1099 Tax Help for DoorDash and Grubhub Drivers

Earning with Doordash or Grubhub? Here’s You Need to Know About Taxes

If you’re delivering with Doordash or Grubhub, you’re basically running your own small business. And that means you’ll get a special form (called a 1099) for your taxes. Plus, there are some cool ways to pay less tax if you know about the expenses you can deduct.

Still with me? Cool, let’s dive in.

The Basics

Doordash and Grubhub think of you as your own boss, not their employee. So, whether you Dash or Grub on weekends or after school, remember this: Doordash/Grubhub isn’t holding back any money for taxes from your earnings.

This means you need to know how much you’ve earned and how much tax you owe. But hey, there’s an upside! You can reduce the amount you owe by claiming some of the money you’ve spent as business expenses (like gas, your phone, and even those cool bags that keep the food warm).

Got My Doordash or Grubhub 1099. Now What?

Doordash will send you a form called 1099-NEC if you earned more than $600. This shows how much you made with them last year. Here’s what you do next:

Working with a tax pro? Just hand them the 1099 and any expense info.

Using tax software? Just follow the prompts and enter your earnings and expenses. You can find more information on TurboTax’s website or H&R Block’s website.

Doing taxes old school? Fill in your earnings on a form called Schedule C. You’ll also list the expenses you want to deduct there.

How Do Food Delivery Couriers Pay Taxes? – Get It Back

Which Expenses Can I Deduct?

1. Mileage: Every mile you drive for Doordash (or Grubhub) counts, except when you’re just commuting. Here’s where ExpressMileage mileage log maker comes in handy. It automatically generates a mileage log for the whole year in a format that the tax people (the IRS) like. Remember, if you claim mileage, don’t also claim gas – it’s one or the other.

Do you need a mileage log to tax the maximum tax deduction for your Doordash / Grubhub driving?

2. Phone and Service: If you’re using your phone for Doordash / Grubhub, part of the cost can be deducted. Think about how much you use it for work vs. personal stuff. And any phone accessories you bought mainly for the job (like car chargers) can also be deducted.

3. Health Insurance: If you pay for health insurance yourself, some of that might be deductible. But if you’re getting a discount or subsidy on it, only the part you pay can be claimed.

4. Delivery Gear: Those bags you use to keep orders hot? Yep, they’re deductible. Just make sure you’re not using them for personal stuff too.

5. Tolls and Parking: If you pay tolls or parking while delivering, you can deduct those. But remember, speeding or parking tickets don’t count.

6. Inspections: If Doordash makes you get your car inspected or do a background check, those costs are deductible.

7. Roadside Help: If you’ve signed up for AAA or another service, part of that can be deducted. Again, think about how much is for work vs. personal use.

If you’re making some extra cash with Doordash or Grubhub, it’s important to know your tax obligations. But with the help of tools like ExpressMileage mileage log maker, you can make the process a lot smoother and potentially save some money. So, happy dashing and smart saving!

More Resources

Doordash “Dasher Guide to Taxes” for drivers

Doordash guide to filing 1099 for Partner Restaurants

Grubhub 1099: How Taxes Work For Grubhub Drivers

Get the maximum tax deduction you deserve from your Grubhub or Doordash driving. Make a mileage log today to get the $$$$ tax deduction you deserve! Our users average a $7610 tax deduction! Get yours today!

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