The tax take for the year to the end of May was 734 million euro higher than expected.
At the end of May, the Exchequer recorded a surplus of 641 million euro - that compares to a deficit of almost 3.5 billion in May 2014.
High consumer spending in the first five months of the year saw 5.7 billion in VAT collected, an increase of almost 10 percent on 2014.
Corporation tax was also up - by half a billion euro year on year.
Chambers Ireland has welcomed the positive Exchequer Returns for May and called on Government to look at cutting taxes to improve net pay for all workers and to reduce pressure on employers that cannot afford pay increases.
Speaking today, Ian Talbot, Chief Executive, Chambers Ireland said, “The Exchequer Returns so far this year have been positive with steady increases in overall tax take. These figures, combined with the ongoing reduction in unemployment numbers, demonstrate that Government do have capacity to introduce a number of focused tax reductions.”
“We recognise the need to be prudent with October’s budget but we can now afford to look at meaningful reductions to high rates of income tax and USC which have the added advantage of supporting our competitiveness,” he concluded.
