Wednesday, 8 May 2019

Ceisteanna (114)

Michael McGrath

Ceist:

114. Deputy Michael McGrath asked the Minister for Finance the amount of corporation tax receipts forecast at the beginning of each of the years 2010 to 2018 to be collected during each year; the amount actually collected for each year; the difference between the figures in tabular form; and if he will make a statement on the matter. [18642/19]

Amharc ar fhreagra

Freagraí scríofa (Ceist ar Finance)

The information the Deputy requests is set out in the table below. I would like to reiterate the inherent volatility and unpredictability of Irish corporation tax revenues which is partly due to the concentration of receipts among a small number of firms. This feature of our corporation tax base is widely recognised as creating a large exposure of revenue to firm- and sector-specific developments. This represents a vulnerability that we must be conscious of and, accordingly, increases the premium attached to policy caution.

Year

Forecast (€ millions)

Outturn (€ millions)

Difference (€ millions)

2010

3,160

3,924

764

2011

4,020

3,520

-500

2012

3,770

4,216

446

2013

4,135

4,270

135

2014

4,380

4,614

234

2015

4,575

6,872

2,297

2016

6,615

7,351

736

2017

7,715

8,201

486

2018

8,504

10,385

1,881

Finally, a Tax Forecasting Methodology Review Group has been established to assess my Department’s current tax forecasting processes, including Corporation Tax. The group includes representation from my Department, the Revenue Commissioners and the Central Bank. The group’s report will be published by end-year.