The Department of Finance and the Department of Public Expenditure and Reform have published the Fiscal Monitor for January 2025 which confirms an Exchequer surplus of €3.6 billion in January. This compares to a surplus of €2.3 billion recorded for January 2024.
Tax receipts collected in January were €10.1 billion, which was €2.3 billion ahead of the same period last year. Excluding the once off receipts arising from the judgement of the Court of Justice of the European Union (CJEU) in the Apple State aid case, total receipts of €8.4 billion were collected in January, ahead by €0.6 billion on the same period last year.
Income tax receipts of €3.0 billion were recorded in January, €0.1 billion ahead of January 2024. Although January is not generally a significant month for corporation tax, receipts of €1.8 billion were collected in the month which was an increase on January 2024 by just under €1.8 billion, due almost entirely to once-off receipts arising from the CJEU ruling.
January is a VAT-due month and generally the strongest VAT month of the year, encompassing the Christmas trading period. Receipts of €4.1 billion were collected in the month, up by 5.8 percent compared to January 2024. Excise duty receipts of €0.5 billion were collected in January, up by €27 million on the same month last year.
Commenting on the figures, Minister for Finance, Paschal Donohoe said
“Today’s figures show that tax revenues continued to demonstrate steady growth at the start of the year. In particular, the ongoing expansion of income tax and VAT receipts are a positive indicator of the fundamental strength of our economy.
However, there are clear risks ahead. As a small open economy, Ireland is particularly vulnerable to changes in the global economic environment. This underlines the importance of continuing to pursue a balanced and sustainable fiscal policy. That is why Government has committed to using the once-off proceeds from the CJEU decision to improve our stock of infrastructure, as well as investing windfall tax revenues in the Future Ireland Fund to prepare for future challenges.”
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