The Botswana tax system operates on a territorial basis, and income is taxable in Botswana if the source is within Botswana. Income for services performed outside Botswana is deemed to be from a Botswana source if the services are incidental to employment in Botswana.
A resident is taxable on all income from a Botswana source in accordance with the PIT rates.
A non-resident is taxable on earned income in accordance with the PIT rates, but pays withholding tax (WHT) only at the rate of 15% for interest, commercial royalties, and management and consultancy fees, 7.5% for dividends, and 10% for entertainment fees, where such income is of Botswana origin.
Personal income tax rates
Resident individual taxpayers
|Taxable income (BWP*)||Tax on column 1 (BWP)||Tax on excess (%)|
* Botswana pula
|Taxable income (BWP)||Tax on column 1 (BWP)||Tax on excess (%)|
Local taxes on income
There are no income taxes in addition to central government taxes.