The main purpose of this paper is to examine the feasibility of the Twelve Years Basic Education policy that will be carried out in 2011 by the Ministry of Education in Taiwan. As one of the major policies of educational reforms in the next decade, Twelve Years Basic Education intends to establish a diversified, autonomous, and flexible educational system that will be capable of fulfilling the functions of modern education. This paper highlights several conceivable controversial issues emerged from the implementation of the new policy including cost, social equity, and testing procedure. It is suggested that strategic and technical changes should be made to strengthen the applicability of the Twelve Years Basic Education.