Menu
Hey, delivery drivers! Let’s get real about taxes—it’s a must-do, but with the right support, it can be painless.
With over 7 years of experience and thousands of successful returns filed specifically for courier and food delivery drivers, our team at Instaccountant specializes in the unique tax needs of self employed individuals like you. From reporting income accurately to maximizing your eligible deductions on expenses like fuel, maintenance, mileage, and mobile usage, we get the job done so you can keep more of what you earn.
Whether you’re delivering for UberEats, DoorDash, Amazon, or your local courier or food delivery service, you’re more than just a driver—you’re a business owner. You’ve got unique tax responsibilities, especially when filing as self employed (or an independent contractor). Our team works with thousands of courier and food delivery drivers to help you understand what you need to track, claim, and report to stay compliant with CRA requirements. No matter the platform UberEats, Instacart, or others, we’re here to handle the tax side so you can focus on your deliveries.
As an self employed delivery driver, you must report your income and expenses on your Canadian tax return. The CRA considers your courier or food delivery earnings as business income, which is subject to income tax. It’s crucial to know that every fare, tip, and incentive counts toward your taxable income. You’ll need to keep accurate records of your business expenses, including (not limited to):
Filing your income tax return as a delivery driver is more than just submitting your T4A slips or business expenses. Our team carefully reviews your total income, from delivery fees to tips, and optimizes your deductions, so you pay only what’s required and nothing extra. As independent contractor or self-employed, delivery drivers can claim a variety of business-related expenses, so we ensure each one is recorded and documented to reduce your taxable income effectively.
With over 7 years of experience working with thousands of courier drivers and food delivery drivers in Canada, we understand the unique tax challenges you face. From accurately reporting income to handling GST/HST obligations and maximizing tax deductions specific to delivery services, our expertise ensures you receive tailored advice for your situation. Let us help you navigate the tax filing process smoothly, so you can stay compliant with CRA requirements and focus on your deliveries.
Here are some common tax issues delivery drivers face that can lead to audits or penalties—definitely things to avoid! Partnering with an expert accountant who understands delivery driver taxes can help you sidestep these issues so you can stay focused on earning.
Misreporting income is one of the biggest tax challenges for delivery drivers. With income coming in from various delivery apps, it’s easy to miss a few sources, like bonuses, tips, or earnings from secondary apps.
Why This Happens:
Consequences:
What You Can Do:
Keeping accurate records of your business expenses is essential but often a challenge for delivery drivers.
Why This Happens:
Consequences:
What You Can Do:
Understanding which expenses qualify as tax-deductible is crucial to avoid overpaying.
Why This Happens:
Consequences:
What You Can Do:
A lot of our team members, including the founder have worked as incorporated contractors (consultants) for small to large sized organizations in the field of accounting, tax, and management consulting. This exposure makes us better understand the problems faced and the expectations you would have from your accountant as a self-employed.
With a hectic schedule, it’s easy to forget tax deadlines. But late filings can be costly.
Why This Happens:
Consequences:
What You Can Do:
Mileage is a significant deductible for delivery drivers, yet many overlook it.
Why This Happens:
Consequences:
What You Can Do:
Using a bike, e-bike, or cycle as a delivery driver can save on fuel and maintenance costs, but many drivers overlook these as deductible business expenses on their tax returns.
Why This Happens:
Consequences:
What You Can Do:
Do I need to report tips as income?
Yes, tips are considered income by the CRA and should be included in your tax filings.
Should I register for GST/HST as a delivery driver?
If you earn over $30,000 annually, registration is required by CRA guidelines. We can guide you on the process and benefits.
Can I deduct vehicle expenses?
Absolutely. Fuel, repairs, insurance, and even lease payments can be claimed as business expenses if you track them properly.
What happens if I don’t file my taxes correctly?
Mistakes can lead to CRA reassessments, fines, and even audits. Working with experts helps you avoid these hassles.
Zoombooks is an expense tracking app for Ubereats, Doordash, or other delivery drivers. It helps drivers save tax and stay on top of financials.
Zoombooks is “built by accountants for self-employed”.
Download Zoombooks, its free!