Exchequer returns March 2026
Commenting on today’s Exchequer figures for March, Orla Gavin, Head of Tax at KPMG, says:
“Tax receipts for Quarter 1 are €746 million, or 3.4%, ahead of the same period last year, buoyed by strong income tax and VAT receipts underscoring a robust labour market and solid consumer demand in the first three months of the year.
Corporation tax receipts are very slightly down on last year, however there’s currently no indication of a downward trend. The trajectory of corporation tax will become clearer in May and June, as both are key months in which companies pay tax on their profits.
We could well be looking at a year of two halves with the major global economic shock currently being experienced yet to unfold in the Exchequer receipts. While Exchequer performance to date is robust, the economy continues to navigate tariff uncertainty and rising inflation from energy price shocks due to the Middle East conflict.
The Government’s €250 million support package for households and businesses impacted by soaring energy costs is a proactive and positive step, providing critical relief during a challenging period.
Any further support packages will undoubtedly start to impact the ability to allocate funds to planned Government spending, for example spending on key infrastructure projects.
It is crucial that the Government continues to prioritise investment in critical infrastructure, including in renewable energy as the volatility of global energy prices has magnified the need to reduce Ireland’s reliance on imported fossil fuels through sustained investment in renewables.”
