top of page
Search

€10.9bn in corporation tax collected by Revenue last year

Revenue collected €10.9 billion in corporation tax last year, according to an analysis published alongside its annual report. 


Corporation tax is now the third largest source of tax, accounting for 19% of net tax receipts. 


The top ten firms account for 40% of all corporation tax, while the top 100 companies make up 70%. 


77% of companies paying corporation tax are foreign multinationals. 7% are Irish multinationals while 16% are domestic Irish companies. 


In 2018, the most recent year for which this information is available, a total of €182.7bn in taxable profits was recorded by these companies.


90% of the companies were concentrated in five sectors: manufacturing, finance & insurance, administrative & support services, information & communications and wholesale & retail. 


According to Revenue's analysis, foreign multinationals make up 27% of employment and 44% of employment taxes. This indicates the higher level of salaries on offer at many multinationals. 


However, the research also reveals two recently introduced tax breaks for companies are not extensively used. 


The Research and Development Tax Credit was used by 1,303 companies in 2018, 202 fewer than the previous year. The cost to the Exchequer of the credit also declined from €152m in 2017 to €109m in 2018. 


There were less than ten claims in 2018 made under the 'Knowledge Development Box.' This was introduced in 2015 to encourage companies to develop new intellectual property.


It attracted a lower corporation tax of 6.25% on the profits made from any new products or services.


The number of companies claiming under this was just 12 in 2016 and 13 in 2017. It cost the Exchequer €9m in 2018. 



8 views0 comments
bottom of page