This report examines the need to link and integrate government fiscal expenditure and tax expenditure, focusing on the social security sector, including social welfare and health. It analyzes trends in both types of expenditure in terms of total volume, function, and programs-level allocation.
The analysis reveals that between 2010 and 2025, social security expenditures―both fiscal and tax―grew faster than total government spending. Within this sector, social welfare spending increased more rapidly than health spending, and tax expenditures grew more significantly than fiscal expenditures. These findings suggest that tax expenditure has become an increasingly important policy tool in the social security sector. Specifically, the share of tax expenditure has expanded in areas such as employment and labor, elderly support, and programs for children and families.
In response to challenges such as low birth rates, population aging, and changes in the labor market, future statistical monitoring and policy evaluation of social security tax expenditures should be conducted in conjunction with fiscal expenditures.