The tax take for the first three months of the year is almost 5% ahead of the same time last year. The Exchequer figures for the first quarter show €9.2 billion was collected.

The Budget deficit at the end of March stood at just over €2.3 billion - €1.4 billion lower than the same time in 2013.

The Department of Finance says there has been a solid start to the year.

The €9.2 billion in tax take in the first three months of 2014 is almost 3% ahead of projections, and 4.7% or - €415 million - more than tax revenue during the first quarter of 2013.

Income tax is up by 3.5% while VAT increased by 6.4% year on year driven by strong retail sales. Excise duties are up by 11.5%.

Public spending is down by just under 6% - or €631 million - at €10.2 billion.

While spending in the Department of Health is already 1.5% over budget after the first three months of the year.

But Finance Minister Michael Noonan says these figures show the economy is growing again.