collapse, and the equity controversy surrounding’income boundary households’ that arose at the time of the first subsidy payment last year could explode again. Instead of reducing or subtracting the target of lump sum subsidies, some governments are also proposing a plan to increase the amount of support for small businesses as requested by the Democratic Party.

/ Sejong = Reporter Seo Il-beom [email protected]

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