Uber Eats tax in NZ
If you deliver for Uber Eats in New Zealand, you are self-employed. This means you must tell Inland
Revenue (IRD) about your Uber Eats income and pay your own tax.
Step 1: Understand your situation
Before you file your taxes, be clear about these points.
- You are not an employee of Uber or Uber Eats. You are an independent contractor.
- You must declare all money you earn from deliveries, including promotions and tips.
- You can also claim some costs, like fuel and phone, as business expenses.
If Uber Eats is your only work, tax rules still apply in the same way as for any small business.
Step 2: Check if you need GST
In New Zealand, there are two different things: income tax and GST.
- Income tax applies to everyone who earns money.
- GST (Goods and Services Tax) only applies if your business “turnover” is more than 60,000 dollars in 12 months.
For Uber Eats drivers:
- Turnover means total delivery fees and other payments from Uber Eats before expenses.
- If this total is or will be over 60,000 dollars in a 12‑month period, you must register for GST with IRD.
- If you are under the 60,000‑dollar limit, you do not have to register for GST, but you still must file income tax.
Step 3: Keep good records
Good records make tax filing very easy. Start from day one.
Keep a record of your income:
- Download your Uber Eats “Tax Summary” or earnings reports from your partner dashboard.
- Note total delivery fees, incentives, promotions and tips for each tax year (1 April to 31 March).
Keep a record of your expenses (costs of doing delivery work):
- Fuel for your car, scooter or motorbike (only business portion if you also use it privately).
- Maintenance and repairs related to work use.
- Vehicle insurance, road user charges and registration, work share of these costs.
- Mobile phone plan and data used for the Uber app and maps (work portion).
- Safety gear such as insulated bags, phone holders and raincoats for delivery use.
Keep all receipts, invoices and bank statements so you can prove your expenses if IRD asks.
Step 4: Know which tax return you file
New Zealand’s tax year runs from 1 April to 31 March.
As a self‑employed Uber Eats driver:
- You normally file an IR3 individual tax return.
- You must include all your self‑employed income and expenses in this return.
If you also have a job (PAYE salary), you still add your Uber Eats income to the same IR3 for that year.
Step 5: Set up your myIR account
Most people file online through myIR.
- Go to the IRD website and create or log in to your myIR account.
- Link your IRD number and make sure your contact details are correct.
Inside myIR, you can:
- Register as self‑employed or as a sole trader.
- Register for GST if your turnover will be above 60,000 dollars.
- File your IR3 return and, if needed, your GST returns.
Step 6: How to fill your IR3
When you do your IR3 return online, you will see different sections. Here is the simple way to think about them.
- Income section
– Add up all Uber Eats income from your Tax Summary for the tax year.
– Put this total under self‑employed or business income. - Expenses section
– Add your business expenses for the year (fuel, phone, maintenance, etc.).
– Only claim the business portion if you also use the item privately, for example, 60% business and 40% private. - Net profit
– Net profit = income minus expenses.
– IRD uses this net profit to work out how much income tax you must pay.
New Zealand has different tax rates for different income levels, but the website calculates this automatically when you file.
Step 7: If you are GST‑registered
- From 1 April 2024, Uber collects 15% GST on your fares and pays it to IRD under new marketplace rules.
- If you are not GST‑registered, Uber may give you an 8.5% flat‑rate credit on your fares.
- You must still file GST returns, usually every 1, 2 or 6 months, depending on your settings.
- You include the GST on your Uber Eats income and can claim GST on your business expenses.
Step 8: Pay your tax on time
After you submit your IR3, IRD will tell you how much tax to pay and the due date.
- You can pay through internet banking, debit card or other options shown in myIR.
- If your income is high, IRD may ask you to pay provisional tax (paying tax in advance during the year).
If you pay late, IRD can charge penalties and interest, so always try to pay on time or talk to IRD if you have a problem.
