Tax expert expects Irish shoppers to splurge once lockdown lifts
Irish consumers are likely to splurge on products when this lockdown lifts, according to a tax expert.
Latest figures show Ireland’s public finances continue to fall into the red because of the pandemic.
The latest exchequer returns show the country’s deficit has risen to just over 14 billion euro in February while vat receipts are down 13 per cent when compared to this time last year.
Peter Vale from Grant Thornton says people aren’t spending significantly because they can’t.
“It doesn’t look like we’re going to exit this particular lockdown for another couple of months, clearly there’s that inability to spend so that translate into lower VAT receipts.
“Until the economy has fully reopened, you’re just not going to see that.
“That said, savings are high, I think we will see a mini splurge in spending at some point but that could be later in the year, and in fact we might not even see the VAT results of that until the early stages of next year.”