Rideshare Driver (Uber / Ola)

Tax guide for New Zealand Uber, Ola, and rideshare driver contractors

Allowable Expenses

• Vehicle running costs — Fuel, servicing, tyres, registration, WOF
• Vehicle cleaning — Washes and detailing required for rideshare standards
• Phone data plan — Data used for rideshare app — business proportion
• In-car supplies — Water, mints, chargers for passengers — business expense
• Vehicle depreciation — Business proportion of vehicle depreciation

Tax Tips

• Rideshare income is subject to GST from the first dollar earned — register immediately
• Uber NZ and Ola are required to report payments — IR will know your income
• Vehicle cleaning costs for maintaining rideshare standards are deductible
• In-car passenger supplies (water, phone chargers, mints) are fully deductible business costs — keep purchase receipts

Frequently Asked Questions

Do NZ Uber drivers need to register for GST?

Yes. Rideshare services (Uber, Ola) are electronic marketplace transactions and are subject to GST from the first dollar. You must register for GST as a rideshare driver regardless of your annual turnover.

Can NZ Uber drivers claim vehicle cleaning costs?

Yes. Cleaning and detailing your vehicle to meet rideshare platform standards is a legitimate deductible business expense. Keep receipts from car washes and valeting services.

What vehicle expenses can NZ Uber drivers claim?

You can claim fuel, servicing, tyres, WOF, registration, insurance, and vehicle depreciation in proportion to business use. The logbook method is recommended for rideshare drivers — use it for 3 months to establish your business-use percentage, then apply that to actual annual costs.

How do NZ Uber drivers declare income on their IR3?

All rideshare income received (gross of Uber's service fee) must be declared. You then deduct Uber's fee as a business expense along with your vehicle and other costs. Your taxable profit is the net amount after all allowable deductions.