Pickups and trips
Driving to the rider and the trip itself.
Uber's tax summary only sees the driving you do on its platform. The rest of your working miles add up fast for a rideshare driver. MileShield logs every deductible mile and turns it into an IRS-ready Schedule C.
Driving for Uber makes you a 1099 contractor running a small transportation business. The mileage deduction is the biggest lever you have to lower your tax bill, but Uber's summary only reflects driving it can see: on-trip miles and, in some summaries, miles while online. Repositioning before you go online and miles driven for another app are still deductible and uncounted.
Rideshare drivers rack up a lot of working miles: circling back from a drop-off in a slow area, repositioning to a busier part of town, switching to Uber Eats or another app between rides. At the 2026 rates of 72.5 cents through June 30 and 76 cents from July 1, every one is worth claiming.
| Business miles in 2026 | Mileage deduction | Approximate tax saved |
|---|---|---|
| 10,000 | $7,425 | $1,710–$2,260 |
| 20,000 | $14,850 | $3,420–$4,530 |
| 30,000 | $22,275 | $5,130–$6,790 |
Tax saved is for the 12% to 22% federal brackets, combining self-employment tax with income tax after the 20% qualified business income deduction. State tax would add to the savings.
These are business miles the IRS lets you deduct. MileShield records each shift as one continuous log, so none of them fall through the gaps.
Driving to the rider and the trip itself.
Repositioning to a busier area or surge zone while online and available.
Driving back toward the area where you keep working after a long ride out.
Delivery miles if you run Uber Eats, including between-order driving.
A gas or charging stop during an active shift is business mileage.
If you run Uber alongside another platform, the miles between them count too.
What usually does not count: the drive from home to where you start driving and home afterward, which the IRS generally treats as commuting. Our deadhead miles guide explains where the line falls.
Uber's tax summary reports miles driven on trips and may also show miles driven while online. It cannot see driving while you are logged out, repositioning before you go online, or miles for another app. The IRS expects your own contemporaneous log, and you can file with your own records when they show more business miles than Uber reported.
Business miles while you are working: driving to pickups, on-trip miles, repositioning between requests, returning from a far drop-off, Uber Eats delivery legs, driving between apps, and fuel stops during a shift. The drive from home to where you start driving and home afterward is generally commuting and does not count.
At the 2026 rates of 72.5 cents per mile through June 30 and 76 cents from July 1, a driver logging 20,000 business miles spread across the year deducts about $14,850. That lowers combined self-employment and federal income tax by roughly $3,400 to $4,500 in the 12% to 22% brackets, before any state tax savings.
Tips are part of your Uber income on Schedule C and are subject to self-employment tax. For 2025 through 2028, eligible rideshare drivers can also deduct up to $25,000 of qualified tips from income tax, limited to their net profit and phased out at higher incomes.
Want the deeper version? Read the complete guide to Uber driver taxes, our Schedule C walkthrough, or our guide to quarterly estimated taxes.