If you’re working as a taxi driver in the UK, then you’ll almost certainly be running your own self-employed ‘sole trader’ business. This means you’re in charge of everything, including paying the right amount of tax.
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Are taxi drivers employed or self-employed?
Answer for Taxi Drivers as Workers
No, all London taxi drivers are self-employed. Transport for London (TfL) is the regulatory body for taxi and private hire services in the Capital.
Is a taxi driver self-employed or sole trader?
Which taxes do taxi drivers have to pay? The vast majority of taxi drivers are sole traders, which means they have to pay national insurance and income tax.
How do I become a self-employed taxi driver UK?
Applicants must be over 25, hold a full driving licence for at least 12 months and will be required to either have a taxi licence or go through the taxi test, DBS and medical will also be required.
Are taxi drivers Employees UK?
The Employment Appeal Tribunal (EAT) has decided that a taxi driver, working through the ‘Mytaxi’ app, did not have the status of a ‘worker’ of the app operator.
Are most taxi drivers self-employed?
Going self-employed
Whether you are working in a black cab or for a private taxi firm, the vast majority of taxi drivers are self-employed.
What type of work is a taxi driver?
A taxi driver is a professional driver who transports passengers to any destination required, as efficiently and safely as reasonably possible. They may work for a fixed fare or charge variable fares based on distance, journey time and the time of day. In the UK, taxi drivers are also known as: Minicab drivers.
Do taxi drivers have to register with HMRC?
HMRC want to ensure that everyone, including taxi drivers and scrap metal dealers, declares their income and pays their taxes. The purpose of the tax check is to make sure that you are properly registered for tax, where necessary.
How do I register as a self-employed taxi driver?
Most HMRC registrations can now be done online on their website. The information required in these forms is fairly straightforward, such as full name, date of birth and address. You will also need your National Insurance number.
How do I pay tax as a self-employed taxi driver?
As a self-employed taxi driver, you’ll need to send your self-assessment tax return and pay your taxes by 31st January after the end of the tax year. So, for the 2020/2021 tax year, you can submit your tax return online between 6th April 2021 and midnight on 31st January 2022.
How much do self-employed taxi drivers earn UK?
Taxi drivers in the UK can earn upwards of £30,000 per year. Many of the UK’s cab drivers are self-employed, and so paid by the hour/day—meaning they’re free to work (and earn) as much as they like.
How much can Taxi Drivers earn UK?
| Average hourly earnings | Weekly hours required to earn £30,000 |
|---|---|
| £15.00 | 38 |
Is it worth being a taxi driver UK?
Did you know that experienced private hire taxi drivers who work an average of 40 hours per week can expect to make around £30,000 per year? This is according to the National Careers Service. If you’re prepared to put in the work and be available during unsociable hours, you can see your profits reach new heights.
How much do taxi drivers make a week UK?
The average taxi driver salary in the United Kingdom is £35,000 per year or £17.95 per hour. Entry level positions start at £26,000 per year while most experienced workers make up to £48,962 per year.
Does Uber report income to HMRC?
All Uber drivers must register with HMRC to declare their earnings by 5th October. You do this to declare your earnings in the tax year that’s just ended. Once you’ve registered, HMRC will send you what’s known as a Unique Taxpayer Reference (UTR) number in the post.
Is Uber considered as self-employed?
If you drive for Uber or Lyft, you are self-employed.
As an independent contractor, you provide transportation services to individuals. While working for Uber or Lyft, you set your own work hours and usually provide your own car and other resources necessary to do your job.
Are Uber drivers self-employed UK?
Uber drivers must be treated as workers rather than self-employed, the UK’s Supreme Court has ruled.
Do I need a business account as a taxi driver?
Taxi and Uber drivers need to register as self-employed through HMRC. This is relatively easy to do and can be completed online through the government portal.
How do taxi drivers pay tax UK?
How do taxi drivers pay tax? To pay tax as a taxi driver, you’ll have to file a self-assessment tax return (for extra help on this, check out our dedicated self-assessment tax return guide). You’ll almost certainly do this online – in 2020, 96% of tax returns were submitted online.
Can taxi drivers claim mileage UK?
Like any other expense claim, taxi drivers can only claim back the mileage they’ve undertaken as part of their job.
Are taxi drivers employees?
Around 75% of Taxi Drivers live in capital cities, compared with the all jobs average of 62%. New South Wales has a large share of employment relative to its population size.
Employment by State and Territory (% Share)
| State | Taxi Drivers | All Jobs Average |
|---|---|---|
| NSW | 37.3 | 31.6 |
| VIC | 24.4 | 25.6 |
| QLD | 18.3 | 20.0 |
| SA | 6.0 | 7.0 |
How do I write a taxi driver on my CV?
Work experience/Career history
- Picking up passengers on time and ensuring prompt drop-off to the required location.
- Utilising local geographical and traffic knowledge when picking up and dropping off customers.
- Responding promptly to traffic or unforeseen circumstances using alternative routes.