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 qualified. From £100/month.

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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. From April 2026, drivers above £50,000 gross income must also comply with MTD Income Tax. [VERIFY at gov.uk]

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

[VERIFY allowable expense rules at gov.uk/guidance/income-tax-when-you-rent-out-a-property-working-out-your-rental-income — and for vehicles at 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. [VERIFY current thresholds at gov.uk]

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. [VERIFY current expense rules at gov.uk]

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. Zero and ultra-low-emission vehicles may qualify for different rates. [VERIFY: current capital allowances for cars at gov.uk]

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. [VERIFY thresholds at gov.uk]

Do I need to register for MTD Income Tax as a taxi driver?

If your total self-employment income (from all platforms and other self-employment) exceeds £50,000 gross per year, you must comply with Making Tax Digital for Income Tax from April 2026. This requires digital records and four quarterly submissions to HMRC. [VERIFY current MTD thresholds at gov.uk]

How much does an accountant cost for a taxi driver?

At RR Accountants, self-assessment for a taxi driver with straightforward income starts from £200–£300 as a one-off annual filing. If you also have rental income or other complex elements, the fee reflects that. Monthly engagement (with year-round access and MTD support) starts from £100/month. Exact fee confirmed after your discovery call.

Taxi driver tax return. Book a call.

20 minutes. We confirm the fee and what we'd do for your situation.

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Iftikhar Rashid FCCA · UK-wide · 16 years in practice