Tom Woods, head of tax at accountants KPMG, said October’s corporation tax drop of 45pc year on year was “much bigger” than anticipated. Peter Vale, tax partner at advisory firm Grant Thornton, said the slowing economy could mean even lower corporation tax receipts in the coming months. Finance Minister Michael McGrath said the Exchequer figures “present a mixed picture” of the public finances and vindicate the Government’s strategy of banking excess corporation taxes. “While income tax and Vat remain steady, demonstrating the underlying strength of our economy, we have now seen corporation tax decline for a third consecutive month. “A fundamental building block of the Government’s fiscal strategy is the assumption that a large part of the increase in corporation tax receipts in recent years is windfall in nature.

Source: Irish Independent November 04, 2023 14:25 UTC