Uber Driver Taxes in New Hampshire - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is Uber Driver income taxable in New Hampshire?

As an Uber driver, your earnings are generally considered self-employment income and are taxable at the federal level. You'll report this income on Schedule C (Profit or Loss from Business) when you file your federal income tax return (Form 1040). This schedule allows you to deduct business expenses, reducing your taxable income.

However, New Hampshire is unique! New Hampshire does not have a general income tax on wages or salaries. This means your Uber driving earnings themselves are not subject to New Hampshire state income tax. New Hampshire taxes only interest and dividends. You will still need to file a New Hampshire return, but likely only to report any interest or dividend income you may have.

Top Tax Write-offs for Uber Drivers

• Mileage: This is often the biggest deduction! For 2024, the standard mileage rate is 67 cents per business mile driven. Keep a detailed log of all miles driven for Uber, including the date, starting and ending locations, and business purpose. You can also deduct parking fees and tolls related to your Uber trips.
• Phone Expenses: You can deduct the portion of your cell phone bill that is used for business. If you use your phone solely for Uber, you can deduct the entire bill. Otherwise, you'll need to calculate the percentage of business use and deduct that portion.
• Uber-Related Software & Apps: Expenses for apps or software used specifically for Uber driving (e.g., tax tracking apps, navigation apps beyond basic phone functions) are deductible.
• Vehicle Expenses (Actual Expenses vs. Mileage): While the standard mileage rate is simpler, you can choose to deduct actual vehicle expenses (gas, oil changes, repairs, insurance, registration, depreciation). This requires more detailed record-keeping and may not always result in a larger deduction. Consult with a tax professional to determine which method is best for you.

The 15.3% Self-Employment Tax Surprise

Because you're self-employed, you're responsible for paying both the employer and employee portions of Social Security and Medicare taxes. This is known as self-employment tax. You'll calculate this on Schedule SE (Self-Employment Tax). The combined rate is 15.3% (12.4% for Social Security up to the annual wage base, and 2.9% for Medicare). You only pay self-employment tax on profits exceeding $400. The good news is that you can deduct one-half of your self-employment tax from your adjusted gross income on Form 1040.

Closing Tip for New Hampshire Residents

While New Hampshire's lack of income tax on wages is a benefit, don't overlook the importance of accurate federal tax filing. Meticulous record-keeping – especially mileage logs and expense receipts – is crucial to maximizing your deductions and minimizing your tax liability. Consider using accounting software designed for self-employed individuals. If you have any questions or a complex tax situation, consulting with a qualified tax professional is always a wise investment.