VAT Faq
Who is supposed to register for VAT?
Any organisation who’s taxable supplies exceeds P500 000 per annum must register, but if the turn over is below the threshold may apply for voluntary registration
Why do you have to register for VAT?
Subject to the provision of the VAT ACT, every person who carries on a taxable activity must register for VAT
What is the difference between Category A,B,and C?
Category A and B = Turnover P500 000 up to 12 million Category C = P12 million upwards.
When do I claim input tax?
Input tax incurred by the business during the tax period, in acquiring goods and services may be claimed except for acquisition of passenger vehicle, entetaintment and club subscription.
What is output tax?
Output tax is VAT charged and collected by a registered person for goods and services supplied
When do charge VAT?
VAT is charged on taxable supplies, either standard rated or zero-rated
Do you have to pay for registering VAT?
There is no charge for registering for VAT
Can I offset my unpaid VAT refund againts output tax?
Unpaid VAT refund cannot be offset against output VAT
How much is penality charge for late submission?
Penalty charge is P50 per day or 12% of the amount payable for each month, but shall not exceed the vat payable
How much is the charge for late payment of VAT?
Penalty charge is P50 per day or 12% of the amount payable for each month, but shall not exceed the vat payable
When am i supposed to file a return?
VAT returns are submitted for each tax period 25 days after the end of each tax periodp>
Can I file my return and pay later?
A taxpayer may make an arrange for extension of time on writing to the Commissioner
How do I account for VAT when the suppliers have not paid me?
A supply of goods or services is made when an invoice is raised by the supplier or payment is made which ever comes earlier therefore VAT should be paid to the Botswana Unified Revenue Service
Do I still file a return in I am not trading?
A taxpayer should notify the Commissioner on closure of the business and continue to file a return until such a time the Commissioner is satisfied that he be deregistered
What do I do if I dont recieve my VAT return in time?
If the VAT return is not received on time, the taxpayer should go and collect it from the nearest BURS office.
May I request for waiver of penalties?
Where the good cause is shown, the Commissioner may waive the whole or part of the penalties.
Can I register for VAT on line?
Registration of VAT online is not yet available with BURS.
Can I pay my VAT electronically?
Payment of VAT electronically is not yet available with BURS
What is the difference between VAT and Income Tax?
VAT is charged on the consumption of goods and services supplied
How do you go about opening a VAT deferred account?
A taxpayer should pay a security of 20% of the monthly imports but not less than P20 000.He should have registered with INCOME TAX, VALUE ADDED TAX and CUSTOMS.(Practice note no.6)
When do you block a deferal account?
A deferral account is blocked when the importer has failed to pay tax within 25 days after the end of the month of importation
