Steady income tax growth to end-February; expenditure represents a significant investment in public services – Tánaiste Simon Harris & Minister Jack Chambers
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Ó: An Roinn Airgeadais; An Roinn Caiteachais Phoiblí, Bonneagair, Athchóiriúcháin Seirbhíse Poiblí agus Digitiúcháin
- Foilsithe:
- An t-eolas is déanaí:
- Tax revenues to end-February amounted to €13.6 billion, up by 1.1 per cent on February 2025.
- Of this:
- Income tax receipts amounted to €6.0 billion, up by €0.3 billion (5.4 per cent);
- Corporation tax receipts of €0.9 billion, were down by €0.2 billion (21.8 per cent) on 2025 due to a one-off payment which boosted receipts in 2025
- Cumulative VAT receipts of €4.7 billion were €0.2 billion (3.9 per cent) higher than February 2025.
- Total gross voted expenditure to end-February amounted to €17.5 billion, €0.9 billion (5.2 per cent) ahead of February 2025.
- An Exchequer deficit of €1.8 billion was recorded to end-February. This reflects the earlier transfers to the Future Ireland Fund and Infrastructure, Climate and Nature Fund.
An Exchequer deficit of €1.8 billion was recorded in February, a deterioration of €2 billion on last year. The year-on-year decline largely reflects the timing of transfers to the Future Ireland Fund (FIF) and Infrastructure, Climate and Nature Fund (ICNF).
On the revenue side total underlying tax receipts for the first two months of the year amounted to €13.6 billion, a €0.1 billion (1.1 per cent) increase on 2025.
Income tax receipts in February of €2.9 billion were ahead of last year by €0.3 billion (10.3 per cent). Cumulative income tax receipts of €6.0 billion stand €0.3 billion (5.4 per cent) ahead of 2025.
February is not a VAT-due month, with relatively modest receipts of €0.5 billion collected. On a cumulative basis, VAT receipts of €4.7 billion are €0.2 billion (3.9 per cent) ahead of last year.
February is not typically a key month for corporation tax receipts; receipts of €0.9 billion were €0.2 billion lower than in February last year, which reflects a once-off payment which boosted last year’s receipts.
Total gross voted expenditure to end-February amounted to €17.5 billion, €0.9 billion (5.2 per cent) ahead of February 2025.
Overall, an Exchequer deficit of €1.8 billion was recorded to end the second month of the year, down by €2.0 billion on last year largely due to transfers to the FIF and ICNF.
Tánaiste and Minister for Finance, Simon Harris T.D. said:
“February is typically a quiet month for tax revenues, but the growth in income tax is a positive reflection of the strength of our economy. The March returns, which will include the first significant month of the year for corporation tax payments, will provide a better insight into the performance of the public finances.
“This is a time of unprecedented global uncertainty, and it is more important than ever that we continue to reinforce our economic resilience by running surpluses, making transfers into the two funds, and keeping public spending under control as set out in our Medium Term Fiscal & Structural Plan”.
The Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, Jack Chambers T.D. said:
“This year’s total expenditure ceiling of €117.8 billion represents a significant investment in public services for our people. This funding is supporting frontline health and social protection services, delivering school places, strengthening disability services, and providing investment to support the delivery of housing.
At end-February, €17.5 billion has been spent across Departments to progress these commitments. Value for money remains a priority for this Government and this year’s Budget places a strong emphasis on the importance of delivery, efficiency and reform.”
ENDS