# Deduction: Uber Fee's - not their commission



## El Gato (Mar 5, 2016)

So I keep hearing this from numerous tax pros and see it all over the place, but maybe UberTaxPro or someone can really assist with this deduction. I am not referring to the 20% or 25% (if you joined later) fee Uber takes as part of their cut from the fare. I am referring to the booking/safe rider fee, split fare fees, airport fees. 

These are deducible yes as a business expense, yes? Everything I've heard is yes, and I've scoured the tax forum for this specific question and see it mentioned,. but would like to just address this topic only specifically.

(also, maybe a good idea to sticky a thread that covers all the deductions since that does seem to get asked alot here).

\thanks.


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## steveK2016 (Jul 31, 2016)

Yes, it's a business expense.


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## El Gato (Mar 5, 2016)

Ok. That seems to be the consensus. However...how would this relate to another TNC that I drove with here in Austin: fare. They operate pretty much in the same fashion as Uber. It is a ride hailing app in literally every way that Uber/Lyft operate. Finance wise there are some differences and this is where some input would be greatly appreciated.

Initially things seem setup the same. Rider requests, driver accepts, driver starts and ends trip. At end of trip driver receives a screen displaying payment and pax rating. Rider payment is the same as Uber: Base fare, booking fee, fare fee (20% of the total fare based on time + mileage rates).

The thing that is different is they did not send us a 1099-K but rather a 1044-MISC which contained ONLY the driver payout. So no booking fees for each ride, no airport fees for those rides, and no Fare fee (Uber Fee equivalent). When I asked if I could get the other fees the company collected for tax purposes I am told that I cannot deduct those expenses as business expenses since I was sent a 1099-MISC and not a 1099-K.

Is this accurate?


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## UberTaxPro (Oct 3, 2014)

El Gato said:


> Ok. That seems to be the consensus. However...how would this relate to another TNC that I drove with here in Austin: fare. They operate pretty much in the same fashion as Uber. It is a ride hailing app in literally every way that Uber/Lyft operate. Finance wise there are some differences and this is where some input would be greatly appreciated.
> 
> Initially things seem setup the same. Rider requests, driver accepts, driver starts and ends trip. At end of trip driver receives a screen displaying payment and pax rating. Rider payment is the same as Uber: Base fare, booking fee, fare fee (20% of the total fare based on time + mileage rates).
> 
> ...


Does the amount on the 1099M match the amount you were paid?

Someone posted this in another thread concerning Uber's 1099k and 1099m http://blog.stridehealth.com/taxes/uber-1099


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## El Gato (Mar 5, 2016)

Good question, uberTaxPro! I thought about this and your post got me moving and check on this. 

So it would appear the total amounts deposited into my bank account matches exactly what is shown on box 7 of the 1099-MiSC.


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## UberTaxPro (Oct 3, 2014)

El Gato said:


> Good question, uberTaxPro! I thought about this and your post got me moving and check on this.
> 
> So it would appear the total amounts deposited into my bank account matches exactly what is shown on box 7 of the 1099-MiSC.


So they're not including the fees like Uber does and they were right when they said you couldn't deduct them. Sorry if I'm stating the obvious


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## El Gato (Mar 5, 2016)

yeh yeh i know. It wasn't until the light bulb went off and I thought to compare these numbers that I realized that. It just was not explained well to me initially and thus led to posting the question. What doesn't make sense to me is people saying I couldn't simply because the form was a 1099-M and not 1099-K which I thought was not accurate. It is not the form as much as what the income reported on that form is. Right? I was also told miles were not deductible as well because of this (their justification for not tracking on trip miles). Now that I know cannot be right. 

Sucks. Only cause I was tracking these numbers all year long, and it turns out it was just a bunch of unnecessary work. Have to go and edit my spreadsheets now to make life easier on me when it comes to tracking this stuff.


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