If you're a rideshare driver in New Zealand (using platforms like Uber, Ola, DiDi, or Zoomy), the IRD allows you to claim a wide range of business-related expenses to reduce your taxable income. Common vehicle-related costs you can claim include fuel, registration, warrant or certificate of fitness, insurance, repairs, maintenance, tyres, and even car washes or grooming—especially if keeping your vehicle clean is essential to your service. If you own your vehicle, you can also claim depreciation, or if you lease it, the lease payments.
You can also claim operational costs such as tolls, parking fees (when work-related), road user charges for diesel or electric vehicles, and a portion of your mobile phone and data costs used for work. Expenses like cleaning products, GPS subscriptions, or in-car accessories (like phone mounts or chargers) are also deductible if they’re used for business. Platform-specific fees, such as rideshare service commissions and airport access charges, are claimable too.
Administrative expenses, including accounting or tax agent fees, business-related bank charges, and office supplies used for your rideshare business, may also be deducted. If you took out a loan to buy your vehicle, the interest on that loan is claimable based on the percentage used for business. You can even claim costs for uniforms (if required) and licensing or training fees needed to drive for the platform.
It's essential to keep accurate records, including receipts and a logbook, especially if you use your car for both personal and business purposes. You can choose to claim either actual expenses (based on your business-use percentage) or use the IRD’s kilometre rates as a simplified method. Keeping everything well-documented will help ensure you claim the maximum allowable deductions and stay compliant with tax rules.