Uber Driver-Partners: Tax Deductions for Mileage and Using a Rental Car – TurboTax Tax Tip Video

Uber Driver-Partners: Tax Deductions for Mileage and Using a Rental Car – TurboTax Tax Tip Video


Hi, this is Lisa Skelly. I’m one of the tax and Uber driver-partner experts here at TurboTax, and I’m going to talk to you a little bit about your expenses – specifically around mileage and rental cars. As an Uber driver-partner, one of your biggest tax deductions are your vehicle. That part is business miles. So, those are the miles reflected on your tax summary, when you’re in the app. So, that could be getting a passenger or driving in-between passengers. For Uber Eats, it may be going to the restaurant and then delivering. Those miles are just your business part. So, now that we’ve talked a little bit about business miles, let’s talk about how you deduct those. There’s two options. You can either take straight mileage or you can do actual and do a percentage. So, your actual costs are going to be things like your gas and your oil changes. Maybe your tire rotation. Put all of the information into TurboTax Self-Employed and we’ll actually show you what the best deduction for you is. Now, if you rent a car for your Uber driving, the expenses are handled a little differently. You’ll want to have your rental agreement fees and your gas associated with that rental. That expense is actually written off as rental equipment. And it’s a little different. But TurboTax Self-Employed will help you get it into the right place.