So here it is, 16 expenses delivery drivers claim on a tax return.
As our thirst for on-demand products delivered next day increases, so has the need for delivery drivers.
This has given people the opportunity to work flexibly around family commitments, choose when to work on their terms, and in most cases increase their income from being able to work for multiple companies.
Its possible to work for Amazon Flex during the day, then deliver food for Ubereats in the evening. This may mean your down time is limited butWorking for Ubereats can increase your pay significantly.
Delivery drivers are able to work for various companies at once due to them being classed (in most cases) as self employed. If this is something you would like to do you may like to read this 7 Step Self-Employed Delivery Driver Guide.
A self employed delivery driver does 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.
When a self employed delivery driver receives the pay they have earned from a company, the payment that arrives in their bank account has not had the tax withheld from it.
This means that as a self employed delivery driver you must register as self employed, then ask an accountant to prepare and file your tax return to HMRC, and pay any tax that is due.
This may sound a little scary, so we would recommend you talk things through with an accountant such as Ugo Tax
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 youfile a tax return with Ugo Tax.
You can reduce your tax bill by claiming costs of things you require to do your job as expenses.
What if I am an employed delivery driver? If this is the case you cannot claim expenses back from HMRC.
When you are 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. You must ensure records are kept correctly should you be investigated by HMRC, and are asked to prove you have legitimately paid for these expenses.
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.
16 Expenses Delivery Drivers Claim on a Tax Return
Below is a list of allowable expenses self employed delivery drives can claim back tax on when they complete their tax return.
- Vehicle and Courier Insurance
- Accountancy Fees
- Road Tax
- Breakdown Recovery
- Phone Holders and Chargers
- Parking Charges
- Vehicle cleaning/car washing costs
- Vehicle polishing and cleaning materials e.g: Buckets, sponges and clothes
- MOT Annual charges
- Vehicle repairs and servicing costs associated with maintaining your vehicle
- Mobile phone usage
- Sat Nav
- Petrol/Diesel Costs from refuelling
- Toll Charges
- Vehicle purchase/hire or leasing costs
- Delivery bags used to keep food warm if you work for Ubereats as a food delivery driver
PLEASE NOTE: unfortunately you cannot claim parking or speeding fines, so be aware of your speed and where you park.
Hopefully this post about the 16 expenses delivery drivers claim on a tax Return has given you a little knowledge and understanding about what expenses you can claim for. If you have more questions or need help completing a tax return get in contact today with Ugo Tax.
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