State collects €1bn extra in taxes

THE State collected €1 billion more in taxes than was expected in the first nine months of 2005 on the back of continuing buoyant consumer confidence.

While the Exchequer returns until the end of September show that income tax revenue is flat despite growing employment numbers, and that there has been a €500,000 fall in corporation tax, that is more than compensated for by increases in VAT, stamp duty, and excise duty. It suggests that consumer confidence remains high, despite the flat trend in income tax.

Senior officials from the Department of Finance, who presented the figures yesterday, said that the property market had remained buoyant and ahead of profile. They, like other analysts, had predicted that there would be a certain cooling off in the sector this year, an eventuality that clearly did not arise.