DoorDash Dasher Taxes in Oregon - 2025 Guide

Updated for 2025 (Filing 2024 Taxes)

Is DoorDash Dasher income taxable in Oregon?

Yes, absolutely. Income earned as a DoorDash Dasher is taxable at both the federal and Oregon state levels. The IRS considers you self-employed, meaning you're essentially running your own business. This has implications for how you report your income and pay taxes.

Federal Requirements: You'll report your DoorDash earnings on Schedule C (Profit or Loss From Business) as part of your Form 1040. This form is where you detail your income and your deductible business expenses. The difference between your income and expenses is your net profit, which is then added to your other income when calculating your adjusted gross income (AGI).

Oregon Specific Rules: Oregon has a graduated income tax system. This means the tax rate you pay increases as your taxable income increases. Your net profit from DoorDashing will be added to your other income sources (like a W-2 job, if you have one) to determine your total taxable income for Oregon. Oregon will then apply the appropriate tax brackets to calculate your state income tax liability. You'll use Form OR-40 to file your Oregon state income tax return. Be sure to check the Oregon Department of Revenue website (www.oregon.gov/dor) for the most up-to-date tax brackets and forms.

Top Tax Write-offs for DoorDash Dashers

As a self-employed Dasher, you can significantly reduce your tax bill by claiming legitimate business expenses. Here are some key deductions:

• 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 while actively delivering orders (from the time you accept an order to the time you drop it off). You can use apps like Stride or Everlance to track this automatically.
• Phone Expenses: You likely use your phone for navigation, accepting orders, and communicating with customers. You can deduct the percentage of your phone bill that corresponds to business use. If you use your phone 100% for DoorDash, you can deduct the entire bill.
• Hot Bags & Delivery Equipment: The cost of items like insulated delivery bags, phone mounts, and dashcams are deductible. If the item has a useful life of more than one year (like a dashcam), you'll typically depreciate it over several years.
• DoorDash Software/Subscription Fees: Any fees you pay directly to DoorDash for access to their platform or for optional services (if any) are deductible.

The 15.3% Self-Employment Tax Surprise

When you're an employee, your employer pays half of your Social Security and Medicare taxes. As a self-employed individual, you're responsible for both the employer and employee portions – a total of 15.3%. This is called self-employment tax.

You'll calculate this on Schedule SE (Self-Employment Tax). The good news is you only pay self-employment tax on your net profit (after deducting business expenses). Also, you don't pay self-employment tax on the portion of your net earnings that exceeds the Social Security wage base (which changes annually – check the IRS website for the 2024 limit). You can deduct one-half of your self-employment tax from your gross income on Form 1040.

Closing Tip for Oregon Residents

Navigating self-employment taxes can be complex. I strongly recommend keeping meticulous records of your income and expenses throughout the year. Consider using accounting software or a tax professional specializing in self-employment income. The Oregon Department of Revenue offers resources and guidance on their website (www.oregon.gov/dor). Proactive planning and accurate record-keeping will help you minimize your tax liability and avoid potential issues with the IRS or the state of Oregon.