Fast, effortless and 100% online.
Self-employed delivery drivers are heavily on the rise with courier work becoming one of the most popular part time side hustles in the UK!
Whether you deliver just 1 day a week or 7 days a week, we can help with our guide to filing a tax return for self-employed delivery drivers.
First of all, what is a tax return? It’s basically a method of declaring and paying tax on any untaxed income you’ve earned.
A Self Assessment tax return is something that you do as a sole trader, but the process is different if you’re a limited company.
You owe tax based on your earnings each tax year. The tax year runs from 6th April to 5th April, so you should record what you make between these dates every year.
You will then pay your tax return by 31st January the year after the tax year you’re paying for. Confused? Here’s a breakdown!
Any self-employed income! Mainly how much you’ve earned, and what kind of income it is (e.g. self-employed, rental income, capital gains, pension payments etc).
If you’re an employed courier, you won’t have to submit a tax return
Anything that you buy wholly and necessarily for work can be deducted from your end-of-year total earnings! That way, you’re only paying tax on your profits.
But what counts as an expense? Here are a few examples:
Make sure you keep receipts (VAT receipts if possible) so that you have evidence of the spend. HMRC may not ask you for them but it helps to have in the case that they do!
Unfortunately, you’ll still be liable to pay tax if you have substitute workers. As a sole trader, all the income of your business is presumed to be yours. So you should work out an agreement with anyone who substitutes for you.
HMRC will not be involved in this process.
Actually, yes. Not all vehicles are created equal. So, the greater your carbon emissions, the less tax relief you’ll be able to claim back!
As you can imagine, delivery drivers who use bikes are entitled to the biggest tax relief!
You can claim either one of these two reliefs:
Give our Mileage Allowance calculator a whirl. Work out what you could claim per tax year for your vehicle.
Don’t hesitate to get in touch if you have any questions about how to do your tax return. They’re more than happy to help!
Sign up for important updates, deadline reminders and basic tax hacks sent straight to your inbox.
"*" indicates required fields