No fiscal panic yet, but figures highlight tax uncertainty and spending weaknesses

The weak revenue performance relative to Budget 2018 projections has now spread to all four key tax heads, including income tax, VAT, corporation tax and excise duties

Finance Minister Paschal Donohoe. Pic:

Published a month ago, Exchequer returns for the first quarter of 2018 were both a blessing and a curse, with key tax shortfalls and some expenditure overruns causing a few cracks to appear in the Government’s fiscal façade.

Although at the start of April, the Government finances were largely in line with projections, withtax revenues up 3.5 per cent year-on-year, the receipts were €141 million (1.2 per cent) below their target set out ...