South Korean legislators and policymakers are trying to devise the best possible way to impose taxes on the clergy, which has been a sensitive issue for years, official sources said Thursday.

The government has reaffirmed on numerous occasions that there should be no exceptions when it comes to paying dues and the matter should be viewed as establishing fair taxation. Despite this stance, it has also backed down under pressure or opted to delay making a decision that could cause a backlash.

In its latest attempt, the National Assembly's Strategy and Finance Committee on Tuesday voted to forward a bill on the clergy issue to the subcommittee in charge of taxation for more detailed deliberation.

This move, which could affect some 360,000 priests and monks, received the endorsement from the committee's staff directorate, which is made up of experts. The latest proposal marks a step-up from the past attempts because it clearly defines taxation based on earnings and necessary expenses, and makes clear the people who would be exempt and those that should pay taxes.

The staff directorate said the plan calling for religious groups to voluntarily submit their earnings reports once a year so they can be taxed is a step in the right direction.

The bill calls for clergy who get allowances of under 40 million won ($35,000) per annum, to have 80 percent of their income exempted, which will be classified as necessary expenses.

The exemption will be adjusted to 60 percent for people whose annual income stands at 40-80 million won, while for clergymen getting 80-150 million won, only 40 percent of the total will be viewed as expenses and exempted from taxation. The tax exemption rate will fall to 20 percent for people making more than 150 million won.

"Buddhists, Catholics, Won Buddhists and even some protestant churches have welcomed the new taxation plan," said Kwon Young-jin a senior staff director. He pointed out that giving exceptions to the clergy when everyone else is told to pay taxes, goes against the current trend.

The tax expert pointed out that public polls overwhelmingly favored taxes for the clergy.

Despite such views and the strong backing of the general public, lawmakers have been cautious on the issue.

Originally, the government wanted to revise the country's tax code in 2013 so the clergy could be taxed starting the following year, but it had to put it off because parliament, citing the need for more consultations, called for a delay in the implementation.

The government again tried to clarify the taxation for the clergy in its tax code, but lawmakers have been slow to provide support.

"If deliberation doesn't make progress during the current regular session of parliament, it will be impossible to start taxing the clergy starting in January," one National Assembly insider said.

He claimed that lawmakers are technically in support of taxing the clergy, yet are still reluctant to take the lead in the face of opposition, mainly from large Protestant churches that can exercise considerable influence on the outcome of elections in certain constituencies.

South Korea will hold its next general election in April, so lawmakers are naturally adverse to creating enemies that can organize campaigns that can make winning a re-election difficult.

Such a dilemma has caused many in parliament to urge the government to take a leading role in resolving the issue.

Rep. Kang Seog-hoon of the ruling Saenuri Party said there is a pressing need to win support from the clergy if progress is to be made.

"The role of the government is key," he said.

Rep. Yun Ho-jung of the main opposition New Politics Alliance for Democracy echoed the view, saying the issue is too difficult for lawmakers to handle and that the government must take the lead to generate support.

In response, a senior finance ministry official said that talks are under way with religious leaders to try to convince them of the need to levy taxes.

He cautioned that judging by past experiences, once parliamentary talks move forward, opposition from the clergy will mount.

"The government's stance is to actively convince opponents on the need for change and to secure public support," he said.

The Park Geun-hye administration has made a determined push to expand the tax base and deal firmly with the underground economy.

Collecting more taxes is critical with the country increasing spending on various social welfare programs. (Yonhap)