Irish taxation revenues fall by 3bn euros

Date: 27th March 2009

Projected taxation revenues in the Republic of Ireland have fallen by three billion euros in just over two months, it has been revealed.

Speaking to the Dail yesterday (March 26th), minister for finance Brian Lenihan disclosed that tax take for 2009 would be down to 34 billion euros from the 37 billion euros forecast in January.

Taoiseach Brian Cowen highlighted the size of the challenge facing the Irish government at its emergency budget, due to be held on April 7th, as the country plunges further into recession.

He commented: "Our tax system needs to change. We need a better tax system to meet our newer circumstances.

"It is clear that we will see a new tax system for the future to meet the requirements of today and tomorrow."

He added that any changes made to taxation in Ireland would be to ensure "sustainable revenues for the country".

The European Commission announced earlier this week that it would be giving the republic until 2013 to reel in its budget deficit to below three per cent of gross domestic product.