Ireland relies on 3 multinationals for 46% of corporate tax: Fiscal council

By Olivia Fletcher

 

Ireland’s corporation tax receipts have become increasingly concentrated with just three multinational companies accounting for almost half of all of the revenue stream in 2024, according the state’s fiscal watchdog.  

The three companies — two unnamed tech giants and one pharmaceutical firm — accounted for 46% of corporation tax in 2024, or around 13 billion euros($15.4 billion), the Irish Fiscal Advisory Council, an independent body set up by the government to hold its finances to account, said in a report Thursday.  

 

It underscores just how exposed the Irish economy is to swings in some of the world’s largest companies. For years, the government has acknowledged it needs to widen its tax base, with US President Donald Trump’s vows to re-shore US multinationals’ profits only piling on pressure to find an urgent solution.

 

 

Corporation tax receipts almost doubled between 2021 and 2024, even when receipts from the Apple Inc. tax judgment of 2024 are excluded. This sharp increase was largely driven by increased payments from the top three payers, the watchdog said, noting the increased risk of more concentrated receipts.

 

“These companies continue to perform strongly, but their profits and the taxes they pay remain subject to significant uncertainty,” Brian Cronin, Economist at the Irish Fiscal Advisory Council, said. “As a result, corporation tax receipts could be substantially higher or lower than current levels in the medium term.”