Uber, DoorDash, Ola, Didi: How Rideshare and Delivery Drivers Handle Tax in Australia

Driving for Uber or delivering for DoorDash is a flexible way to earn extra income. The tax side is also manageable — but there's one critical rule most new drivers don't know about, and getting it wrong creates a liability problem from day one.

This guide covers the GST registration rules for rideshare vs delivery, what you can claim, how to track your income, and what the ATO already knows about your earnings.

Quick answer: Rideshare drivers (Uber, Ola, Didi) must register for GST before taking their first fare — the $75,000 threshold does not apply. Food delivery drivers (DoorDash, Menulog, Uber Eats delivery) follow the standard $75,000 threshold. Both must have an ABN and lodge quarterly BAS once registered. Platforms report your income to the ATO.

This is general information, not tax advice — see your registered tax agent for your specific situation.

Source: ato.gov.au — Ride-sourcing services and your tax obligations

The Critical Distinction: Rideshare vs Delivery

This is the single most important thing to understand, and the ATO is explicit about it.

Rideshare (Uber, Ola, Didi, others): GST from Dollar One

If you provide ride-sourcing services — transporting passengers for a fare — you are treated the same as a taxi driver under Australian tax law. The $75,000 GST threshold does not apply.

You must:

  1. Have an ABN before you start driving
  2. Register for GST before you accept your first fare
  3. Charge GST on every fare (the platforms handle this calculation, but you're the registered entity)
  4. Lodge quarterly BAS

There is no grace period. If you drove your first Uber trip without being GST-registered, you're technically already in breach. Rectify this immediately.

Food Delivery (DoorDash, Menulog, Uber Eats delivery): Standard $75k Threshold

Delivering food is classified as a courier service, not a passenger transport service. Standard GST rules apply:

  • If your delivery earnings (plus any other business income) are under $75,000 per year, registration is optional
  • If you exceed $75,000 in any 12-month period, you must register
  • If you're already registered for GST because of ridesharing, all your income — including food delivery — falls under that registration

If You Do Both

If you drive for Uber (GST registration mandatory from day one) and also deliver for DoorDash, you're registered for GST already. All your self-employment income gets reported on your BAS — rideshare and delivery combined.

Step 1: Get Your ABN

You cannot work for any of these platforms without an ABN. If you don't have one, register at abn.gov.au. It's free and takes about 10 minutes.

As a sole trader operating as an individual, your ABN and personal tax file number are linked.

Step 2: Register for GST (Rideshare: Do This First)

For rideshare drivers, register for GST before you create your driver account. You can register via myGov (link the ATO service), or through a registered BAS or tax agent.

For delivery-only drivers below the $75,000 threshold, voluntary registration is an option worth considering if your expenses (car, equipment, phone) generate meaningful input tax credits.

What the Platforms Report to the ATO

This is not optional information — it's important you understand it before you consider not declaring income.

Uber, Ola, DoorDash, Menulog, and similar platforms share income data directly with the ATO through mandatory reporting obligations. The ATO's data-matching program processes this information and cross-references it with lodged tax returns and BAS.

If you earned $18,000 from Uber last year and declared $11,000, the ATO may raise a query. Platforms typically provide annual income summaries to drivers — check your platform's driver portal for your earnings history.

Tracking Your Income

Platform Income Summaries

Each platform provides an income summary — usually accessible through the driver portal or app. These summaries show:

  • Total earnings for the period
  • Any fees or commissions the platform deducted
  • Sometimes GST amounts already built in

Important: The amount deposited into your bank account is your income minus the platform's service fee. Your assessable income for GST purposes is typically the full fare (including the platform's commission), not just what hits your account. Check ATO guidance for the current treatment of platform fees and how they affect your GST liability.

Keeping Your Own Records

Don't rely solely on platform summaries. Keep:

  • Weekly screenshots or downloads of your earnings dashboard
  • Your own running total of km driven (for car expense claims)
  • Records of all business expenses

Key Deductions for Rideshare and Delivery Drivers

These are the main expense categories. Most require receipts or documentation.

Car Expenses (Your Biggest Deduction)

For rideshare, your car is a work tool. The logbook method is strongly recommended because your business use percentage is high and your actual costs are significant.

If you drive 30,000 km per year and 22,000 km are for rideshare and business purposes, that's a 73% business use. Apply that to your full annual car costs.

See our car expenses guide for a detailed comparison of the two methods.

Phone and Mobile Data

Your phone is essential for navigation and platform apps. A reasonable business-use proportion of your monthly phone plan and data is deductible. Keep a record to support the proportion you claim.

Phone Mount and Car Accessories

Phone mounts, dashcams, car cleaning supplies, seat covers used to protect the car for rideshare — these are deductible. Keep the receipts.

Platform Fees and Commissions

The service fee the platform takes from each fare is a deductible business expense. It's usually visible in your platform income summary.

Car Cleaning

Keeping your car clean for passengers is a deductible operating cost. Keep receipts for car washes and detailing.

Parking and Tolls (for work trips)

Parking fees and road tolls incurred during work trips are separately deductible, not covered by the cents per km rate.

Income Protection Insurance

If you take out income protection insurance as a driver (your income depends on your ability to work), the premiums are generally deductible.

BAS: What You Report Each Quarter

Once GST-registered, you lodge a BAS every quarter. Here's what you're reporting:

GST collected: The GST component of your total fares. If your total rideshare earnings (including the platform fee) were $9,900 for the quarter, the GST component is $9,900 / 11 = $900.

Input tax credits: The GST you paid on business expenses — fuel, car servicing, phone, insurance. Divide GST-inclusive expense totals by 11.

Net GST: Collected minus credits. This is what you pay (or get back).

Your PAYG instalment may also appear on your BAS if the ATO has enrolled you based on your prior year income tax liability.

Real Example: Alex's Numbers

Alex drives for Uber 20 hours a week and delivers for DoorDash on weekends.

  • Monthly earnings: $1,800 from Uber rides + $600 from DoorDash deliveries = $2,400/month
  • Annual total: approximately $28,800

Because he's doing rideshare, Alex was required to register for GST from day one — even though $28,800 is well under the $75,000 threshold.

Quarterly BAS workings:

Uber quarterly earnings (full fare including platform fee): ~$6,000 DoorDash quarterly earnings: ~$1,800 Total: $7,800

GST collected: $7,800 / 11 = $709

Business expenses (fuel, car maintenance, phone, cleaning) for the quarter: $2,750 GST-inclusive Input tax credits: $2,750 / 11 = $250

Net GST to pay: $709 - $250 = $459 per quarter

Income tax: Alex's total annual net income from driving (after expenses) is also assessable income for income tax purposes. He adds this to any other taxable income for his annual tax return.

If Alex's combined income (driving + any other source) means he'll owe more than $4,000 in tax this year, the ATO may enrol him for PAYG instalments so he pre-pays that tax quarterly.

Income Tax on Top of GST

GST and income tax are separate. GST collected and remitted is not your income — it passes through. Your actual assessable income is:

Revenue (total fares/deliveries) minus expenses = Taxable income

That taxable income is added to any other income you earn (part-time job, rental income, etc.) and taxed at your marginal rate.

Put aside roughly 25-30% of your net earnings throughout the year to cover income tax, in addition to the GST you're setting aside each quarter.

Tools That Make This Easier

Tracking platform income, car expenses and quarterly GST manually is manageable when you're starting out but gets messy as your earnings grow. Keeping it all in one place means BAS time is a 20-minute job, not a two-day scramble.

Summed handles BAS prep automatically — try it free for 30 days at $9/mo. Start free →

FAQ

Q: I just signed up to Uber. Do I need to register for GST before my first trip?

A: Yes. The ATO requires GST registration before you commence ride-sourcing. Register via myGov or through a BAS agent. Then complete your Uber onboarding with your ABN.

Q: Does Uber register me for GST automatically?

A: No. GST registration is your responsibility, not the platform's. Uber collects and remits GST on some transactions in some circumstances, but your personal GST registration and BAS lodgment obligations are yours.

Q: I drove for Uber for 3 months before I knew about the GST rule. What should I do?

A: Register immediately, then talk to a registered tax agent about how to handle the back period. Self-reporting is treated more favourably than being discovered. The ATO has disclosure processes for this.

Q: Can I claim the car I bought specifically for rideshare?

A: Yes. Under the logbook method, you claim the business-use proportion of all car costs including depreciation (decline in value). A car bought purely for rideshare would have a very high business use percentage.

Q: Are tips from passengers assessable income?

A: Yes. Tips received in the course of your business are assessable income, and the GST treatment depends on how they're collected and whether they're compulsory or voluntary. Most platform tips have GST implications — check ATO guidance or ask your agent.

Q: What if I earn below $18,200 total income from driving — do I still need to lodge a tax return?

A: If you're GST-registered, you still need to lodge BAS regardless of income level. For income tax, even if your income is below the tax-free threshold, you may still need to lodge a return if you're running a business. Check with the ATO or a tax agent.

Q: I'm on a visa. Does this change my tax obligations?

A: Your tax obligations depend on whether you're a tax resident of Australia, not your visa status. Most people living and working in Australia are tax residents. If you're unsure, check the ATO's residency rules or speak to a tax agent.

Q: Do I need a separate ABN for rideshare and delivery?

A: No. One ABN covers all your sole trader activities. You report all earnings across both activities in the same BAS and tax return.