Uber, DoorDash & Gig Worker Taxes Canada 2026: Complete Guide

Working for Uber, DoorDash, Instacart, Skip the Dishes, or any other gig platform in Canada means you are self-employed — responsible for calculating your own taxes, claiming your own expenses, and making CPP contributions that no employer is splitting with you. This guide covers every step from your first gig dollar to filing your T1.

You are a self-employed contractor

Gig platforms in Canada classify workers as independent contractors, not employees. Practically, this means:

• No income tax withheld — you receive gross earnings and owe the taxes at filing time
• No employer CPP contributions — you pay both employee and employer portions
• No EI premiums collected — and therefore no regular EI benefits if your work dries up (though self-employed EI is available voluntarily for special benefits like parental leave)
• Full deduction of business expenses — which is the main financial advantage of contractor status

Step 1: Track your income accurately

No T4 is issued for gig work. Your income is what the platform paid you, which you can find in:

• Your weekly earnings summaries in the driver/shopper app
• Your annual tax summary, which most platforms (Uber, DoorDash, Instacart) make available in January or February for the prior tax year

Download and save these summaries. Report the gross amount — what you earned before the platform deducted their service fee — because the platform fee is a deductible business expense (though in practice, most platforms report net earnings after their fee, so confirm what your platform’s summary shows).

Step 2: Understand the GST/HST rules

Rideshare (Uber, Lyft)

Since 2017, electronic platforms that facilitate rideshare services are deemed suppliers under Section 278.1 of the Excise Tax Act. Uber collects and remits GST/HST on each ride on behalf of all drivers — regardless of whether the individual driver is registered for GST/HST. As an Uber rideshare driver:

• You do not separately charge GST/HST on trips
• You do not file GST/HST returns for rideshare income
• Uber handles this entirely

However: If you have other self-employment income (Uber Eats delivery, freelancing, etc.) that pushes your total over $30,000, you must register for GST/HST for those non-rideshare activities.

Food delivery (DoorDash, Skip the Dishes, Instacart, Uber Eats)

Under the 2021 digital economy / platform economy rules, qualifying platforms are deemed suppliers for short-term accommodation and certain delivery services. Uber Eats collects and remits GST/HST on delivery services under these rules.

For DoorDash, Skip the Dishes, and Instacart, the deemed supplier rules are more nuanced. These platforms may or may not fully handle GST/HST on your behalf depending on the specific structure. The practical rule:

Once your combined gross self-employment income from all sources (all platforms + any other business income) exceeds $30,000 in four consecutive calendar quarters, you must register for GST/HST with CRA.

At that point you:

1. Register using CRA My Business Account or Form RC1
2. Charge GST/HST on your taxable supplies (delivery services to Canadian consumers are taxable)
3. File GST/HST returns (quarterly or annual, depending on revenue)
4. Remit the GST/HST collected, minus Input Tax Credits (ITCs) on your business expenses

ITCs are the key benefit of registration — you recover the GST/HST you paid on business expenses (gas, phone, vehicle maintenance). This reduces your effective GST/HST cost.

The $30,000 threshold: watch all sources combined

Most gig workers start well under $30,000. But if you drive Uber, deliver for DoorDash, and do some freelance work on the side, you may cross the threshold faster than expected. Track cumulative revenue across all self-employment activities.

Step 3: Track your expenses

Vehicle expenses (the biggest deduction)

You can deduct vehicle costs at your business-use percentage:

Business-use % = Business kilometres ÷ Total kilometres for the year

If you drove 20,000 km in 2026 and 14,000 km were for gig work, your business-use percentage is 70%.

Deductible vehicle expenses:

• Gas and fuel
• Auto insurance (note: must have ride-for-hire coverage to deduct)
• Registration and licence
• Oil changes, tires, brakes, maintenance
• Car washes related to work
• Lease payments (if leased) — deductible at business-use percentage up to a monthly limit ($1,100/month lease cap in 2026, indexed)
• Capital Cost Allowance (CCA) if you own the vehicle — Class 10 (30% declining balance) or Class 10.1 (for vehicles over $37,000 in 2026, capped)

Mileage log: mandatory for vehicle claims

CRA requires a log for every business trip:

• Date
• Starting point
• Destination
• Business purpose
• Kilometres

Apps like MileIQ, TripLog, or Everlance can track this automatically via GPS. A logbook in your glove compartment also works. Without a log, CRA will disallow vehicle deductions entirely on audit.

At year end, also record your vehicle’s total odometer reading (January 1 and December 31) so you can calculate the full-year total kilometres.

Simplified mileage rate (optional)

Instead of tracking actual expenses, some self-employed workers use the CRA prescribed rates:

• 2025 rate: 72¢ per km for the first 5,000 business km, 66¢/km for all additional business km (indexed annually)

You multiply total business kilometres × the rate. This covers all vehicle operating costs. You cannot also claim CCA or actual expenses if you use the simplified method. The simplified method is easier but generally yields a lower deduction than actual costs for high-mileage gig workers.

Other deductible expenses

Step 4: File your T1 with T2125

Form T2125 (Statement of Business or Professional Activities) is filed with your T1 personal return.

Key sections:

• Part 1: Business name (your name is fine), business number (if registered for GST/HST), main product or service (Transportation services / Delivery services), business-use percentage
• Part 3: Gross income — total earnings from all platforms (gross, before platform fees if included)
• Part 4: Business expenses — list each expense category
• Part 8: Motor vehicle expenses — detail your vehicle cost and business-use calculation
• Part 9: Capital Cost Allowance — if claiming depreciation on your vehicle

Net income from T2125 flows to Line 13500 (net business income) of your T1.

Step 5: CPP contributions

Self-employed Canadians pay both the employee and employer CPP contributions on net self-employment income.

2026 rates:

• Employee CPP rate: 5.95%
• Employer CPP rate: 5.95%
• Self-employed total: 11.9%
• Basic exemption: $3,500 (first $3,500 of net self-employment income is exempt)
• Maximum net self-employment income subject to CPP1: ~$68,500 (2026 maximum pensionable earnings − basic exemption)

Example: $40,000 net self-employment income

• CPP base: $40,000 − $3,500 = $36,500
• CPP owing: $36,500 × 11.9% = $4,344

The employer portion (half) is deductible as a business expense on your T1, which reduces taxable income.

CPP contributions build your future CPP retirement pension, so they are not entirely lost — they are forced retirement savings with a government return.

Step 6: Quarterly tax instalments

If your net tax owing (after withholdings) exceeds $3,000 in the current year or either of the two prior years, CRA expects quarterly instalments rather than one lump sum at filing:

• March 15
• June 15
• September 15
• December 15

Missing instalments triggers instalment interest at the CRA prescribed rate. To avoid this, set aside approximately 25–30% of gross earnings in a savings account as you earn, then pay quarterly.

Practical tax calendar for gig workers

For the general side hustle tax overview, see side hustle taxes Canada. For GST/HST registration specifically, see GST/HST on freelance income Canada.