Most expenses you have for running a business are tax deductible.

To complete the expenses section of your spreadsheet using your platform tax summaries – you will record every expense charged to the passenger on behalf of your ride-sourcing business and the expenses the platform has charged you for their service.

This can include service fees, split fare fees, tolls, city and government fees, airport fees and booking fees.

When claiming allowable deductions for business related expenses there are 3 golden rules:

1. The expense must have been for your business, not for private use.
2. If the expense is for a mix of business and private use, you can only claim the portion that is used for your business.
3. You must have a record to prove the expense.

Allowable deductions are subtracted from your assessable income to calculate your taxable income. This identifies your annual tax liability.

You cannot claim personal or private expenses of any kind as a business tax deduction, including meals you consume or purchase while doing ride-sourcing work.

Parking fines or speeding fines, regardless of whether they were acquired in the course of a fare cannot be claimed.

Note that Fuel scheme and Fuel tax credits do not apply to ride-sourcing and therefore cannot be claimed

The most common deductions you will make, as a ride-sourcing business are for:

• car expenses
• other ride-sourcing expenses, like parking fees, tolls, and cleaning costs.