Tax receipts in Ireland have seen a significant increase in the first three months of 2025, rising by 8.9% compared to the same period last year, according to the latest figures from the Department of Finance. By the end of March, the total tax take stood at €21.9 billion, excluding a €1.7 billion settlement payment from Apple related to a European Union court ruling.
When including the €1.7 billion payment, which was part of the Court of Justice of the European Union (CJEU) ruling requiring Apple to repay €14 billion in back taxes to Ireland, the overall tax receipts for the quarter reached €23.6 billion.
Income tax receipts rose by 3.6%, totaling €8.2 billion for the period, while corporation tax saw a remarkable jump, climbing to €4.8 billion, an increase of €2.3 billion. However, €1.8 billion of this was a one-off payment, leaving €3 billion in corporation tax receipts for the quarter, up €600 million from the same period in 2024.
Other revenue sources also showed positive growth. VAT receipts were up 6.8%, reaching €7.6 billion, while Excise Duty receipts increased by 6.6%, totaling €1.5 billion.
On the expenditure side, Ireland’s total spending for the first three months of the year amounted to €27.2 billion. Of this, €24.8 billion was allocated to gross voted expenditure, an 8.8% increase compared to the same period last year. Non-voted expenditure stood at €2.4 billion, reflecting a decrease of €200 million from 2024.
The Exchequer recorded a surplus of €4.1 billion by the end of March, compared to a surplus of €300 million in the same period last year. However, excluding the Apple-related payment, the surplus was €900 million.
Minister for Finance Paschal Donohoe remarked that Ireland’s economy is currently in a position of strength due to prudent management of public finances. While he acknowledged the potential challenges ahead, especially following the announcement of US tariffs, he emphasized that there were no immediate signs that Ireland’s tax revenue forecast for 2025 would need to be revised.
Donohoe stated that any impact from the US tariffs would likely be felt first through consumption taxes, with effects on payroll taxes being more medium-term. He also noted that any changes to corporation tax receipts would depend on global economic developments.
“We are not seeing any of those signs, and we certainly have no reason at the moment to change our forecast regarding how much tax we believe we will collect in 2025,” Donohoe told reporters. Updated forecasts are expected later this month, but the minister remains optimistic about Ireland’s economic outlook despite the uncertain global environment.
