16 Expenses Delivery Drivers Claim on a Tax Return

So here it is, 16 expenses delivery drivers claim on a tax return in the UK.

As our need for next-day delivery increases, so does the demand for delivery drivers.

This demand has given people the opportunity to work flexibly around family commitments, the choice to choose when to work, and in most cases, increase their income from being able to work for multiple companies.

It’s possible towork for Amazon Flex during the day, then deliver food for Uber Eats in the evening.

Self-employed delivery drivers in the UK do not work for an employer who pays them a salary each week or month. Instead, they enter into a contract with a company and earn an income, which has various responsibilities around tax.

When a self-employed delivery driver gets paid, the pay that arrives in their bank account it has not had the tax withheld from it, which means they will need to complete a tax return.

What is a tax return?

A tax return is a document which we submit to HMRC on behalf of our customers who are self employed.

The tax includes information such as how much money they have made as a self-employed delivery driver, the amount of tax which has already been paid, as well as any tax that might be due.

How to become a self employed delivery driver?

To become a self-employed delivery driver, you need to complete your self-employed registration with HMRC, then ask an accountant to prepare and file your tax return to HMRC, and pay any tax that is due.

Are you looking for a new challenge? Amazon Flex is a great opportunity for delivery drivers in the UK.

It’s perfect for people who want to work full-time or make a bit of money on the side using their own vehicle. If you’re thinking, is Amazon Flex worth it, did you know that self-employed delivery drivers can earn between £13-17 per hour.

Before we get into our list, I bet you didn’t know that as a self-employed delivery driver, you can claim back tax from HMRC when you submit a tax return to HMRC. If you’re wondering, do I need to do a tax return? The general rule is that if your income hasn’t been taxed, you will.

You can reduce your tax bill by claiming expenses if you’re self-employed. HMRC allows you to deduct these expenses to work out your taxable profit.

What if I am an employed delivery driver? If this is the case you cannot claim expenses back from HMRC.

When you work as a self employed delivery driver you have certain responsibilities. One thing you must do is keep records for any expenses you are considering claiming back in your tax return.

The reason you must keep records is incase you are investigated by HMRC, and are asked to prove you have legitimately paid for these expenses.

16 Expenses Delivery Drivers Claim on a Tax Return

PLEASE NOTE: There are strict rules associated with expenses that delivery drivers claim on a tax return in the UK.

Unfortunately, you cannot claim parking or speeding fines, and you need to decide if you will claim mileage instead of actual expenses (for example, petrol or vehicle servicing costs), as you cannot claim both.

Below is your 16 expenses delivery drivers claim on a tax return:

Vehicle expenses delivery drivers claim

Fuel and mileage: When delivery drivers submit a tax return, they can claim the cost of petrol, diesel or electric charging fees as an expense.

Business Insurance: As a delivery driver, you require the necessary insurance (called Hire and Reward) to deliver parcels or food. This cost can be claimed as an expense.

Maintenance and repairs: Cars and vans need regular servicing and maintenance to keep them on the road. The cost of MOTs, tax, annual servicing, and parts like tyres and brake pads can be claimed as expenses.

Leasing, rental, and hire purchase payments: claiming the cost of renting a van, or the monthly hire purchase of your vehicle is an allowable expense.

Roadside Assistance: If you have a membership to the AA, Greenflag or RAC, you can claim this as an expense on your tax return.

Professional Fee’s:

Accountancy fees: the accountancy fees you pay an accountant to submit your tax return can be claimed as an expense, including the software from Intuit quickbooks which is used to track expenses and mileage.

Parking fees and tolls costs delivery drivers can claim as an expense:

You can claim the fees for using tolls or parking fees. Importantly, you must keep receipts, in case you are investigated by HMRC.

Vehicle Cleaning Costs

Car wash fees, interior cleaning products (like air fresheners), and floor mats are allowable expenses.

Additional expenses delivery drivers can claim

• Phone Holders and Chargers
• Mobile Phone holders and bluetooth headsets
• Sat nav including subscriptions
• Delivery bags
• A proportion of your monthly mobile phone bill

Frequently Asked Questions for UK delivery drivers

Can I claim car wash or vehicle cleaning expenses as a self-employed delivery driver?

Yes, the cost of keeping your vehicle clean and tidy is an allowable business expense you can claim on your tax return.

Are parking charges and toll fees tax-deductible expenses I can claim on a delivery driver tax return?

Yes, parking and toll fees directly related to deliveries are tax-deductible. However, parking fines or penalties are not.

Can I use fuel receipts to get tax back?

To keep things simple you may choose to calculate your vehicle expenses using a mileage allowance instead of using actual costs which can be a great deal simpler. If you choose to do this you can claim 45p per mile for the first 10,000 miles and 25p per mile thereafter.

Got a question?

Why not get in touch if you have a question about how to submit your self-employed delivery driver tax return?

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