Updated Checked by the Tax-Services.ca editorial team How we check
Your Uber tax summary is a record of what the app paid you, and it’s not a tax return. The CRA wants all your driving income reported, tips included, as business income, and it wants you to be registered for GST/HST from your very first fare. Both points surprise new drivers, so check them before you open the summary.
What should you do with your Uber tax summary?
Treat it as the top line of a small business. The CRA says to report all income you earn from driving, using form T2125 if you’re self-employed. The summary gives you fares, tips and the platform’s fees. We haven’t seen the exact layout of Uber’s document, so check that its totals match your own trip log and bank deposits before you rely on it.
Report all income, including tips, that you earn from driving your vehicle for commercial ridesharing purposes on your income tax and benefit return.
Sharing economy, Taxes and the platform economy, canada.ca
Then add what the summary can’t show: fuel, repairs, your phone plan and whatever else you paid to earn the money. The CRA page says you can claim charges the platform keeps, and it asks you to keep detailed records in case it asks for them. A notes app and a folder of photographed receipts do the job.
Do Uber drivers have to charge GST or HST?
Yes, from dollar one. The CRA says a commercial ride-sharing driver must register for GST/HST even when earnings are far below $30,000, because the small supplier exemption doesn’t apply to that work. The effective date is the day you make your first taxable supply. You have until the thirtieth day after that to apply.
The tax is already inside the fare. In Ontario, where HST is 13%, you pull it out by multiplying the fare by 13 and dividing by 113. On $1,000 of fares that’s $115.04, and the HST reverse calculator does it for any amount. For other provinces, the GST and HST calculator has the rate.
| GST/HST point for ride-sharing drivers | CRA position |
|---|---|
| Registration | Required from the first fare, small supplier rule doesn’t apply |
| Input tax credits | Allowed on fuel, repairs, maintenance and lease costs |
| Insurance and interest | No credit, since they carry no GST/HST |
| Quick method | Open if worldwide revenue stays at or under $400,000 including tax, measured over four consecutive quarters |
The CRA’s page for taxi operators and commercial ride-sharing drivers backs up each row of that table.
How much income tax will a driver owe?
Income tax is on profit, meaning income minus business costs. Take an Ontario driver with $40,000 of net profit and no other income. Our calculator gives about $4,221 of income tax plus $4,344 of CPP, so roughly $8,565 goes to the government and $31,435 stays with you. At $20,000 of profit the figures are $477 of income tax and $1,964 of CPP. The CPP bill surprises people, because a self-employed person pays both halves.
These numbers leave out EI and any credits beyond the basics. Run your own figures through the self-employed tax calculator. Nobody holds tax back from your Uber payouts, so you may also owe instalments, and the tax instalments calculator gives a starting point. We haven’t confirmed the instalment rules for ride-sharing, so read the CRA’s instalment pages before you count on a date.
What mistakes do Uber drivers make at tax time?
Skipping the GST/HST registration is the expensive one. Next is deducting the full cost of the car when it’s used partly for personal trips. A logbook of business kilometres against total kilometres is what makes a vehicle claim believable. We haven’t confirmed a fixed percentage or a flat rate on the CRA pages, so don’t guess one.
Another mistake is treating the payout as profit. Uber’s deposit is gross income after the platform’s cut. Your fuel, phone and repairs come out of it before the tax rates apply. And tips count, as the CRA line above says outright.
What would a month look like for a part-time driver?
Say Jas drives evenings in Mississauga and takes in $2,500 in a month. That’s income, not profit. Fuel, a phone plan share and a few repairs might eat a chunk of it, and every loonie she can document lowers the profit the tax is figured on. HST she collected is a separate pile she owes, minus the credits on her fuel and repairs.
The easy habit: one account for driving money, one folder for receipts, one sheet that adds up trips, kilometres and expenses each month.
Sources, and how we checked them
The rules on income reporting, records and GST/HST come from the CRA‘s pages on the sharing economy and on GST/HST for taxi operators and commercial ride-sharing drivers. Dollar figures are estimates from our calculators using 2026 Ontario and federal data. We don’t represent Uber, and we named it only because drivers use its summary. This is an independent information site, not connected to the CRA.
Frequently asked questions
Do Uber drivers have to register for GST/HST?
Yes. The CRA says commercial ride-sharing drivers must register whatever they earn, because the $30,000 small supplier rule doesn't apply.
Are tips taxable for Uber drivers?
Yes. The CRA says to report all income you earn from driving, including tips.
Which form do I use to report driving income?
The CRA points self-employed drivers to form T2125, Statement of Business or Professional Activities.
Can I claim gas and repairs?
You can claim input tax credits on fuel, repairs, maintenance and lease costs. Insurance and interest carry no GST/HST, so there is no credit on them.
How much tax on $40,000 of driving profit in Ontario?
About $4,221 of income tax and $4,344 of CPP in our engine, leaving roughly $31,435. It's an estimate without EI or extra credits.
- Self-employed taxes in Canada: income, CPP and GST
How tax works when you are self-employed in Canada: reporting income and expenses, paying both halves of CPP, instalments and when to register for GST