The rise of the gig economy has created flexible earning opportunities through platforms such as Uber Eats, Amazon, and Just Eat. However, many delivery drivers are unsure about their tax obligations and risk penalties by getting it wrong.
This guide explains how delivery drivers are taxed, what expenses can be claimed, and how an accountant can help you stay compliant and save money.
Are Uber Eats, Amazon & Just Eat Drivers Self-Employed?
In most cases, delivery drivers working for Uber Eats, Amazon Flex, and Just Eat are treated as self-employed contractors, not employees.
This means:
• You are responsible for declaring your income
• You must register for Self Assessment
• You pay your own Income Tax and National Insurance
• No tax is automatically deducted from your earning.
• Even if the platform calls you a “partner” or “courier,” HMRC usually considers you self-employed.
Registering with HMRC If your annual income exceeds £1,000, you must register as self-employed with HMRC.You will need to:
• Register for Self Assessment
• File a tax return every year
• Keep accurate records of income and expenses
⏰ Deadline:
• Register by 5 October after the end of the tax year
• Submit tax return by 31 January
How Much Tax Do Delivery Drivers Pay?Your tax depends on profit, not total earnings.You may pay:
• Income Tax (20% or more depending on income)
• Class 2 National Insurance (small weekly amount)
• Class 4 National Insurance (based on profits)
💡 Good expense tracking can significantly reduce your tax bill.Allowable Expenses You Can ClaimDelivery drivers can deduct legitimate business expenses, including:
🚗 Vehicle & Travel
• Fuel or mileage (45p per mile for first 10,000 miles)
• Vehicle insurance (business use)
• Repairs and servicing
• Parking and tolls
Equipment & Running Costs
• Mobile phone (business use portion)
• Phone mount and power bank
• Delivery bags and uniforms
• Bicycle maintenance (if applicable)
Other Allowable Expenses
• Accountancy fees
• Software and apps
• Part of home internet (if used for work)
You cannot claim personal expenses or commuting costs.
VAT for Delivery DriversMost drivers do not need to register for VAT unless total turnover exceeds £90,000 per year.
However, some Amazon contracts may involve VAT considerations, especially for limited companies or subcontractors. Professional advice is strongly recommended.
Common Mistakes Drivers Make
❌ Not registering with HMRC
❌ Missing tax deadlines
❌ Failing to keep receipts
❌ Under-claiming expenses
❌ Mixing personal and business finances
These mistakes can lead to penalties, interest, or HMRC investigations.How an Accountant Can Help Delivery DriversA specialist accountant can:
• Register you correctly with HMRC
• Maximise allowable expense claims
• File accurate tax returns
• Advise on mileage vs actual costs
• Help you budget for tax bills
• Deal with HMRC on your behalf
✅ Many drivers save hundreds or even thousands of pounds with professional tax planning.Need Help With Your Uber Eats, Amazon or Just Eat Taxes?If you’re a delivery driver and want stress-free tax returns, expert advice, and maximum tax savings, we’re here to help.
📞 Contact us today for a free consultation and let our accountants handle your tax — so you can focus on earning.
01202 051 977
info@rockfast.uk
