Tax does not have to feel overwhelming, as we begin the year, we enter the final 6 months of the 2026 tax year. This period presents a valuable opportunity to review your tax position and ensure your business remains fully compliant. Taking proactive steps now supports peace of mind and a confident start to the year.

To stay on track, consider the following actions.

1. Review your tax compliance report to identify any outstanding or unresolved matters.
2. Check all tax statements to confirm that submitted returns have been correctly captured.
3. Confirm that returns were submitted for periods with zero payments, as filing obligations still apply.
4. Seek professional assistance to perform a tax health check, confirming that all relevant taxes have been fully and accurately declared and paid.

Whether you run a growing business or earn employment income, understanding your basic tax obligations helps you plan better and avoid unnecessary surprises. An important step involves understanding the different tax obligations that may apply to you or your business.

Corporate Income Tax

Corporate Income Tax applies to the taxable profits of companies. It is calculated on net profit after allowable deductions and capital allowances. Companies must register, submit annual tax returns, and make provisional tax payments during the year.

PAYE

PAYE, or Pay As You Earn, is tax deducted monthly from employees’ salaries and wages. Employers act as agents of the tax authority and carry responsibility for calculating, deducting, and remitting PAYE within the prescribed timelines

Value Added Tax

Value Added Tax is a consumption tax charged on taxable supplies of goods and services by registered vendors. VAT registered businesses charge VAT on sales and may claim VAT incurred on qualifying business expenses, subject to VAT legislation.

Withholding Tax

Withholding Tax in Botswana applies to certain payments made to residents and non residents. These include commercial royalties, commissions or brokerage, dividends, entertainment fees, interest, management or consultancy services, rental, and contract payments. The payer deducts the tax at source and remits it to BURS on behalf of the recipient.

We are available to assist with tax health checks and to help you better understand your tax obligations. Reach out to us for guidance, support, and practical tax solutions tailored to your business.

by Nomsa Manele

Section RIC – Tax