Botswana VAT non-resident digital services Jun 2026

Delayed extension of VAT to foreign digital or electronic services rolls out

Botswana’s 2025 Value Added Tax (Amendment) Bill had legislated into the VAT net the provision of digital ‘remote’ services by non-resident providers to local consumers. The implementation date was to be 1 September 2025 – but now to be confirmed for 1 June 2026 when registrations must start.

Collections start from 1 October 2026.

Non-resident businesses and facilitating marketplaces looking to register for VAT on Botswana to declare earnings and pay tax may need to appoint a local, resident agent or representative. But initially appears optional.  There is a VAT registration threshold of BWP 500,000 (approximately €32,000) per annum. Once registered, returns are filed quarterly by the 25th of the month following the reporting period.

There is no requirement for Botswana e-invoicing for non-residents.

The measure will only apply to B2C supplies; for B2B, the reverse charge mechanism will be applied with the Botswana taxpayer self-accounting for the VAT.

The current VAT rate in Botswana is 14%.  VAT Calc’s global VAT and GST on digital services blog tracks indirect taxes on digital and e-services

What digital services are liable to Botswana VAT?

Income from electronic or digital services covers:

• Advertising
• Software licences (eg cloud or SaaS)
• Data storage and processing
• Platform operator commissions
• Telecoms
• Broadcasting

Determining if Botswana VAT due

Providers must select at least two of the following flag to indicate that the consumption and therefore VAT is in Bolivia:

• Bank account address
• Invoice address
• IP address
• Mobile phone numbers
• SIM card or fixed line

Preparing VAT or GST filings can be challenging.  VAT Calc’s single platform VAT Filer can correctly complete any country submission with verified VAT or GST transactional data from our VAT Calculator or VAT Auditor integrated tools.

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