Company Taxation - An Overview

Botswana levies tax annually on income which is derived or deemed to be derived from Botswana during the previous tax year. Taxes are assessed annually as at the 30 June but business income can be computed from a different date during the fiscal year.

For tax purposes, a company is considered resident in Botswana if
- it is incorporated; or
- has its registered office; or
- it is managed or controlled in Botswana.

The two tier system of company taxation taxes resident companies with a
- basic corporate tax rate of 15%; and
- an additional company tax rate of 10%
making for an effective rate of 25%. The special deduction for public companies listed on the Botswana Stock exchange is no longer allowed.