The latest exchequer figures published today are expected to show that tax revenues boomed in the past year.
It means that the budget deficit is around €852 million rather than the €2,988 million forecast at the start of last year.
Taxes were more than 4 per cent above the anticipated level, with increases in VAT, stamp duty, capital gains tax and excise accounting for most of this.
The Minister for Finance, Brian Cowen, has said the exchequer finances are in a sound position because of the Government's economic strategy.
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He will publish the exchequer returns for 2005 at the Department of Finance headquarters on Merrion Street at 4.30pm.
PA