State's over-reliance on multinational tax receipts poses a risk

€1 in every €8 collected by the State is sourced from a very small number of highly profitable firms

Minister for Finance Paschal Donohoe speaking at Government Buildings following the publication of the annual taxation report. Photo: Damien Storan

An external shock to Ireland's multinational sector would have serious repercussions for the country's finances as a large share of the country's income tax and corporate tax receipts comers form just a small number of large companies.

The Annual Taxation Report published today shows that one in every four euros taken in tax is now sourced from the corporate sector either through the income tax from the sector's employees or through corporation tax.