Exchequer returns - October 2025
Commenting on exchequer figures for October, Orla Gavin, Head of Tax at KPMG, says:
Today’s exchequer returns once again reflect a strong performance with underlying tax receipts up €2.4 billion or 3.2% on last year. Corporation Tax, Income Tax and VAT remain the key drivers of this robust growth, and the upwards revision of recent economic forecasts suggests that this momentum will continue in the near term - defying earlier expectations of a slowdown.
The Government’s Economic and Fiscal Outlook, published alongside last month's Budget 2026, predicts that corporation tax revenues for this year will be €4.6 billion above its Spring projections. These forecasts are driven by June’s strong corporation tax receipts which are seen as a reliable indicator that November, traditionally the strongest month, will also yield impressive results.
The Department of Finance now estimates an extra €3 billion in receipts for 2026 from the 15% rate introduced under BEPS 2.0. However, the implementation of BEPS brings considerable complexity to Ireland’s corporation tax regime. It is therefore essential that Ireland remains competitive and the Government moves quickly on its plans to focus on tax simplification.
