BURS opened registration for non-resident suppliers of remote services on 1 June 2026, allowed a four-month transition, and began enforcing VAT charges on 1 October 2026. The registration threshold is P500,000 of supplies to Botswana residents in a twelve-month period, returns are quarterly and the first is due in January 2027.
Remote services are digital products supplied electronically from outside Botswana: streaming platforms, online advertising, cloud computing, software subscriptions and similar. At the launch briefing on 27 May 2026, acting Commissioner General Vivian Lesedi said the measure would raise about P450 million a year and level the field between local businesses and foreign digital companies.
For Botswana businesses the more important rule is the reverse charge. A VAT-registered person, a government entity or a large unregistered person (supplies above P1 million in twelve months) that imports services must self-account for the VAT. Where the supplier has not charged Botswana VAT, the recipient declares it.
The input VAT claim window has also been extended from four months to twelve, and VAT returns are now due 28 days after the end of the period rather than 25.
What this means for you
- Check every foreign software, cloud and advertising invoice: if no Botswana VAT is charged, you must reverse-charge it.
- Large unregistered persons (over P1 million turnover, not VAT-registered) should have registered by 31 July 2026; the first accounting period runs to 31 December 2026.
- Update accounts-payable coding to capture supplier location, service type and VAT status.
If any of these points apply to your organisation, talk to us. We will tell you what needs to change and what it will take.
BURS: VAT on remote services
Botswana Daily News (BOPA): BURS introduces digital VAT
Published 1 October 2026. This article is general information, not advice for a specific situation.