🇧🇼 Botswana
Sub-Saharan Africa · ISORA participant ·
Botswana implemented statutory interest limitation rules and utilizes automated bulk data matching in practice. In 2021, the country's tax revenue accounted for 15.0% of its GDP. The jurisdiction does not have controlled foreign company rules.Auto-generated summary of the verified data below; every fact traces to a source on this page.
15.0%
tax-to-GDP, general govt (2021, OECD)
5/11
enforcement powers assessed
Where the tax bite lands (2021)
Tax revenue by category, % of GDP, general government — OECD Revenue Statistics (Global).
Who collects it (2021)
| Level of government | % of GDP |
|---|---|
| Central government | 15.0% |
Tax-to-GDP over time
| 2010 | 2019 | 2021 |
|---|---|---|
| 15.8% | 13.7% | 15.0% |
General government, OECD Revenue Statistics (Global).
Headline statutory rates
As stated in PwC Worldwide Tax Summaries’ territory overview (fetched 2026-08-20) — the wording is PwC’s; source.
| Tax | Headline rate as stated |
|---|---|
| Headline PIT rate | 25 |
| Headline CIT rate | 22 |
| Standard VAT rate | 14 |
| Headline individual capital gains tax rate | 25 |
| Headline corporate capital gains tax rate | Capital gains are subject to the normal CIT rate. |
| WHT rates (%) (Dividends/Interest/Royalties) | Resident: 10 / 10 / NA; Non-resident: 10 / 15 / 15 |
| Headline net wealth/worth tax rate | NA |
| Headline inheritance tax rate | 12.5 |
| Headline gift tax rate | 12.5 NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement) NP stands for Not Provided (i.e. the information is not currently provided in this chart) |
Enforcement powers
Automated bulk data matching Yes — documented practice
Self-reported to ISORA (International Survey on Revenue Administration), FY2022.
“ISORA indicator "Administration undertakes fully automated compliance checks based on data matching/analysis" — value: Yes”
Source: IMF ISORA — International Survey on Revenue AdministrationOECD / IMF survey data · derived from the administration’s own survey answer
Citizenship-based taxation No — power absent
Botswana taxes individuals on a territorial basis (local-source income), not by citizenship (PwC Worldwide Tax Summaries).
“The Botswana tax system operates on a territorial basis, and income is taxable in Botswana if the source is within Botswana.”
Source: PwC Worldwide Tax Summaries — BotswanaProfessional / legal analysis · quote machine-verified 2026-08-25
Controlled foreign company (CFC) rules No — power absent
Recorded in the OECD Corporate Tax Statistics anti-avoidance rules dataset (2026).
“OECD Corporate Tax Statistics: "Is there a controlled foreign company rule in place? · Not applicable" — No”
Source: OECD Corporate Tax StatisticsOECD / IMF survey data · derived from the administration’s own survey answer
Interest limitation rules Yes — statutory power
Recorded in the OECD Corporate Tax Statistics anti-avoidance rules dataset (2026).
“OECD Corporate Tax Statistics: "Is there an interest limitation rule in place? · Regime 1" — Yes”
Source: OECD Corporate Tax StatisticsOECD / IMF survey data · derived from the administration’s own survey answer
Public naming of non-compliant taxpayers No — power absent
Self-reported to ISORA (International Survey on Revenue Administration), FY2022.
“ISORA indicator "Administration is empowered to make public details of some / all taxpayers subject to administrative penalties imposed for non-disclosure" — value: No”
Source: IMF ISORA — International Survey on Revenue AdministrationOECD / IMF survey data · derived from the administration’s own survey answer
Anti-avoidance regime detail (OECD Corporate Tax Statistics)
OECD-curated descriptions of this jurisdiction’s CFC, interest-limitation, CbCR and IP-regime rules.
CFC rules — 2 data points
| Is there a controlled foreign company rule in place? · Regime 1 | No |
| Is there a controlled foreign company rule in place? · Not applicable | No |
Interest limitation — 37 data points
| Number of years allowed under carry forward/back. · Regime 1 | 3 years and 10years for Mining and Exploration companies |
| Number of years allowed under carry forward/back. · Rule 1 | 3 years and 10years for Mining and Exploration companies |
| Do any loss carry-back or carry-forward provisions apply? · Regime 1 | Yes |
| Do any loss carry-back or carry-forward provisions apply? · Rule 1 | Yes |
| Is a de minimis threshold present? · Regime 1 | None |
| Is a de minimis threshold present? · Rule 1 | None |
| Any other exclusions? · Regime 1 | No |
| Any other exclusions? · Rule 1 | No |
| Exclusions based on payer characteristics? · Regime 1 | Yes |
| Exclusions based on payer characteristics? · Rule 1 | Yes |
| Exclusions based on payment characteristics? · Regime 1 | No |
| Exclusions based on payment characteristics? · Rule 1 | No |
| Exclusions based on recipient characteristics? · Regime 1 | Yes |
| Exclusions based on recipient characteristics? · Rule 1 | Yes |
| Financial accounting measure applied to rule · Regime 1 | Interest-to-EBITDA |
| Financial accounting measure applied to rule · Rule 1 | Interest-to-EBITDA |
| Is there a group ratio rule or similar type of rule in place? · Regime 1 | No |
| Is there a group ratio rule or similar type of rule in place? · Rule 1 | No |
| Is there an interest limitation rule in place? · Regime 1 | Yes |
| Is there an interest limitation rule in place? · Rule 1 | Yes |
| Can interest be recharacterised as a dividend? · Regime 1 | No |
| Can interest be recharacterised as a dividend? · Rule 1 | No |
| Is the rule is applicable to net or gross interest expensing? · Regime 1 | net interest expense. |
| Is the rule is applicable to net or gross interest expensing? · Rule 1 | net interest expense. |
| Is the rule applicable to related party debt? · Regime 1 | Yes |
| Is the rule applicable to related party debt? · Rule 1 | Yes |
| Description of interest limitation rule · Regime 1 | This rule applies to MNEs companies operating within a group set up. |
| Description of interest limitation rule · Rule 1 | This rule applies to MNEs companies operating within a group set up. |
| Type of interest limitation rule · Regime 1 | EBITDA |
| Type of interest limitation rule · Rule 1 | EBITDA |
| Financial ratio referenced · Regime 1 | 0.12569444444444444 |
| Financial ratio referenced · Rule 1 | 3:1 |
| Is the rule is applicable to third party debt? · Regime 1 | No |
| Is the rule is applicable to third party debt? · Rule 1 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Regime 1 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Rule 1 | No |
| Year of introduction of the interest limitation rule · Rule 1 | 2019 |
IP regimes — 5 data points
| Regime name · Regime 1 | International financial services company |
| Status of the IP regime as determined by the OECD’s Forum on Harmful Tax Practices (FHTP). · Regime 1 | In the process of being amended |
| Asset types that can qualify for the IP regime · Regime 1 | Not restricted to three allowed asset categories |
| Tax rate that would otherwise apply · Regime 1 | 22.00% or 30.00% |
| Reduced tax rate that applies under the IP regime · Regime 1 | 15.00% |
Effective corporate tax rates
| Measure | Year | Rate |
|---|---|---|
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 0.0% |
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 8.3% |
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 16.1% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 0.0% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 14.4% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 20.0% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 61.4% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 29.5% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 23.5% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 16.4% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 16.8% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 64.8% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 31.3% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 21.6% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 19.6% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 19.4% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 173.4% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 56.0% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 33.9% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 7.6% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 9.1% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 394.3% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 107.9% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 24.4% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 7.3% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 5.6% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 19.0% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 10.9% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 9.3% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 7.5% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 7.6% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 14.8% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 6.2% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 3.7% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 3.2% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 3.2% |
OECD Corporate Tax Statistics, baseline scenario.
Administration self-reported metrics (ISORA)
Reported by the administration itself to the IMF/OECD/CIAT/IOTA International Survey on Revenue Administration. 1 = yes, 0 = no for policy questions.
| Indicator | Year | Value |
|---|---|---|
| Percentage of tax returns - Electronic, not prefilled - CIT | 2024 | — |
| Percentage of tax returns - Electronic, not prefilled - PIT | 2024 | — |
| Percentage of tax returns - Electronic, not prefilled - VAT | 2024 | — |
| Population per FTE | 2024 | 1539.156898656899 |
| Labor force per FTE | 2024 | 716.2307692307692 |
| Corporate taxpayers per FTE in LTO/P | 2024 | 5.966666666666667 |
| Active taxpayers on PIT register as percentage of Population | 2024 | 11.54478194181281 |
| Active taxpayers on PIT register as percentage of Labor Force | 2024 | 24.80936526688863 |
| Closing stock of collectable arrears as percentage of closing stock of arrears | 2024 | — |
| CIT arrears as percentage of CIT collected | 2024 | — |
| PIT arrears as percentage of PIT collected | 2024 | — |
| PAYE arrears as percentage of PIT collected | 2024 | — |
| VAT arrears as percentage of VAT collected | 2024 | — |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - CIT | 2021 | — |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - CIT | 2021 | — |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - CIT | 2021 | — |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - PIT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - PIT | 2021 | 45.74009444 |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - PIT | 2021 | 8.503680676 |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - VAT | 2021 | — |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - VAT | 2021 | — |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - VAT | 2021 | — |
| Additional assessments raised through all audits and verification actions as percentage of tax collections | 2024 | 1.317197131478485 |
| Audit hit rate | 2024 | — |
| Percentage of tax returns - Electronic, not prefilled - PAYE | 2024 | — |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, not modified by taxpayer - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - PIT | 2024 | — |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - PIT | 2024 | — |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - PAYE | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - PAYE | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - VAT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - VAT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - PIT | 2024 | — |
| Percentage of tax returns - Electronic, prefilled Total - PAYE | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - VAT | 2024 | 0 |
| Availability of specific powers in legislation / regulation to assist in collecting tax arrears | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Common administrative penalty framework for non-disclosure across the major tax types | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Penalties imposed generally take account of taxpayers' culpability (i.e. degree of blame) | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Administration is empowered to remit / reduce penalties in appropriate circumstances | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Administration is empowered to make public details of some / all taxpayers subject to administrative penalties imposed for non-disclosure | 2022 | 0 |
| On-time filing rate % - CIT | 2024 | — |
| On-time filing rate % - PIT | 2024 | — |
| On-time filing rate % - VAT | 2024 | — |
| On-time filing rate % - PAYE | 2024 | — |
| Administration pre-fills PIT returns or assessments | 2024 | 1 |
| Categories of third party information used to pre-fill PIT returns or assessments-Income information: Wages and salaries | 2024 | 1 |
| Categories of third party information used to pre-fill PIT returns or assessments-Income information: Pension | 2024 | 1 |
| Categories of third party information used to pre-fill PIT returns or assessments-Taxpayer personal information | 2024 | 1 |
| Categories of third party information used to pre-fill PIT returns or assessments-Expense information: Pension/retirement contributions and savings | 2024 | 1 |
| Administration conducts random audits | 2022 | 1 |
| E-filing mandatory - CIT | 2022 | 1 |
| E-filing mandatory - PIT | 2022 | 0 |
| E-filing mandatory - Employer Withholdings | 2022 | 1 |
| E-filing mandatory - VAT | 2022 | 1 |
| E-payment mandatory - CIT | 2022 | 1 |
| E-payment mandatory - PIT | 2022 | 1 |
| E-payment mandatory - Employer Withholdings | 2022 | 1 |
| E-payment mandatory - VAT | 2022 | 1 |
| Employers withholding taxes on behalf of salaried employees | 2024 | 1 |
| Percentage of payments received electronically-By number of payments | 2024 | — |
| Percentage of payments received electronically-By value of payments | 2024 | — |
| Cooperative compliance approach exists for -Large taxpayers | 2024 | 1 |
| Cooperative compliance approach exists for -HNWI taxpayers | 2024 | 0 |
| Cooperative compliance approach exists for -Other taxpayers | 2024 | 0 |
| Most employees that have tax deducted through direct withholding required to file a return | 2024 | 1 |
| Administration receives data from devices that register transactions | 2024 | 0 |
| Administration uses electronic compliance checks as part of returns filing process | 2024 | 1 |
| Administration has specialized audit staff for international tax issues | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Customs data | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from stock exchanges | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from the Social Security Agency | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from online (internet-based) vendors | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from Utilities | 2022 | 0 |
| Administration checks the quality of data reported by third parties on a systematic basis | 2022 | 1 |
| Administration has systems for importing, storing and managing third-party data - Data on property ownership and sales | 2022 | 0 |
| Administration undertakes fully automated compliance checks based on data matching/analysis | 2022 | 1 |
| Administration undertakes fully automated compliance checks - compliance issues automatically communicated to taxpayer | 2022 | 1 |
| Administration measures the effectiveness of any compliance interventions undertaken | 2022 | 0 |
| Administration has standards for auditor productivity | 2022 | 0 |