Taxation of international executives
Are there social security/social insurance taxes in Botswana? If so, what are the rates for employers and employees?
There are no social security taxes in Botswana.
Are there any gift, wealth, estate, and/or inheritance taxes in Botswana?
See Other Taxes below.
Are there real estate taxes in Botswana?
See Other Taxes below.
Are there sales and/or value-added taxes in Botswana?
There is a 12 percent value-added tax payable on most goods and services consumed in Botswana. Employee services provided to an employer do not give rise to VAT.
Are there additional taxes in Botswana that may be relevant to the general assignee? For example, customs tax, excise tax, stamp tax, and so on.
Capital transfer tax is payable by individuals upon the disposal by way of inheritance, donation, or other gratuitous disposal of property.
Capital transfer tax payable by the donee, including a trustee to whom property has been disposed for the benefit of a beneficiary and is based on a sliding scale. The sliding scale values vary from 2 percent to 5 percent based on the net aggregate gains realized on the disposal of the property.
Property, which is liable to capital transfer tax, is defined as any right to movable or immovable, corporeal, or incorporeal property wherever situated.
The following disposals of property are exempt from capital transfer tax:
Capital transfer tax payable by individuals is calculated based on the following rates.
Capital transfer tax rates
|Net aggregate gains||Tax payable|
|From BWP||To BWP|
|0||100,000||BWP0 + 2% over BWP0|
|100,001||300,000||BWP2,000 + 3% over BWP100,000|
|300,001||500,000||BWP8,000 + 4% over BWP300,000|
|500,001||Over||BWP16,000 + 5% over BWP500,000|
Is there a requirement to declare/report offshore assets (e.g., foreign financial accounts, securities) to the country/territory’s fiscal or banking authorities?
No, there is no requirement to declare/report offshore assets to the country’s fiscal authorities, however, Botswana sourced income is to be declared on submission of the return and credit will be granted for foreign tax paid on the amounts.
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