This paper examines the impact of recent tax-administration reforms on revenue performance in Botswana, leveraging newly
available data from the 2025/2026 national budget cycle and the phased roll-out of digital fiscalisation. Exploiting the staggered
introduction of electronic VAT invoicing, real-time transaction tracking, higher compliance-monitoring at borders, and marginal rate
increases for personal and corporate income taxes, we construct a synthetic-control estimate of the revenue yield. Results indicate
that the combined reforms are associated with an immediate 6–8 percent uplift in total tax collections relative to the counterfactual,
driven primarily by a 12 percent rise in VAT receipts and a 4 percent gain in corporate income tax. Difference-in-differences
estimates further reveal that firms exposed to the e-invoicing mandate experienced a 30 percent reduction in reported sales
discrepancies and a 25 percent increase in self-assessed liabilities. Micro-evidence from BURS audit files shows that large
taxpayers—those above P50 million in turnover—account for over half of the additional revenue, while enhanced border inspections
curbed illicit trade in excisable goods by an estimated P180 million annually. Despite these gains, compliance costs for small
enterprises rose modestly, highlighting the importance of parallel taxpayer-education programmes. Overall, Botswana’s experience
suggests that technology-enabled administrative reforms can materially strengthen revenue performance without recourse to
higher statutory tax rates.