Government Revenue and Expenditure

• sources of taxation revenue

  • PAYE
  • PRSI
  • USC
  • VAT
  • DIRT
  • Corporation Tax
  • CGT
  • CAT
  • Customs Duties
  • Excise Duties
  • Stamp Duty
  • Motor Tax
  • LPT
  • VRT
• other sources of revenue

  • privatisation
  • dividends
  • european union
• current income


  regular day-to-day income
• capital income


  long-term or once-off income
• current expenditure


  the regular day-to-day spending
• capital expenditure


  long-term or once-off expenditure
• national budget


  the government's budget, with expected income and revenue for the fiscal year
• balanced budget


  where planned revenue is equal to planned expenditure
• budget surplus


  where planned reveneu is greater than planned expenditure
• budget deficit


  where planned revenue is less than planned expenditure
• what might the government do with a budget surplus

  1. pay off national debt
  2. decrease taxation
  3. increase spending
  4. encourage business start-ups
• what might the government do with a budget deficit

  1. increase borrowing
  2. increase taxes
  3. decrease spending
  4. privatisation
• positive impacts of taxation

  • providing much-needed services
  • creating Irish jobs and promoting entrepreneurship
  • protectiong out environment
• negative impacts of taxation

  • some taxes affect the less well off more than the well off
  • tax evasion
  • tax can be an extra cost to organisations and businesses