Quick overview
| Standard Rate | Reduced Rate | Other Rates |
| 14% | N/A | Zero-rated (0%) and exempt |
The local name for VAT in Botswana is Value-added tax (VAT).
There is basically 1 VAT rates in Botswana:
- Standard VAT rate is 12%
Recent developments
The Standard Rate increased from 12% to 14% on April 1, 2021.
For more information about (recent) rate change developments in Botswana, please click HERE.
Standard rate: 14%
This rate applies for all transactions that take place in Botswana, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).
Zero rate (0%)
Examples of goods and services taxable at 0%, with the right to deduct VAT
- Exports of goods and services
- International transport
- Sale of a business as a going concern to a registered person
- Fuel for vehicles
- Bread flour, sugar, brown bread, fresh fruits, rice, milk and samp (coarsely ground corn)
- Intellectual property rights for use outside Botswana
- Household consumption of water up to 5,000 liters or 25 drums of 200 liters
Examples of exempt supplies of goods and services
- Medical services provided in a public medical facility
- Supply of prescription drugs
- Education
- Financial services (unless provided for a fee, charge or commission)
A global VAT/GST rate overview can be found here (note this is a work in progress).
This post was last updated on October 10. 2021.
