One of the things a lot of new drivers overlook when they’re just getting started is taxes. Taxes as an independent contractor might seem scary, but they’re actually pretty simple. Today, we’re going to answer all the questions you may have to make sure you maximize your deductions and minimize your taxes paid.
The info below is all relevant for filing your 2017 taxes – this means the GOP Tax Plan will not affect your taxes this year, but they may next year. For more information on the new tax plan (which takes effect for 2018 taxes), check out our article “How the New GOP Tax Bill Affects Rideshare Drivers” here.
Every year by the end of January, Uber and Lyft send out 1099s for the prior tax year that detail how much you made, what fees they took out and the miles you drove. And since drivers are independent contractors, all that means for your taxes is that you’ll have to file a Schedule C in addition to your 1040. This year they cut it pretty close and sent out 1099 info on Jan. 31, 2017!
So let’s get started and see how to file your taxes as a rideshare driver.