# Tax time



## Andy Fielder (Sep 6, 2014)

I'm getting ready to do my taxes next week and have printed out my 1099 from Raisier. Before I head over to the CPA, does anyone know what is allowable for deductions as an Uber driver? We sure have a lot of overhead: gas, Uber friendly insurance, car washes, bottled waters, maintenance and repair to name a few top of mind. I'm not sure what the tax laws are for itemized deductions for independent contactors as Travis has classified us. Thanks!


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## Andy Fielder (Sep 6, 2014)

Boy, this must be either a boring topic or a hot potato. This forum is awesome and I really appreciate it's here. You guys are funny as hell and very informative. This is my first time I asked a question, got 56 views and zero answers. Of course I'll ask my CPA who has worked with me for years but she doesn't drive for Uber or Lyft. If anybody has any experience with this, I'd be very grateful.


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## Amsoil Uber Connect (Jan 14, 2015)

Probably cause your answer is in the tax section.

Plus the mileage deduction is always more than all your expenses. Unless one had to replace a motor cause they did not use Amsoil.


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## Andy Fielder (Sep 6, 2014)

Thank you! I've done Uber for a year and never scrolled down on this forum. I feel like I need to repeat the first grade.


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## 14gIV (Dec 12, 2015)

https://uberpeople.net/threads/tax-attorney-here-ask-away.52491/


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## grayspinner (Sep 8, 2015)

You deduct uber commission & safe ride fees.

You deduct all your mileage while the app is on whether or not you have a pax. Hopefully you kept a mileage log because uber only records miles with a pax. The mileage deduction includes gas, maintenance/repair & depreciation so you can't deduct those things of you take the mileage deduction. You could use actual expenses instead, but typically you get a larger deduction with standard mileage. 

You can deduct car washes & anything you purchase specifically for uber (phone mount, floor mats, water, mints, seat covers, business cards...)

You can deduct your phone costs or a portion of your phone costs, but this gets kinda tricky.

It's highly likely that you will have no taxable income or a tax loss. A tax loss is not the same as an actual loss - you will only know if you have an actual profit or loss if you know what your actual costs per mile are.


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## Andy Fielder (Sep 6, 2014)

Thank you, Grayspinner, that is very clear. All set for my meeting this Wednesday!


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## UberTaxPro (Oct 3, 2014)

Andy Fielder said:


> I'm getting ready to do my taxes next week and have printed out my 1099 from Raisier. Before I head over to the CPA, does anyone know what is allowable for deductions as an Uber driver? We sure have a lot of overhead: gas, Uber friendly insurance, car washes, bottled waters, maintenance and repair to name a few top of mind. I'm not sure what the tax laws are for itemized deductions for independent contactors as Travis has classified us. Thanks!


For 99.9% of us using the standard mileage deduction is the way to go. In addition to the mileage deduction you can deduct tolls, parking and business % of car loan interest. Business % of personal property tax on your vehicle is also deductible. Car washes are not deductible in addition to standard mileage deduction. 
Business cards, water, mints etc are deductible. Business % of cell phone, ipad etc... all deductible. 
If you purchased any expensive equipment like phones or ipads for business you may be able to deduct the business % of the cost using a section 179 deduction. Can't use a section 179 deduction on a vehicle if using standard mileage deduction. 
Sorry I missed your thread....it's been busy in the other threads!


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## grayspinner (Sep 8, 2015)

Car washes are part of the standard deduction? I thought they weren't.


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## StarzykCPA (Aug 6, 2015)

Andy Fielder said:


> Boy, this must be either a boring topic or a hot potato. This forum is awesome and I really appreciate it's here. You guys are funny as hell and very informative. This is my first time I asked a question, got 56 views and zero answers. Of course I'll ask my CPA who has worked with me for years but she doesn't drive for Uber or Lyft. If anybody has any experience with this, I'd be very grateful.


Yep lots of good info on the forum and even in this thread alone. Don't underestimate your CPA  chances are she has probably dealt other rideshare drivers


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## MarkR (Jul 26, 2015)

UberTaxPro said:


> For 99.9% of us using the standard mileage deduction is the way to go. In addition to the mileage deduction you can deduct tolls, parking and business % of car loan interest. Business % of personal property tax on your vehicle is also deductible. Car washes are not deductible in addition to standard mileage deduction.
> Business cards, water, mints etc are deductible. Business % of cell phone, ipad etc... all deductible.
> If you purchased any expensive equipment like phones or ipads for business you may be able to deduct the business % of the cost using a section 179 deduction. Can't use a section 179 deduction on a vehicle if using standard mileage deduction.
> Sorry I missed your thread....it's been busy in the other threads!


I don't supply anything but a passenger seat so I guess mileage and up-keep is all I can go with. I wash my own car - no car wash there.


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## ChuckG (Feb 7, 2016)

UberTaxPro said:


> For 99.9% of us using the standard mileage deduction is the way to go. In addition to the mileage deduction you can deduct tolls, parking and business % of car loan interest. Business % of personal property tax on your vehicle is also deductible. Car washes are not deductible in addition to standard mileage deduction.
> Business cards, water, mints etc are deductible. Business % of cell phone, ipad etc... all deductible.
> If you purchased any expensive equipment like phones or ipads for business you may be able to deduct the business % of the cost using a section 179 deduction. Can't use a section 179 deduction on a vehicle if using standard mileage deduction.
> Sorry I missed your thread....it's been busy in the other threads!


Hi I was curious if you opened an LLC for your uber driving. At that point most everything should be deductible?


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## UberTaxPro (Oct 3, 2014)

ChuckG said:


> Hi I was curious if you opened an LLC for your uber driving. At that point most everything should be deductible?


No, a single member LLC is taxed the same as a sole proprietor. (no additional deductions) An LLC electing S-Corp status can have some tax advantages but the tax advantages come with additional costs like increased accounting, legal, payroll costs etc.. and additional IRS regulations that may offset any tax breaks especially for a small business like an individual Uber driver. When someone is selecting a business entity they should be sure to consider how all the aspects--legal, tax and operational--of each organizational form will impact the business. Most LLC's are taxed as partnerships so the owners avoid liability with the tax benefits of a partnership. 
I did operate a taxi company for 15 years as a C-corp for 2 reasons....liability and to make it easy to sell.


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## StarzykCPA (Aug 6, 2015)

ChuckG said:


> Hi I was curious if you opened an LLC for your uber driving. At that point most everything should be deductible?


Aside from deducting the added expenses of owning an llc, I can't think of anything you can deduct in an llc that you cannot deduct in a sole proprietorship. A business expense is a business expense regardless of the entity structure.


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## chi1cabby (May 28, 2014)

*Please read this, thanx!

A national media outlet will pay for your tax return preparation for an article on Drivers' Earnings*


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## UberPissed (Aug 13, 2014)

For the most part, it is going to come down to:
Mileage
Crap you buy for pax (water, candy, chargers)
Equipment (tablet, etc)
Phone (pro rata)
Parking (depends on situation)
Tolls

No go, don't even ask:
Meals, repairs (if taking standard rate, which you should), depreciation

Make a summary of each category for CPA. Some charge you $$$$/hr to go through your crap that you coulda just done on your own.


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