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Dublin: 8°C Thursday 29 October 2020

Exchequer returns: VAT receipts nearly €250 million behind target

But the deficit for the first eight months of this year was over €4 billion less than it was in the first eight months of 2012.

Image: Niall Carson/Press Association

THE LATEST EXCHEQUER returns show that VAT receipts in the month of August were nearly 28 per cent or €65 million down on the target for the month.

Value-added-tax, considered one of the big four of the government’s revenue streams, was €245 million or 3.5 per cent behind target for the first eight months of this year.

By contrast income tax recorded a surplus for the month with €9.70 billion collected in the first eight months of the year, but this was slightly down on the expectation of €9.76 billion.

The Department of Finance said in a statement this evening that tax revenues to the end of August remain in line with expectations, down €57 million on expectations for the month but up €834 million compared to the same period last year.

Net voted expenditure was €644 million under target and down by €1.6 billion on the same period last year.

An Exchequer deficit of €7.3 million was recorded at the end of August, an improvement of over €4 billion compared to last year. There was an Exchequer deficit of €2.1 billion for the month of August.

Of the other ‘big four’ taxes, corporation tax receipts were €2 million ahead of profile with receipts up 6 per cent when compared to last year.

Excuse duties were at €2.9 billion to the end of August or 4.1 per cent behind target. Excises recorded a shortfall in August of €26 million or down 6.3 per cent on the expectation for the month.

Customs, Capital Gains Tax, Capital Acquisitions Tax and Stamp Duty were collectively 1.2 per cent or €11 million below target at the end of August.

The total amount collected for the local property tax so far is €191 million with €12 million of this collected in August.

Last month: Irish Life sale boosts exchequer surplus in July

Read: Labour TD says protect social welfare, but FG TD says spending is not sustainable

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Hugh O'Connell

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