Corporate tax is propping up the government's books as Treasury released the interim government financial statements for the three months to September on Thursday.
Core crown tax revenue was $28.5 billion, $300 million more than forecast.
Corporate tax revenue added $300m to the books due to increased terminal tax revenue for the 2023 tax year.
Other direct taxes lifted revenue by $200m due to higher interest rates on deposits, positively impacting resident withholding tax.
Despite the higher-than-expected tax revenue, net debt is $5.7b higher than forecast, sitting at $81.4b.
Treasury attributed the deficit to $2.9b losses on financial assets, with a volatile market hitting the NZS Fund.
Core crown residual cash of $1.5b and crown entity borrowings of $1.2b make up the remaining debt.
Although in a deficit, the operating balances before gains and losses sat at $2.5b, $200m less than forecast.
Core crown expenses were $33.4b, $100m below forecast.
Transport and communications were $300m lower due to project delays and are expected to be drawn down by the end of the year.
Health spending was $300m lower than expected, but education was $200m higher due to primary and secondary collective agreements, which were allocated in September.
