The State has recorded a deficit of €1.1 billion up to the end of April, new figures from the Department of Finance show.
It comes despite tax revenue being more than €5 billion ahead of the same period last year.
However, the deficit recorded last month compares to the €7.6 billion deficit in 2021.
Income tax receipts were up almost 20 per cent on an annual basis at €9.5 billion to end-April.
Meanwhile, VAT receipts amounted to €6 billion, up almost 30 per cent on the same period last year.
Companies handed over €2.3 billion in corporation tax, an increase of €1.7 billion on 2021 figures. However, the department noted that this was, in part, due to the timing of payments.
Total gross voted expenditure to end-April amounted to €25.3 billion, €1.4 billion or 5 per cent below 2021 numbers.
Tax receipts continue to record strong growth; €25.3 billion spending underpins supports to public services and the economy – Ministers @Paschald & @mmcgrathtd
Read more: https://t.co/SIC0FIkOiW pic.twitter.com/jt8fEfDuKt— Department of Finance (@IRLDeptFinance) May 4, 2022
According to the department, health expenditure to end April amounted to €7 billion, up €0.6 billion on the same period in 2021.
Speaking on the release of the figures, Minister for Finance Paschal Donohoe said the annual comparisons are distorted due to a number of factors.
"In particular the level 5 restrictions that were in place last year, the underlying trends are a positive sign of the strength of the economic recovery," Mr Donohoe said.
"It is also important to stress that today’s figures are, of course, backward looking. We expect economic activity and the public finances to be significantly affected by the war in Ukraine.
"We have faced many challenges in recent years – Brexit, Covid-19, and now war in Europe. In each one of these, this Government has demonstrated our ability to be agile and responsive.
"We know that there are difficult times ahead, but we also know that we face them from a strong position."
Minister for Public Expenditure Michael McGrath also noted that the department is continuing to respond to the Ukrainian refugee crisis.
"[Some] 27,000 refugees have arrived in Ireland, and they are being provided with social welfare, health, education and accommodation supports where needed," Mr McGrath said.
"While costs are still being determined as number of arrivals increase, it is expected that these can be met from within the overall Government Expenditure Ceiling in 2022.
"The recently published Stability Programme Update provided for funding of €3 billion to address the crisis in 2023.
"These costs will be examined as part of the Summer Economic Statement and Mid-Year Expenditure Report."
