Taxi driver accountants · UK-wide
Accountant for taxi drivers UK.
Self-assessment, allowable expenses, Uber/Bolt income, vehicle costs, and MTD compliance for taxi and private hire drivers. FCCA-led, with scope and fee confirmed in writing.
Book a call →What taxi drivers need from an accountant
Taxi and private hire drivers are self-employed and must file annual self-assessment tax returns declaring all platform income (Uber, Bolt, FREENOW, etc.) and claiming allowable expenses to reduce taxable profit. The key is maximising legitimate expense claims — particularly vehicle costs, licensing fees, and platform charges. Since April 2026, drivers with qualifying income above £50,000 must also comply with MTD Income Tax.
What taxi drivers can claim against tax
Fuel
100% if vehicle used solely for work
Vehicle insurance (commercial)
Fully deductible
Vehicle repairs and servicing
Fully deductible — business use
MOT and vehicle testing fees
Fully deductible
Tyres
Fully deductible
Private hire / taxi licence fees
Fully deductible
DBS check costs
Deductible if required for the licence
Radio/dispatch/platform fees
Commission or subscription fees to platform
Vehicle cleaning and valeting
Business purpose cleaning
Accountancy fees
Fully deductible
Mobile phone (business proportion)
Proportion used for work
See gov.uk/expenses-if-youre-self-employed and gov.uk/capital-allowances-for-cars.
Taxi driver accountant — FAQs
Do taxi drivers need to file a self-assessment tax return?
Yes. Taxi drivers, private hire drivers, Uber drivers, and Bolt drivers are self-employed and must file an annual self-assessment tax return declaring all income above £1,000. Even if tax is deducted at source by a platform, a return is usually still required to declare the full income and claim allowable expenses.
What expenses can a taxi driver claim against tax?
Common allowable expenses for taxi and private hire drivers include: vehicle running costs (fuel, oil, tyres, repairs and servicing); insurance (motor and public liability); MOT and vehicle testing; radio hire and dispatch fees; licensing fees (private hire licence, DBS checks); vehicle cleaning; accountancy fees; and a proportion of mobile phone costs if used for work. Lease or finance costs on the vehicle are treated differently depending on vehicle type — cars have specific rules.
Can I claim my car purchase as a taxi driver?
Car purchases use capital allowance rules, not the Annual Investment Allowance. Cars above a CO2 threshold use writing-down allowances rather than full first-year relief. For taxi drivers, the vehicle is typically used 100% for business, which affects the calculation. New zero-emission cars qualify for a 100% first-year allowance (extended to 5 April 2027 for income tax, 31 March 2027 for corporation tax). See gov.uk/capital-allowances-for-cars.
I drive for Uber and Bolt — do I declare both separately?
Yes. All platform income (Uber, Bolt, FREENOW, Ola, etc.) must be declared in your self-assessment. You should receive annual income summaries from each platform. Total them for the tax year and deduct allowable expenses. If your combined platform income plus any other self-employment income exceeds £90,000, you must also register for VAT.
Do I need to register for MTD Income Tax as a taxi driver?
If your qualifying income (gross self-employment and property income, as reported on your 2024/25 Self Assessment return) exceeds £50,000, you must comply with Making Tax Digital for Income Tax from 6 April 2026 (£30,000 from April 2027, £20,000 from April 2028). This requires digital records and four quarterly submissions to HMRC.
How much does an accountant cost for a taxi driver?
Taxi-driver accountancy fees depend on income sources, vehicle finance, mileage evidence, platform statements, VAT status, MTD needs, and whether you need annual filing only or year-round support. RR Accountants confirms the fixed fee in writing after a 30-minute call.
Taxi driver tax return. Book a call.
30 minutes. We confirm the fee and what we'd do for your situation.
Book a call →Iftikhar Rashid FCCA · UK-wide · 16 years in practice