Expatriate tax ebook - Botswana

What taxes?

Capital gains tax
Inheritance, estate and gift taxes
Investment income
Local taxes
Real estate taxes
Social security taxes
Stock options
Wealth taxes
Other specific taxes

Capital gains tax
There are capital gains tax in Botswana


0-15,000	0
15,000 - 60,000	0+5% of excess over 15,000
60,000 - 90,000	2,250 + 12.5% of excess over P30,000
90,000 - 120,000	6,000 + 18.75% of excess over P60,000
Over 120,000	11,625 + 25% of excess over P120,000

Sale of all capital assets such as buildings, shares (other than listed company) will be subject to capital gains tax

Capital gains are paid on capital assets in Botswana sold in Botswana

Inheritance, estate & gift taxes
There are inheritance or capital transfer tax in Botswana

First P100 000 2 per cent
Next P200 000 3 per cent
Next P200 000 4 per cent
Balance 5 per cent

Assets in Botswana that are inherited from the estate of the deceased person are liable for taxation in Botswana

Investment income
Investments income is taxed in Botswana

1. Dividends: a final tax of 7.5%

2. For interest earned over P7 800, a withholding tax of 10%

Dividend and interest are considered as investment income. Profit on sale of investment will be treated as a capital profits and charged capital gains tax.

Local taxes
There are no local taxes in Botswana.

Real estate tax
There is no real estate tax in Botswana.

Social security taxes
There are no social security taxes in Botswana

Stock options
Stock options will be treated as part of salary. There is no special provisions for tax

Wealth tax
There is no wealth tax in Botswana

Other specific taxes
Nil

Information about Botswana:

Last updated 13 June 2011
This information has been provided by Grant Thornton Botswana, a member firm within Grant Thornton International Ltd, and is for informational purposes only. Neither Grant Thornton Botswana nor Grant Thornton International Ltd can guarantee the accuracy, timeliness or completeness of the data contained herein. As such, you should not act on the information without first seeking professional tax advice.

Grant Thornton International Ltd and the member firms are not a worldwide partnership. Services are delivered independently by the member firms.
Disclaimer

Contact us

For further information on expatriate tax services in Botswana please contact Director Taxation Services, Rajesh Narasimhan.

Related websites

Grant Thornton Botswana
Botswana Unified Revenue Service

Related publications

http://gt.co.bw/publications/

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