Written answers

Thursday, 12 November 2015

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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83. To ask the Minister for Finance the amount of corporation tax collected from multinational companies from January to October 2015 from the top ten paying named sectors, by sector, each in tabular form; and if he will make a statement on the matter. [39979/15]

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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84. To ask the Minister for Finance the amount of corporation tax collected from multinational companies from January to October 2014 from the top ten paying named sectors, by sector, each in tabular form; and if he will make a statement on the matter. [39980/15]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 83 and 84 together.

Given the importance of Corporation Tax receipts in November, any sectoral or other analysis on receipts for the year to date, risks being misleading or incomplete.

I am informed by the Revenue Commissioners that the information currently available in respect of Corporation Tax payments from multinationals for the period January to October 2015, is highly tentative and subject to revision.  It may be useful to note that it is estimated that around 80% of Corporation Tax receipts in 2014 and to date in 2015 was paid by multinationals.

The two most significant sectors in terms of Corporation Tax receipts for the year to date are ICT and pharmaceuticals.  A full breakdown of 2015 payments by sector is not readily available at present. However, the Deputy may wish to note that a wide range of statistical information is available on the Commissioners' statistics webpage at .  

In addition, a breakdown by relevant tax-head for the various sectors in respect of each completed year is available on the Revenue Commissioners website at the following link:

.

Figures for 2014 Corporation Tax payments are available and updates for 2015 will be published in due course.

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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85. To ask the Minister for Finance the reasons behind the €800 million increase in corporation tax received in October 2015; the sectors in the multinational area responsible for the increase; the amount each named sector has contributed to the increase; and if he will make a statement on the matter. [39981/15]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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As I outlined in my previous reply to the Deputy on 10 November 2015, a negative amount of €3 million was profiled in respect of corporation tax receipts in October 2015.   The rationale for the minus €3 million was that repayments expected in October were anticipated to be slightly larger than forecast collection.  These repayments had been identified to the Revenue Commissioners when the profiles were being produced.  However, the repayments did not materialise as expected.  This accounted for over €200 million of the very strong over-performance recorded in October. 

In addition, there were also unexpected payments amounting to €350 million from a number of large companies due to better trading conditions and a number of early payments which, were expected in November and December, totalling €200 million.

Corporation tax receipts are highly concentrated in the multinational sector. Generally, the largest contributing sectors to corporation tax receipts are the Information, Communication and Technology sector and the Pharmaceutical sector.  However, it is important to point out that strong performance recorded in corporation tax receipts this year is relatively broad based.   For example, there has been an increase of over 20 per cent in the number of companies paying between €100,000 and €1 million.  In addition, there has been an increase of over 20 per cent in the amount of tax paid by medium sized companies.  Further data in respect of the breakdown of corporation tax receipts will be published as usual by the office of the Revenue Commissioners in 2016.  

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