Botswana

Individual - Other taxes

Last reviewed - 24 January 2020

Social security contributions

There are no social security taxes or contributions in Botswana.

Capital gains taxes

Capital gains for individuals are considered to be from a separate source and are taxed on the basis of the table below.

Capital gains on the disposal of immovable property and marketable securities (including shares in private companies) are taxable in Botswana if the source is in Botswana. For capital gains purposes, the cost of immovable property is adjusted to take account of inflation. For other gains, no inflation allowances are granted, but the taxable gain is set at 75% of the total gain.

Taxable income (BWP) Tax on column 1 (BWP) Tax on excess (%)
Over Not over
0 18,000 - 0
18,001 72,000 - 5
72,001 108,000 2,700 12.5
108,001 144,000 7,200 18.75
144,000   13,950 25

Consumption taxes

Value-added tax (VAT)

VAT is imposed on taxable supplies and the importation of goods into Botswana. The standard VAT rate of 12% applies to all supplies that do not qualify for an exemption or are not zero-rated.

Property taxes

There are no property taxes in Botswana.

Capital transfer tax (CTT)

CTT is levied on the transfer (by way of inheritance or gratuitous disposal) of tangible or intangible, movable or immovable, property at 12.5%, subject to certain exemptions. The donee, or person to whom property is transferred by way of inheritance, is liable for CTT.

Transfer duties on immovable property

Transfer duty is levied at 5% of the value of immovable freehold and leasehold property. The first BWP 200,000 of such value is exempt from transfer duty in case of transfer to a Botswana citizen.

In the case of agricultural property, transfer duty is levied at the rate of 30% for a non-citizen. This duty is 5% in the case of a Botswana citizen.