Updated for the current tax year – clear, simple, and easy to follow.
Working as a delivery driver is now one of the most popular ways to earn in the UK—whether you’re with Uber Eats, Deliveroo, JustEat, Stuart or doing independent courier work.
If you earn money outside of PAYE, you may need to submit a Self Assessment tax return, and this guide explains exactly how it works.
1️. The Basics: Do Delivery Drivers Need to File a Tax Return?
If you work self-employed, even for a few hours a week, HMRC requires you to report:
- How much income you earned
- What business expenses you want to deduct
- The tax you owe for the year
A tax return is simply the method HMRC uses to calculate what you owe on income that hasn’t already had tax deducted.
If you are employed by a company and paid through PAYE (rare for delivery drivers), then you don’t need to file a return unless you have extra income.
2.️ When Do You Pay Tax?
The UK tax year runs from 6 April to 5 April the following year.
Any income you make between those dates must be included on that year’s return.
You pay any tax due by the following 31 January.
Key Dates for the 2025/26 Tax Year
| What’s Due | Date | Notes |
| Tax year begins | 6 April 2025 | Start tracking income & expenses |
| Tax year ends | 5 April 2026 | Prepare your figures |
| Deadline to register for Self Assessment | 5 October 2026 | New self-employed only |
| Want tax collected through PAYE? | 30 December 2026 | Optional for those with employment income |
| Final Self Assessment deadline | 31 January 2027 | File & pay |
Missing a deadline often results in penalties and interest, so it’s best not to leave it too late.
3️. What Income Goes on Your Tax Return?
You must report:
- Your earnings from delivery work
- Any other self-employed income
- Rental income
- Capital gains
- Pension withdrawals
- and more (depending on your situation)
HMRC uses this information to calculate your total tax liability for the year.
4️. Allowable Expenses for Delivery Drivers
The good news? You can deduct many of your business costs to reduce your tax bill.
Common expenses for delivery drivers include:
- Fuel or mileage
- Motor insurance and repairs
- Breakdown cover
- Bike or e-bike purchases & maintenance
- Hot bags, helmets, reflective gear
- Mobile phone costs used for work
- Car lease or hire fees
- Business-related parking
- Accounting fees
- Road safety equipment
- Marketing (if applicable)
Keep receipts or bank statements to support your claims in case HMRC asks.
5️. What If You Use a Substitute (Replacement) Driver?
Even if someone covers shifts for you:
- HMRC still treats the income as yours
- You are responsible for declaring and paying tax
- You may privately arrange how to compensate the substitute
HMRC does not get involved in substitute arrangements.
6️. Does Your Vehicle Affect Your Tax Relief?
Yes—different vehicles have different tax deduction rules.
Mileage Allowance (Simplified Method)
You claim a fixed rate per mile instead of claiming actual expenses:
- Cars/Vans: 45p per mile for the first 10,000 miles, then 25p
- Motorcycles: 24p per mile
- Bicycles: 20p per mile
This method is popular because it’s simple and requires no receipt tracking—just accurate mileage records.
Capital Allowances (Actual Cost Method)
Instead of claiming mileage, you can claim a percentage of:
- Vehicle cost
- Repairs
- Insurance
- Running expenses
This is more detailed but can be beneficial for some drivers.
Need Help Calculating Mileage?
A mileage calculator (like the ones many accountants provide) can show how much you can claim each year and help maximise your tax relief.
Get Your Self-Assessment Done the Easy Way
If you find tax confusing, you’re not alone. Thousands of delivery drivers file returns each year, and many overpay simply because they don’t know what they can claim.
NextGen Accountants can help you:
- File your Self-Assessment accurately
- Claim every allowable expense
- Reduce your tax bill legally
- Avoid penalties
- Save hours of paperwork
📞 Contact NextGen Accountants
📱 +44 208 123 7363 | +44 786 269 6795
📧 info@ngaccountants.co.uk
📍 Office 5046, 321–323 High Road, Chadwell Heath, Essex, England, RM6 6AX
Disclaimer: This blog is for general information only and does not constitute professional advice. NextGen Accountants accept no liability for any loss arising from reliance on its content — please seek tailored advice before making decisions
