DoorDash Dasher Taxes in New Hampshire - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is DoorDash Dasher income taxable in New Hampshire?

Yes, your DoorDash income is taxable at the federal level, even though New Hampshire doesn’t tax earned income. As a DoorDash driver, you are considered an independent contractor by the IRS, not an employee. This means you’ll report your earnings and expenses on Schedule C (Profit or Loss From Business) when you file your federal income tax return. You'll calculate your net profit (income minus expenses) on Schedule C, and that net profit is added to your other income when calculating your Adjusted Gross Income (AGI).

New Hampshire Specifics: New Hampshire does not have a general income tax on wages and salaries. This means the net profit you calculate on Schedule C will not be subject to New Hampshire state income tax. However, New Hampshire does tax interest and dividends. If you have income from those sources, you will need to file a New Hampshire state income tax return.

Top Tax Write-offs for DoorDash Dashers

As a self-employed individual, you can significantly reduce your tax liability by taking advantage of eligible deductions. Here are some common write-offs for DoorDash Dashers:

• Mileage: This is often the biggest deduction! For 2024, the standard mileage rate is 67 cents per mile for business use. Keep a detailed log of all miles driven for deliveries (from leaving home to picking up the order, to delivering it, and returning home). You can use apps to track this automatically.
• Phone Expenses: You can deduct the portion of your cell phone bill that is used for business. If you use your phone solely for DoorDash, you can deduct the entire bill. Otherwise, you'll need to calculate the percentage of business use.
• Hot Bags & Delivery Equipment: The cost of items like insulated food bags, phone mounts, dashcams, and other equipment used specifically for DoorDash deliveries are deductible.
• DoorDash Software/Subscription Fees: Any fees you pay directly to DoorDash for access to the platform or for premium features can be deducted.

The 15.3% Self-Employment Tax Surprise

Because you're an independent contractor, you're responsible for paying both the employer and employee portions of Social Security and Medicare taxes. This is called Self-Employment Tax. The combined rate is 15.3% (12.4% for Social Security and 2.9% for Medicare). You'll calculate this on Schedule SE (Self-Employment Tax).

Good news: you only pay self-employment tax on profits over $400. Also, you can deduct one-half of your self-employment tax from your gross income, which can lower your overall tax liability.

Closing Tip for New Hampshire Residents

While New Hampshire’s lack of income tax is a benefit, don’t forget about your federal tax obligations as a self-employed individual. Careful record-keeping throughout the year – especially mileage logs and expense receipts – is crucial for maximizing your deductions and minimizing your tax bill. Consider using accounting software designed for freelancers or consulting with a tax professional to ensure you’re taking advantage of all available deductions and complying with all IRS regulations. Happy dashing, and a smooth tax season to you!