Yes. When you drive for Uber, you are regarded as an independent contractor, not an employee. This means you’ll receive a 1099-tax form at the end of the year-employees receive a W-2. Being an independent contractor can have a major impact on your tax bill.

Do Uber drivers pay their own taxes?

Uber drivers are self-employed. You’re responsible for paying your own taxes and National Insurance contributions. You must also complete a self-assessment tax return each year.

Does Uber report to HMRC?

In Uber, the drivers are called the partners and are treated as self-employed. Such drivers should register themselves with HMRC and fill in the self-assessment tax return. The deadline for submitting the self-assessment tax return is 31 January 2019.

What kind of taxes do Uber drivers have to pay?

Each year, Uber will file a Form 1099-MISC and/or 1099-K with your state tax agency and the IRS. Because you are considered an independent contractor, or business owner, you will be responsible for paying self-employment tax, which covers Medicare tax and Social Security tax. You’ll also be responsible for paying income tax.

When do I need to file my tax return for Uber?

Tax Returns for Uber Drivers You’ll need to declare your Uber income under the rules of HMRC self-assessment. You’ll need to submit a tax return online declaring your income and expenses once a year by 31 January, as well as paying tax twice a year by 31 January and 31 July.

Can a self employed Uber driver claim on taxes?

In this case, you would be allowed to deduct the monthly cost of the car lease against your taxes. You can also deduct for fuel, servicing, insurance and repairs. There are certain expenses that HMRC do not allow self-employed Uber drivers to claim against their taxes. These include: HMRC self-assessment penalties and interest.

Do you have to file taxes for both Uber and Lyft?

If you drove for both Uber and Lyft during the year, you don’t need to complete two separate forms. Just add the income from both rideshare companies together and include the total on one schedule.