Written answers
Tuesday, 29 July 2025
Department of Finance
Tax Data
Aindrias Moynihan (Cork North-West, Fianna Fail)
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623. To ask the Minister for Finance the projected tax revenue to be generated for 2025; the way in which this compares to the previous three years; and if he will make a statement on the matter. [40935/25]
Aindrias Moynihan (Cork North-West, Fianna Fail)
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626. To ask the Minister for Finance the current figures for tax revenue collected in the last fiscal year, broken down by category that is, income tax, corporate tax, VAT and so on; the way in which it compares to the projections made in the previous budget; and if he will make a statement on the matter. [40938/25]
Grace Boland (Dublin Fingal West, Fine Gael)
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684. To ask the Minister for Finance the contingency plans in place should corporate tax receipts from US multinationals decline significantly; and if he will make a statement on the matter. [42591/25]
Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 623, 626 and 684 together.
At the time of the Annual Progress Report published at the beginning of May – the latest set of fiscal projections by my Department – tax revenue was forecast at €101.5 billion. Excluding receipts arising from the Court of Justice of the European Union (CJEU) ruling, tax revenues were projected at €99.8 billion. This represents an increase of €2.7 billion on 2024 (also excluding CJEU receipts), an increase of €11.7 billion on 2023 and €16.7 billion on 2022. My Department will update its fiscal projections in the autumn as part of Budget 2026.
The 2024 tax revenue outturn, excluding CJEU revenues, and its comparison to projections published a year previously in Budget 2024, is set out below:
| €m | Outturn 2024 | Budget 2024 Projection | Variance € | Variance % |
|---|---|---|---|---|
| Income tax | 35,070 | 34,300 | 770 | 2.2 |
| Corporation tax | 28,115 | 24,490 | 3,625 | 14.8 |
| VAT | 21,835 | 21,760 | 75 | 0.3 |
| Excise duty | 6,275 | 6,230 | 45 | 0.7 |
| Capital Gains Tax | 1,705 | 1,905 | (200) | (10.5) |
| Stamp duty | 1,695 | 1,755 | (60) | (3.4) |
| Motor tax | 930 | 870 | 60 | 6.9 |
| Capital Acquisitions tax | 855 | 660 | 195 | 29.5 |
| Customs | 595 | 605 | (10) | (1.7) |
| Total | 97,075 | 92,575 | 4,500 | 4.9 |
The bulk of the variance from the Budget 2024 projections was driven by a corporation tax over-performance (even when CJEU receipts are excluded). The volatility of this highly concentrated revenue stream has long been flagged as a key risk to the sustainability of our public finances.
In order to mitigate this vulnerability, Government established the Future Ireland Fund and the Infrastructure, Climate and Nature Fund. These funds will enable Government to invest a portion of windfall receipts, i.e. receipts not linked to the domestic economy, to help build up our fiscal buffers to prepare for the future structural and fiscal challenges that we know are on the horizon.
Government has set out its overall budgetary policy for Budget 2026 in the Summer Economic Statement published last week.
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