Department of Finance

Ireland has recently experienced a significant Corporation tax windfall of €9.4 billion. This amounts to approximately €5,000 for each man, woman, and child living in the State. The news has aroused great interest and debate, with many people wondering how this money should be spent or invested. The unexpected windfall has put the government under pressure to make wise decisions that will benefit the country in the long run. In this article, we will explore the root causes of this windfall and examine some of the possible ways that it could be utilized to benefit the Irish people.


The latest figures show that corporation tax has generated €24 billion in the 12 months up to March of this year, which equates to around €5,000 per person in Ireland. These funds could also pay for the building of 96,000 social homes. However, concerns have been raised about the potential one-off nature of these receipts, the volatility of multinational earnings, and the risk of having too few firms paying the majority of the taxes. Despite these concerns, corporation tax receipts continue to increase, with two of Microsoft’s subsidiaries alone paying €2.7 billion in tax last year. Receipts for the first three months of this year increased by 71% from the same period last year, and the bulge in March may be linked to Apple. The surge in corporation tax has been attributed to increased profitability of multinationals and the onshoring of intellectual property assets. The government is considering establishing a sovereign wealth fund, similar to the National Pensions Reserve Fund, to manage the excess funds. There have also been calls for a separate State pension fund to address the growing pension liability caused by the Republic’s aging population.


The corporation tax windfall in Ireland is a remarkable achievement and a testament to the hard work of the Irish people who have created such an attractive business climate. At a time when so many countries are struggling with economic woes, this news is truly invigorating for Ireland. With the equivalent of €5,000 for every man, woman, and child in the State, the opportunities for investment, growth, and innovation are enormous. We should be proud of our achievements and look forward to a brighter future for all of us.