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Accountants for Taxi Drivers & Couriers

  • Register for self assessment once gross platform income passes £1,000 in a tax year — even part-time or alongside a job
  • Mileage method: 45p/mile first 10,000 business miles, 25p after — simple, and often generous for high-mileage drivers
  • Actual-cost method: business share of fuel, insurance, licensing, repairs, and capital allowances — better for expensive vehicles, needs full records
  • Uber, Bolt, Deliveroo, Just Eat and Amazon Flex report earnings data to HMRC under the digital platform rules (since January 2024)
  • Typical fees: one-off driver returns from ~£150; ongoing support £39–£89/month on our benchmarks

Mileage or actual costs: the one decision that moves the number

For most multi-app drivers the simplified mileage rate wins on both tax and effort — 30,000 business miles claims £9,500 with just a mileage log. Actual costs pull ahead with newer or financed vehicles, big insurance premiums, or electric cars charged at home. The catch: once you use mileage for a vehicle you generally stick with it for that vehicle, so the choice deserves ten minutes with an accountant before your first return, not after.

Multi-app income and the paper trail

A typical week might mix Uber, Bolt, and Deliveroo, with tips inside and outside the apps, tolls, and congestion charges. Each platform's annual statement arrives in a different format, and HMRC receives its own copy of your figures. A driver-savvy accountant reconciles the lot, claims what's legitimately deductible (phone share, licensing and medical fees, vehicle cleaning, replacement equipment), and keeps your return matching what HMRC already knows.

VAT, limited companies, and when drivers outgrow the basics

Private-hire operators and drivers approaching £90,000 turnover need VAT advice urgently — the Uber-driven litigation on VAT in private hire is still reshaping the sector, and fleet operators have their own margin-scheme questions. Most single drivers stay sole traders; incorporation rarely pays below roughly £40,000 profit once extra admin is counted. Couriers building a fleet with subcontracted drivers add employment-status risk — that's the point to move from a once-a-year return to monthly support.

Frequently asked questions

Uber/Deliveroo already took their commission — do I declare gross or net?

Declare the gross fares/fees you earned, then deduct platform commission as an expense — same result, correct presentation. Your accountant will take the figures from each platform's tax summary.

Can I claim my car's purchase cost?

Only under the actual-cost method: cars get capital allowances (electric cars bought new can qualify for 100% first-year allowance; petrol/diesel get writing-down allowances on the business share). Under the mileage method the 45p/25p rate is deemed to cover it.

What records do I actually need to keep?

A mileage log (apps like MileIQ or a simple spreadsheet), platform annual statements, and receipts for anything claimed outside mileage — phone, licensing, cleaning, equipment. Keep everything at least 5 years after the 31 January deadline; digital records become mandatory under MTD once income passes £50,000 from April 2026.

Information only — not tax, accountancy, or financial advice. Rules and thresholds change; confirm current positions with GOV.UK or a qualified accountant. Last reviewed: 2026-07-09.