DUBLIN (Reuters) – Ireland collected 14% more tax in the first four months of the year than the same period in 2022, finance ministry data showed on Wednesday, as income tax receipts increased sharply again last month.
Ireland has taken in record levels of tax over the last two years and the finance ministry forecast last month that receipts would increase by another 7% this year, led by increases in the three main categories of income tax, corporate tax and VAT.
Income tax receipts were up 9% year-on-year by the end of April. Relatively little VAT and corporate tax was collected last month and the categories are 16% and 55% higher year-on-year so far in 2023.
Corporate tax, mainly paid by Ireland’s hub of large foreign multinationals, has more than doubled over the last two years and jumped sharply again in March.
The exchequer recorded a deficit of 3.7 billion euros to the end of April due to the transfer of 4 billion euros into the state’s national reserve fund. It was in surplus to the tune of 2.4 billion euros on a 12-month rolling basis.
Ireland was one of the few euro zone countries to record a budget surplus last year and the finance ministry expects it to grow to 3.5% of national income this year.
(Reporting by Padraic Halpin; Editing by Angus MacSwan)
