Is Amazon Flex Tax Free?

If you are looking for a some additional part or full time work, Amazon Flex with its ever expanding opportunities across the UK may be a great choice.

However, one question you may be having is is Amazon Flex Tax Free, so let’s get into answering that.

The Short answer is no, Amazon Flex is not tax free.

Why is Amazon Flex pay taxable?

When you deliver parcels for Amazon Flex you are generating an income which means that it is considered taxable income by the UK Government.

Why doesn’t tax get taken from my Amazon Flex pay?

When you are employed by an employer you may have noticed that when you get a payslip, you will have had tax and national insurance contributions deducted from your pay.

However Amazon Flex pay is different because you are not employed, instead you are classed as self-employed, which means that you are responsible for declaring your income and paying any tax or national insurance which might be due.

How do I pay Amazon Flex Tax?

As a self-employed amazon flex driver you must submit a self-assessment tax return to HMRC each year. The simplest and stress free way to do this is tocontact us at Ugo Tax.Ugo Tax specialise in providing accountancy services for delivery drivers across the UK.

How do I declare my Amazon Flex Pay:

1. First thing you need to do is to register for self assessment which can be done online.
2. Each year you must complete a tax return which will ask for a breakdown of your income for that tax year.
3. If you have expenses which relates to the work you do for Amazon Flex you will also need to include these in your tax return. Including expenses in your tax return can also help to reduce the amount of tax you pay. The type of delivery driver expenses you can claim can depend on many factors, so it is always a good idea tospeak to Ugo Tax who can advise.

Does Amazon Flex Report To HMRC?

From January 1 2024 HMRC has asked companies such a Amazon Flex to record and report how much money delivery drivers are making. This forms part of a wider crack down on people who avoid paying tax on side hustles they may have.

So if you want to stay on the right side of the law registering as self employed and reporting your Amazon Flex pay each year is a good start.

Got a question about Amazon Flex tax? Speak to the team at Ugo Tax now.