Skip to content

Uber Tax for Drivers in Canada: GST/HST and Income

Updated Checked by the Tax-Services.ca editorial team How we check

Uber tax in Canada means two things: income tax on what you earn as a driver, and GST/HST on the fares you collect. For rideshare, the CRA says you register for GST/HST the moment you start earning, and the $30,000 small supplier limit doesn’t apply.

This page assumes you drive for Uber, or a similar rideshare app, in Canada. If you mean the Uber Eats side, delivery follows different GST/HST rules, so check the CRA’s page on the platform economy before you decide.

Are you an employee or self-employed when you drive?

Self-employed, going by the CRA’s guidance for commercial ridesharing. You have no employer and no T4, and no tax comes off each trip. You report the income yourself, you keep the books, and you handle the tax.

That has a catch people don’t see coming. Nothing is withheld along the way, so the whole bill lands when you file, and it may be bigger than you’d guess.

Do you have to register for GST/HST?

Yes, and you don’t get a choice. Per the CRA, a rideshare driver has to add GST/HST to fares and send it in, even on a few trips. Plenty of small businesses can wait until sales pass $30,000 a year. Commercial rideshare can’t.

There’s an upside called input tax credits: GST/HST you paid on costs of doing the work, such as fuel or phone service, can be claimed back. To claim any of it, you need receipts, so start saving them on the first day.

We didn’t confirm the filing frequency or the exact deadline to register on a CRA page, so read the registration steps there before you apply.

How much tax does a driver pay on $40,000?

Your income for tax is net income, meaning fares and tips minus business costs. Say you took in $52,000 and spent $12,000 on fuel, insurance, the platform’s fees and upkeep. That leaves $40,000. The figures are made up to show the maths, so swap in your own.

Item, Ontario, 2026 Amount
Federal tax $2,689
Ontario tax $1,533
CPP, both halves $4,344
Total tax and CPP $8,565
Left after both $31,435

Look at CPP. A self-employed person pays the employee share and the employer share, and here it’s bigger than the income tax. The self-employed tax calculator produced these numbers. It leaves out EI and GST/HST, and it doesn’t know your costs unless you enter net income.

Put $3,000 of deductions into the same tool, for example an RRSP contribution, and the total falls to $7,905. Income tax drops, but CPP stays put, since the tool applies deductions to income tax only. Whether that matches the CRA’s treatment isn’t something we’ve verified.

What can you deduct as a driver?

The CRA says self-employed rideshare drivers can claim expenses such as the fees the platform keeps and other goods and services bought to earn income. Keep every receipt. If you use one vehicle for work and for the family, only the business share counts, and we couldn’t confirm how the CRA wants that split recorded, so read its vehicle guidance.

Tips count as income too. The CRA is direct about it: report all income, including tips.

When do you pay, and when do you file?

For 2025, self-employed people have until June 15, 2026 to file, but any tax owing was due April 30, 2026. Dates for 2026 haven’t been published yet. So set money aside as you earn it, because the April payment date doesn’t move with the extended filing date.

If you’ll owe a few thousand dollars again next year, look at tax instalments. The calculator uses a $3,000 threshold and four dates: March 15, June 15, September 15 and December 15.

For a bigger picture of your finances beyond the app, try the income tax calculator if you also have a salary, or the tax refund calculator to see what a part-time job’s withholding covers.

Where the numbers come from

Rideshare rules come from the Canada Revenue Agency’s tax tip on commercial ridesharing and its platform economy pages. Filing dates are from the CRA’s 2025 return page, and rates and CPP figures from its 2026 pages. The dollar examples come from our calculators, and the income and costs in the example are assumptions.

Frequently asked questions

Do I need a GST/HST number to drive for Uber?

The CRA says commercial rideshare drivers must register as soon as they start earning. The $30,000 small supplier limit doesn't apply.

Are tips taxable?

Yes. The CRA says to report all your income, including tips, on your return.

Can I deduct expenses as an Uber driver?

Yes, if you're self-employed and the costs are for earning the income. That covers platform fees and other goods and services you buy to work.

Does Uber withhold income tax for me?

Not as an employer would. The CRA treats rideshare drivers as self-employed, so you report income and pay the tax yourself.

When is my return due for 2025?

June 15, 2026 if you had business expenses, though any tax owing was due April 30, 2026.

More on this topic

Information only. This page is general information, not tax, legal or accounting advice. Tax-Services.ca is an independent publisher: we don't prepare or file tax returns or offer tax services, and we have no connection with the CRA, Revenu Québec, any government or any company named on this page. Check the figures that matter with an official source or a qualified professional.

Previous Article

Business Bookkeeping: What Records to Keep and Why

Next Article

My tax account: what CRA My Account covers

Share this page