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Botswana
Corporate - Withholding taxes
Last reviewed - 25 September 2023WHT, at the following rates, must be deducted from payments to residents and non-residents unless a DTA exists.
| Residents | WHT rate (%) |
| Dividends | 10 |
| Interest | 10 |
| Payments due under certain construction contracts | 3 |
| Payments made for livestock purchased for purposes of slaughter or feeding for slaughter | 4 |
| Non-residents | WHT rate (%) |
| Dividends | 10 |
| Interest | 15 |
| Payments due under certain construction contracts | 3 |
| Payments made for livestock purchased for purposes of slaughter or feeding for slaughter | 4 |
| Payments for royalties, management, or consultancy fees | 15 |
| Payments for entertainment fees | 10 |
All rent and commission or brokerage payments to residents or non-residents are subject to WHT at 5% and 10%, respectively, where the total payment is BWP 48,000 per annum or more.
Botswana has tax agreements with the following countries, which provide for WHT at the rates shown.
| Recipient | WHT (%) | |||
| Dividends | Interest | Royalties | Management and consultancy fees | |
| Barbados | 5/10 (1) | 10 | 10 | 10 |
| Belgium | 5/10 (1) | 10 | 8/10 (2) | 7.5 |
| China | 5 | 7.5 | 7.5 | - |
| Czech Republic | 5 | 7.5 | 7.5 | 7.5 |
| eSwatini | 10 | 10 | 10 | 10 |
| France | 5/10 (1) | 10 | 10 | 7.5 |
| India | 7.5/10 (1) | 10 | 10 | 10 |
| Ireland | 5 | 7.5 | 5/7.5 (2) | 7.5 |
| Kenya | 7.5 | 12.5 | 12.5 | 10 |
| Lesotho | 10 | 10 | 10 | 10 |
| Luxembourg | 5/10 (1) | 7.5 | 7.5 | 7.5 |
| Malawi | 5/8 (1) | 10 | 12 | 10 |
| Malta | 5/6/15 (1, 3) | 8.5 | 5/7.5 (2) | 7.5 |
| Mauritius | 5/10 (1) | 12 | 12.5 | 15 |
| Namibia | 10 | 10 | 10 | 15 |
| Russia | 5/10 (1) | 10 | 10 | 10 |
| Seychelles | 5/10 (1) | 7.5 | 10 | 10 |
| South Africa | 10 | 10 | 10 | 10 |
| Sweden | 10 | 15 | 15 | 15 |
| United Arab Emirates | 5/7.5 (1) | 7.5 | 7.5 | 5 |
| United Kingdom | 5/10 (1) | 10 | 10 | 7.5 |
| Zambia | 5/10 (1) | 10 | 10 | 10 |
| Zimbabwe | 5/10 (1) | 10 | 10 | 10 |
Notes
- The 5%/7.5%/10% rate of WHT is applicable if the beneficial shareholder is a company resident in the DTA country and holds at least 25% of the share capital in the company paying dividends (in relation to United Arab Emirates, at least 10% of the share capital in the company paying dividends). Otherwise, the other rate applies. In relation to Belgium, the 5% rate of WHT also applies if the beneficial owner is a pension fund.
- The 5% rate of WHT is applicable if royalties are in respect of the use of or the right to use industrial, commercial, or scientific equipment.
- The 15% rate of WHT is applicable where the dividends are paid by a company with a tax benefit under Malta law that is resident in Malta to a beneficial owner resident in Botswana.
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