Tax revenues to end-April up over 4 per cent to €28bn
Tax revenues to end-April amounted to €28 billion, up by 4.2 per cent on April 2025, new Exchequer figures show.
Of this, income tax receipts amounted to €12.4 billion (up 5.7 per cent); corporation tax receipts of amounted to 3.5 billion (up 8.6 per cent); and cumulative VAT receipts amounted to €8.3 billion (4.5 per cent),
The total gross voted expenditure to end-April amounted to €36 billion, which is €2.9 billion, or 8.9 per cent, ahead of April 2025.
An Exchequer deficit of €4.7 billion was recorded to end-April. the Department of Finance said this reflects the fact that the year to date has seen transfers to the Future Ireland Fund (FIF) and Infrastructure, Climate and Nature Fund (ICNF) totalling €3.3 billion.
Tánaiste and Minister for Finance, Simon Harris, said the Exchequer returns are "encouraging" and highlight Ireland's "economic resilience during a period of deep global uncertainty".
Similarly, accounting firm Azets Ireland said the April Exchequer returns point to "an economy that remains resilient despite a difficult global backdrop".
The firm's head of tax, Alma O’Brien, said: “Income tax receipts remain robust and have grown by 4.8% on last year’s figure – supported by sustained employment growth – while cumulative VAT returns of €8.3 billion this year reflect steady domestic demand.
"These indicators show that the domestic economy continues to grow, even as businesses and households grapple with an energy shock and escalating costs.
“The April returns reflect, in part, the impact of the Government’s fuel support measures, with excise duty receipts down 3.6% on the same month last year. This effect is likely to become more pronounced in the May returns.
“While these interventions have provided short-term relief, particularly for SMEs in the agriculture and logistics sectors facing acute cost pressures, they also highlight the scale of the challenge in managing rising inflation without undermining the public finances.
“Corporate tax receipts of €3.5 billion are positive, but as a country we need to be cautious. A clearer picture will emerge in June when multinational top-up payments are made under the OECD global tax agreement.
"The concentration of corporate tax revenues continues to present a risk, reinforcing the need to support indigenous business growth to ensure long-term fiscal stability."
O'Brien said that, while the headline Exchequer figures remain strong, they "do not yet fully reflect the mounting pressures facing businesses".
"Rising energy and input costs are squeezing margins, with many SMEs now reaching a critical point.
“As inflationary pressures persist and the prospect of further interest rate increases looms, increasingly dark clouds are on the horizon.
"Higher borrowing costs and weaker global growth could weigh on both businesses and the public finances in the months ahead. While fiscal headroom has been strong to date, there are signs that this flexibility is beginning to narrow.”
