Rideshare and Delivery Driver Tax Requirements (Australia)

MyCarTracks_support · May 18, 2026, 11:32am

Gig driver tax requirements in Australia depend on what you do through the app. Passenger ride-sourcing has a day-one Australian Business Number and goods and services tax rule, while delivery-only work usually starts with the normal GST turnover test.

The Australian Taxation Office (ATO), the federal tax agency, says ride-sourcing drivers need an Australian Business Number (ABN), the number that identifies your business or sole-trader activity, and goods and services tax (GST) registration from the day they start. GST is the 10% tax many Australian businesses collect from customers and report to the ATO.

Quick answer

If you drive passengers, deliver food, or do courier work through apps in Australia:

report all platform income, tips, bonuses, incentives, and reimbursements that are assessable income
keep app statements, bank deposits, invoices, receipts, and vehicle records
get an ABN if the platform requires it or you are carrying on a business
register for GST from the first ride-sourcing passenger trip
use the normal GST registration rules for delivery-only work unless another rule applies
lodge a business activity statement (BAS), the form many GST-registered businesses use to report GST to the ATO, if you are GST-registered
choose the correct Australian car expense method and keep business kilometres
keep tax records for five years where ATO recordkeeping rules require it

Do not use US, Canada, or UK gig tax language for an Australian return. Use ATO income tax, GST, BAS, and car expense rules for the relevant income year.

Gig driver tax requirements in Australia: rideshare versus delivery GST

Ride-sourcing is passenger transport. The ATO’s ride-sourcing registrations page says ride-sourcing drivers need an ABN and GST registration from the first day they provide ride-sourcing services, regardless of turnover. It also says ride-sourcing drivers report GST monthly or quarterly, not annually.

Delivery-only work is different. The ATO’s sharing economy guidance says income from providing services through a digital platform, including delivering goods such as food or parcels, needs to be reported. For GST, most delivery-only drivers start with the general GST registration rules, including the $75,000 GST turnover threshold.

If you do both rideshare and delivery, keep separate records by work type. Do not let a delivery-only assumption hide the ride-sourcing GST rule.

Income tax basics

Gig platforms usually do not withhold income tax for sole traders. You report business income in your tax return, then claim eligible deductions that are supported by records.

For the 2025-26 income year, the ATO resident tax rates are:

Taxable income	Tax on this income
$0-$18,200	Nil
$18,201-$45,000	16c for each $1 over $18,200
$45,001-$135,000	$4,288 plus 30c for each $1 over $45,000
$135,001-$190,000	$31,288 plus 37c for each $1 over $135,000
$190,001 and over	$51,638 plus 45c for each $1 over $190,000

Your tax is based on taxable income from all sources, not just app income. Wages, business income, investment income, and other taxable income can all affect the bracket. The tax-free threshold is not a separate free amount for each app.

Medicare levy and private health insurance

The Medicare levy is separate from income tax rates. The ATO’s Medicare levy guidance says the standard levy is 2% of taxable income, with reductions or exemptions for some taxpayers.

The Medicare levy surcharge is different again. It can apply to higher-income taxpayers who do not have appropriate private hospital cover. Do not calculate the surcharge from a forum example; use the ATO’s current thresholds for the income year and your family status.

Private health insurance rebates also depend on income, age, and policy details. Treat them as personal tax settings, not gig-platform settings.

Deductions and car expenses

Common gig-driver expense categories can include platform fees, commissions, tolls, parking, cleaning, phone costs, delivery bags, safety gear, tax-agent fees, accounting software, and the business-use share of vehicle costs. You still need records and a link to earning income.

For cars, the local ATO Mileage Guide for Australia explains the cents-per-kilometre method and logbook method. Sole traders and eligible partnerships can usually choose between those methods for cars. Other vehicle types and business structures can use different rules.

Do not claim the same vehicle cost twice. If you use the cents-per-kilometre method, the rate already takes running costs into account. If you use the logbook method, keep odometer readings, a representative logbook period, receipts, and business-use calculations.

GST, BAS, and GST credits

If you are GST-registered, you need to track GST collected or collectible, GST credits, business purchases, and BAS reporting periods. App statements can help, but they are not a full GST file.

For passenger ride-sourcing, fares often include GST. Your platform summary may show fare, GST, fees, and tolls, but you remain responsible for your GST records.

For delivery-only work, GST registration may start when you meet the normal threshold or choose to register voluntarily. Once registered, GST and income tax are still separate: GST is reported through BAS, while taxable profit goes through the income tax return.

Records to keep

Keep these records during the year:

platform weekly, monthly, or annual statements
bank deposits and payment records
tips, bonuses, incentives, cancellations, refunds, and reimbursements
ABN and GST registration details
BAS lodgments and payments if GST-registered
receipts and tax invoices for expenses
business kilometres, odometer records, and trip purpose
vehicle registration, insurance, inspection, repairs, servicing, tyres, fuel, charging, parking, and tolls
notes separating rideshare, delivery, courier, and private use

ATO recordkeeping guidance generally requires records to be kept for five years. Keep electronic records clear, backed up, and readable.

How MyCarTracks fits

Use MyCarTracks automatic mileage tracking to tag rideshare, Uber Eats, DoorDash, private trips, and other app work separately. Review trips weekly so business kilometres and private stops are fixed before tax time.

Mileage tracking does not decide whether GST applies or which deduction method is best. It gives you the kilometre evidence that makes the tax calculation reviewable.