The economy is in good shape despite a fall in corporation tax receipts for a third consecutive month.

So far this year, €15.7 billion in corporation tax has been paid to the State, which is €400 million less than in the same period last year.

Economist Austin Hughes said tax receipts, excluding corporation tax, remain buoyant.

“[It’s] a disappointing but not surprising move in corporation tax,” he said.

“Elsewhere we’re looking reasonably healthy in terms of tax receipts and it’s likely that the Government forecasts for the full year will probably be exceeded.

“In other words, tax revenue will be a little better than expected.”

Cost of living crisis

Although the State’s finances are in good shape, Mr Hughes said the same cannot be said for many Irish people’s personal finances.

“We are starting to see the concerns about cost of living pressures build again as we come into the winter and people focus on heating,” he said.

“It is a sign that the economy is still holding in there, that growth is really solid, it’s not soaring but it’s solid and that’s… very positive.”

The total tax take amounted to €66.5 billion euro in the first ten months of the year - €2.5 billion euro more than at he same time last year.

Main image: Euro banknotes.