Methodology - Botswana (2026)

Educational model - not a BURS assessment, not a tax return, not tax advice. Currency BWP. Tax year 1 Jul - 30 Jun.

Employee (PAYE)

Resident PAYE progressive scale: 0% up to BWP 48,000/year; 5% to 84,000; 12.5% to 120,000; 18.75% to 156,000; 25% above 156,000 (monthly = annual / 12, so 0% up to 4,000/month). PAYE is on gross taxable pay; there are no personal allowances.
There is no national social security or pension contribution for private-sector employees - no mandatory employee payroll deduction, and no statutory employer payroll charge (the HRDC training levy is turnover-based, employer-only).
The 25% top-rate / 48,000-threshold scale is in force for the 2026 income year; the +1.5% (26.5%) and re-banding proposed in the 2025/26 and 2026/27 budgets were paused / not enacted.
Out of scope: the optional deduction for approved pension contributions (up to 15% of earned income), taxable benefits (motor-vehicle, housing), and the non-resident scale.

Self-employed individuals are taxed on the same resident progressive scale (0/5/12.5/18.75/25%, tax-free up to BWP 48,000/year) applied to net business income (gross minus allowable expenses).
No national social security; no general presumptive/turnover regime for individuals. Out of scope: the small-company "tax as partnership" election (gross income up to BWP 300,000) and VAT registration (turnover over BWP 500,000).