# Taxes, taxes and MORE taxes...



## LUXYRIDE (Jul 5, 2014)

Just got my first Uber pay statement. I was supposed to get $100 for submitting all my documents before my background check came in. I did that. No $100. WTF?

Also, I noticed that Uber takes taxes out of my earnings, too??? I wonder if that will be reflected on some kind of 1099 form at the end of the year. * I don't want to be taxed on money that was already taxed!!!!* You know what I mean?

Can someone who started with Uber prior to December 2013 tell me what kind of report you got for tax purposes.

Thanks in advance!

Dee


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## mp775 (Jun 26, 2014)

There is no income tax withheld from your earnings. Unlike most of the rest of the world, ground transportation services are subject to _sales_ tax in Rhode Island. You don't have to pay it; the rider does. It gets added to the fare after the per mile, per minute, and $1 Safe Rider fee, but is included in the total fare you see in the app. If there weren't any sales tax, the fare would just appear lower and - in _theory_ - you would be taking home the same amount after Uber's cut.

In _reality_, Uber is calculating their 20 percent cut based on the total fare after subtracting out the Safe Rider fee and any reimbursables (tolls, airport parking), but _not_ subtracting out the sales tax. I think it might be an honest mistake, albeit one that's taking money out of our pockets.

I've only been doing this since April, but I assume we get a 1099MISC at the end of the year reporting our earnings. If you don't have withholding from another job you may have to file quarterly estimated income tax.


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## LUXYRIDE (Jul 5, 2014)

mp775 said:


> There is no income tax withheld from your earnings. Unlike most of the rest o. the world, ground transportation services are subject to _sales_ tax in Rhode Island. You don't have to pay it; the rider does. It gets added to the fare after the per mile, per minute, and $1 Safe Rider fee, but is included in the total fare you see in the app. If there weren't any sales tax, the fare would just appear lower and - in _theory_ - you would be taking home the same amount after Uber's cut.
> 
> In _reality_, Uber is calculating their 20 percent cut based on the total fare after subtracting out the Safe Rider fee and any reimbursables (tolls, airport parking), but _not_ subtracting out the sales tax. I think it might be an honest mistake, albeit one that's taking money out of our pockets.
> 
> I've only been doing this since April, but I assume we get a 1099MISC at the end of the year reporting our earnings. If you don't have withholding from another job you may have to file quarterly estimated income tax.


Thanks! The "tax" was actually their cut for Uber BLACK. I am U erX. They need to give that back to me. Of course, I sent an email to partnersprovidence to ask them to rectify this (reimburse me); however, I am not confident that I will receive a reply/satsifaction. I wish they had telephone support. For all the money we are generating for them, it seems only fair?


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## mp775 (Jun 26, 2014)

I see it says "Percentage of UberBLACK fares" under Sales Tax on the statement (I never clicked the arrow before), but I think that's just boilerplate that didn't get changed. As UberX in Providence we had to agree to a Sales Tax Addendum in addition to the Standard Terms and Conditions, and the way the state law is written I would say UberX is still subject to sales tax. That said, I still think they're miscalculating and screwing us, and moreso, no you will not receive a satisfactory reply .


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## cybertec69 (Jul 23, 2014)

LUXYRIDE said:


> Just got my first Uber pay statement. I was supposed to get $100 for submitting all my documents before my background check came in. I did that. No $100. WTF?
> 
> Also, I noticed that Uber takes taxes out of my earnings, too??? I wonder if that will be reflected on some kind of 1099 form at the end of the year. * I don't want to be taxed on money that was already taxed!!!!* You know what I mean?
> 
> ...


You are considered an Uber Partner, you will receive a 1099 at the end of the year for the money that Uber payed you, myself as an UberX partner in NYC, I am getting hammered for 31% of my weekly earnings, 20% goes to Uber, and the remaining 11% go to nys sales tax on the fair and the black car fund "workers compensation fund", the tax on the fair is only enacted for black cars in NYC not yellow taxis, we who work as partner with Uber are under the black car class. At the end of the year I will be taxed on that 69% that I get from Uber, so if you earn $1000 in fares, your GROSS is $690 which you will be taxed on, so that is when you sit down with your accountant and come up with your expense reports, like fuel costs, car payments costs, maintenance costs, insurance costs, yearly registration and inspection costs, you can not write off your meal costs, phone costs, just don't go nuts and get audited. At the end of the day you will go home with about $400-$450, and you have to buy your own medical insurance, no benefits whatsoever.
Without it's Uber partners Uber is just another App, but until we stand up for ourselves they will continue to take advantage of us. Here in NYC we are getting hammered with those recent 20% cuts, it makes it almost impossible to put your car on the road.

Here is some truth about what you can actually make as an Uber partner "this article was beofre the 20% price cut", and the author I believe is a bit generous in his assessment, the rich getting richer on the backs of the working lower class.
http://valleywag.gawker.com/beautiful-illusions-the-economics-of-uberx-1589509520


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