Tax & Finance

Complete Tax Guide for Gig Workers & Rideshare Drivers (2025)

By Rollee 11 min read

Filing taxes as a rideshare driver, PHV operator or gig worker is significantly more complex than standard employment — but it's also full of legal deductions that most drivers never claim. This guide covers everything you need for the 2025 tax year.

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Your employment status: self-employed

In most European countries, rideshare and PHV drivers operating through apps like Uber, Bolt or FreeNow are classified as self-employed or independent contractors. This means you are responsible for reporting your own income and paying your own taxes — but it also means you can deduct a wide range of legitimate business expenses.

The deductions most drivers miss

1. Mileage or vehicle expenses

This is typically the single largest deduction available. You can choose between claiming a flat rate per business mile/kilometre (check your country's approved rate) or calculating your actual vehicle costs (fuel, insurance, maintenance, depreciation) proportional to business use. Keep a detailed mileage log — your Earnings IQ report provides trip data that supports this.

2. Phone and data

Your smartphone is a business tool. The proportion of your phone bill that relates to work use is deductible. For most full-time drivers this is 60–90% of the total bill — including the handset purchase if you're on a contract.

3. Platform fees

Uber, Bolt and other platforms deduct their commission before paying you. These fees — typically 15–25% of the fare — are a direct business expense. Make sure you're claiming on your gross earnings, not the net amount deposited to your account.

4. Professional insurance

Hire and reward insurance is a requirement for PHV work and is fully deductible as a business expense. Don't confuse this with personal car insurance, which is only partially deductible.

5. Vehicle depreciation

If you own your vehicle outright, you can claim a capital allowance for its depreciation over time, proportional to business use. This is often overlooked but can be significant — especially for electric vehicles, which often qualify for enhanced allowances.

Record keeping: how Earnings IQ helps

The biggest challenge for gig workers at tax time is proving their income and expenses. Traditional payslips don't exist. Your Earnings IQ report provides a comprehensive, month-by-month breakdown of your gross and net earnings across each platform — exactly what your accountant needs, and what HMRC, the French tax authority (DGFiP), or the German Finanzamt will accept as supporting documentation.

What Earnings IQ provides for tax purposes

Total gross earnings by platform
Platform fees deducted at source
Monthly and annual breakdowns
Trip counts and mileage data
AI-generated income summary

When and how to pay

Self-employed drivers generally need to file an annual tax return and may need to make advance quarterly or biannual payments once their income exceeds certain thresholds. The exact process varies by country — check with HMRC (UK), DGFiP (France), Finanzamt (Germany), or your local tax authority for specific deadlines and thresholds.

"I was overpaying tax for three years because I didn't know about platform fee deductions. Earnings IQ showed me exactly what the platforms took out." — PHV driver, London

Working with an accountant

A good accountant who specialises in gig workers will typically save you far more than their fee. Look for one familiar with platform economy tax rules. Bring your Earnings IQ reports to your first meeting — they'll thank you for the organisation.