The Office of the Revenue Commissioners has collected €7.2 billion in tax so far in 2016, according to the Department of Finance. The Exchequer figures, released Wednesday afternoon, show that tax receipts from January and February are ahead of target.

Overall, there was a €515 million growth in the exchequer balance. There has been a 7.1% increase in takings when compared to 2015, whereas October projections had aimed for a figure of 5.8% That means Revenue has taken in €478 million more in tax than they did in the same period last year.

The Department cited both "increased tax receipts and reduced expenditure" as the reasons for the improvement in the country's balance.

Income tax receipts rose 8.7% to €3.14 billion, while debt-servicing costs dropped 28.6% to €422 million year-on-year. Improved VRT receipts thanks to rising car sales helped, as did the lower interest payments on IMF loans.