Alarm as Department of Finance hikes corporation tax forecast by €500m

Fianna Fáil finance spokesman Michael McGrath said the move highlighted the overdependence on corporate tax receipts

Paschal Donohoe: the Minister for Finance previously disregarded extra corporation tax receipts as a ‘one-off’ Picture: Getty

The government has been warned about its “overdependence” on corporation tax after it decided to factor in an extra €500 million in corporation tax revenue this year.

Minister for Finance Paschal Donohoe had disregarded an extra €700 million in additional corporation tax payments when he was putting together the 2019 budget, saying they were a ‘one-off’ that could not be relied on.

But since then the Department of Finance has decided to increase ...