
If you drive for Uber in Australia, you’re running a small business as a sole trader which means you can claim a wide range of tax deductions to reduce your taxable income. The Australian Taxation Office (ATO) allows you to deduct expenses that are directly related to earning your rideshare income.
This guide provides a complete Uber driver tax deductions list for Australia so you know exactly what you can claim and how to maximise your return.
Mileage (Cents-per-Kilometre Method)
This is the most common deduction. You can claim:
All kilometres driven while online
Driving to pick up passengers
Trips with passengers
Travel between trips
The ATO allows you to estimate vehicle costs using mileage or keep detailed records depending on your method.
👉 Car depreciation guide for rideshare drivers (Australia)
Vehicle Expenses (Actual Method)
If you use the logbook method instead of mileage, you can claim:
Fuel and oil
Repairs and servicing
Tyres
Insurance
Registration
Depreciation
These expenses must be claimed based on your business-use percentage.
Uber Fees & Commissions
Uber takes a percentage of every fare and this is fully deductible. You can claim:
Service fees
Booking fees
Platform commissions
These are considered direct business expenses.
Phone and Accessories
Your phone is essential for Uber driving. You can claim a percentage of:
Phone bill
Data plan
Phone mounts
Chargers
Bluetooth devices
Only the business-use portion is deductible.
👉 Phone & Data Tax Deductions for Gig Workers (Australia)
Tolls and Parking
Fully deductible when working. Examples:
Toll roads (e.g. CityLink, Harbour Bridge)
Airport access fees
Parking during trips
Transport-related costs like tolls and parking are valid deductions when incurred while earning income.
Car Cleaning
Keeping your car clean is part of the job. You can claim:
Car washes
Interior cleaning
Detailing
Cleaning supplies
Vehicle cleaning is considered a valid operating expense.
Insurance
You can claim:
Car insurance
Rideshare insurance
Business-use portion of premiums
Insurance is part of operating your vehicle for business purposes.
Passenger Amenities
Small costs that improve rider experience are deductible. Examples:
Water bottles
Snacks or mints
Phone chargers
Tissues or masks
These are considered business-related expenses for providing service.
Safety and Tools
Equipment used for safety and operations:
Dash cams
Flashlights
Emergency kits
Phone holders
These are classified as business equipment.
Vehicle Interest or Lease Costs
If you finance or lease your car:
Loan interest (not principal)
Lease payments
These must be adjusted for business use percentage.
Miscellaneous Deductions
Other commonly overlooked deductions include:
Mileage tracking apps
Roadside assistance membership (business portion)
Bank fees (if using a separate account)
Accounting or tax agent fees
Seat cushions or driver support tools
Many administrative and software expenses used for business are deductible.
Important Rules for Claiming Deductions
To claim deductions, the ATO requires that:
The expense is directly related to earning income
You keep records or receipts
You only claim the business-use portion
If you can’t prove it, you generally can’t claim it.
Why Tracking Your Deductions Matters
Every deduction reduces your taxable income.
👉 More deductions = less tax paid
But the challenge is tracking everything correctly especially if you drive frequently.
Make It Easier with Accounting Samurai
Manually tracking deductions in spreadsheets can be time-consuming and error-prone.
Accounting Samurai simplifies this process:
Upload your bank or card statements
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Instead of guessing your deductions at tax time, you’ll have everything organised and ready.
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Key Tips to Maximise Your Deductions
Keep a Logbook Early
If you plan to use the logbook method, start recording trips early. It can significantly increase your deductions.
Track Expenses Weekly
Don’t wait until tax time. Small expenses like tolls and cleaning are easy to forget.
Separate Business Finances
Use a dedicated bank account for Uber income, it makes tracking and reporting much easier.
Generate a P&L Regularly
A monthly Profit & Loss statement helps you stay on top of your finances and avoid surprises at tax time.
This Uber driver tax deductions list covers the most important expenses you can claim in Australia, from vehicle costs and tolls to phone bills and Uber fees. The key is not just knowing what to claim, but tracking it properly. If you stay organised throughout the year, you’ll maximise your deductions and minimise your tax stress.