New figures from the Department of Finance show that the amount of tax collected by the State in the first eight months of this year rose by 12.6% on the same time last year on the back of higher income tax, corporation tax, VAT and excise duty.
The latest Exchequer figures from the Department of Finance show that tax receipts of €59.8 billion were collected for the eight months to the end of August, an increase of 12.6% on last year.
Corporation tax receipts amounted to €3.7 billion in August, a jump of 108.7% on the same month last year, with most of this monthly growth due to a timing factor, with the increase offsetting a decline earlier in the year.
On a cumulative basis, corporate tax receipts of €16.3 billion are up by 28.4% on the same time last year.
Today’s figures also show that income tax receipts of €2.6 billion were up on August last year by 3.3%.
August is not a VAT-due month with receipts of €0.4 billion were collected, ahead of the same time last year by €0.1 billion. VAT receipts to the end of August amounted to €14.5 billion, 7.5% higher than the same time last year.
The figures also show that excise duty receipts of €0.5 billion were up on August last year by 9.5%. On a cumulative basis, excise receipts of €4.1 billion are up on the same period in 2023 by 14%.
Meanwhile, stamp duty receipts of €978m for the eight months to the end of August are up 7.3% on the same period last year, while capital gains tax receipts stood at €393m, down by €18m and capital acquisitions tax receipts of €208m are up by €26m on last year.
Today’s figures show that an Exchequer surplus of €3.8 billion was recorded to the end of August, compared to a deficit of €0.3 billion the same time last year, an improvement of €4.1 billion.
But the department said the annual comparison is distorted by the transfer of €4 billion to the National Reserve Fund last year.
Today’s figures also show that total expenditure to the end of August amounted to €69.1 billion.
Spending in the Department of Health is running 10% ahead of the Government’s own forecast for the first eight months of this year.
Minister for Finance Jack Chambers said the latest tax figures are evidence of the resilience of the Irish economy.
“The most notable feature of the August performance was the substantial increase in corporation tax receipts,” he said in a statement.
“While much of the increase in August relates to a technical timing factor, and offsets a decline earlier in the year, in the year-to-date this revenue stream is now well ahead of last year,” he added.
However, Minister Chambers again cautioned that these receipts are subject to “exceptional volatility”.
“Put simply, there is no guarantee that these revenue streams will remain at this level indefinitely, and it is crucial that we do not build permanent spending commitments on the back of these,” he added.
Article Source – Tax take in first 8 months 12.6% ahead of last year – RTE