Uber and Bolt Driver Tax Calculator
A self-employed Uber or Bolt driver can deduct 55p a mile for the first 10,000 business miles in 2026/27, or the real cost of running the car. This calculator compares both, plus the £1,000 allowance, and shows your tax.
What this calculator does
Enter your gross earnings for the tax year, your business miles, what the car really cost to run and your other costs. The calculator works out your taxable profit three ways: with the simplified mileage rate, with your actual vehicle costs, and with the £1,000 trading allowance. It picks the one that leaves the lowest profit and then shows the Income Tax and Class 4 National Insurance on that profit, on top of any other income you have.
It assumes you are self-employed for tax. If you are paid through PAYE as an employee, none of this applies to those earnings.
Gross earnings and what counts as a cost
Start from your gross earnings: fares and tips before the platform takes its commission. The platform's commission and fees are costs of the work and go in other costs, together with your phone, driver licensing fees, a dash camera or phone mount, and car washes. Parking and train fares can be claimed on top of the flat mileage rate, so they belong in other costs too. Keep receipts for all of them.
The simplified mileage rate
Simplified expenses let a self-employed person claim a flat rate for each business mile instead of working out fuel, insurance, repairs and the rest. For a car or van the rate is 55p a mile for the first 10,000 business miles in the tax year and 25p a mile after that (gov.uk). The 55p rate is for 2026/27 and was backdated to 6 April 2026; before that it was 45p. Motorcycles are 24p a mile.
There are limits. You cannot use the flat rate for a vehicle you have claimed capital allowances on or already included as an expense in your profits. Once you use the flat rate for a vehicle, you must keep using it for as long as you use that vehicle for the business. Cars designed for commercial use, such as black cabs and hackney carriages, are excluded. Business miles are the miles you drive for the work, not private journeys, so keep a mileage log with dates and distances.
Actual vehicle costs
The other route is to claim what the car really cost: fuel or charging, insurance, repairs, servicing, MOT, road tax and finance interest. If the car is also used privately you can only claim the business share, so enter the percentage of use that is for the work. If you buy the car, capital allowances may apply, which the calculator does not model. With a high-mileage car the flat rate usually wins; with an expensive or thirsty car and fewer miles, actual costs can be better.
The £1,000 trading allowance
Gross earnings of £1,000 or less in a tax year are covered by the trading allowance and generally need no tax and no report. Above £1,000 you register for Self Assessment, and you can deduct £1,000 instead of your expenses, but never both. For most full-time drivers the mileage rate or real costs are far better, which is why the calculator compares all three.
How the tax is worked out
Income Tax is the extra tax your profit causes on top of your other income, using the Personal Allowance of £12,570 and the 20%, 40% and 45% bands. Class 4 National Insurance is 6% on profit between £12,570 and £50,270 and 2% above that. Class 2 is no longer compulsory; you can pay it voluntarily if your profit is below £7,105.
A worked example
A driver earns £30,000 gross in 2026/27, drives 20,000 business miles, spends £6,500 running the car and has £1,500 of other costs, and has no other income. The mileage rate is worth £8,000 (10,000 miles at 55p plus 10,000 at 25p), so with the other costs the deductions are £9,500 and the profit is £20,500. Actual costs would be £8,000 and leave a profit of £22,000. Income Tax on £20,500 is £1,586 and Class 4 National Insurance is £475.80, a total of £2,061.80, which is £390 less than the actual-costs route.
VAT and Self Assessment
You register for Self Assessment by 5 October after the end of the tax year if your gross earnings are over £1,000. Separately, you must register for VAT if your taxable turnover goes over £90,000 in a 12-month period (gov.uk). If your Self Assessment bill is over £1,000 you may also owe payments on account towards the next year.
What this calculator does not cover
It uses England, Wales and Northern Ireland tax rates, so Scottish drivers will see a different Income Tax figure. It ignores student loan repayments, capital allowances and losses carried forward. It is an estimate, not advice.
Questions about the uber and bolt driver tax calculator
Should an Uber driver claim 55p a mile or actual car costs?
Whichever leaves the lower taxable profit. The flat rate (55p for the first 10,000 miles in 2026/27, then 25p) usually wins for high-mileage drivers; actual costs can win for an expensive car with fewer miles. You must stay on the flat rate for a vehicle once you choose it.
Do I need to register for Self Assessment as an Uber or Bolt driver?
If your gross earnings from driving are over £1,000 in a tax year, yes: register by 5 October after the tax year ends. At £1,000 or less the trading allowance generally covers you.
Was the mileage rate 45p or 55p?
It was 45p for the first 10,000 business miles until 5 April 2026. From 6 April 2026 it is 55p, backdated, with 25p after 10,000 miles.
Can I claim parking as well as the mileage rate?
Yes. gov.uk says other travel costs such as train fares and parking can be claimed on top of the flat mileage rate.
Can I claim the £1,000 allowance and my expenses?
No. You choose between deducting your actual expenses and deducting the £1,000 allowance.
Does this work for Bolt as well as Uber?
Yes. The tax rules depend on how you are treated for tax, not on which app you use, so the same calculation applies to any self-employed driver on any platform.
Do I have to charge VAT?
Only if your taxable turnover goes over £90,000 in 12 months, in which case you must register for VAT within 30 days of the end of the month you went over.