Uber and Bolt Driver Tax in South Africa — Complete Guide (2026)

Reviewed & Verified

Written by the Independent Editorial Team · Reviewed & Verified by Solly Maanaso, CA(SA)

When you drive for Uber, Bolt, or any ride-hailing platform in South Africa, SARS treats you as a sole proprietor — a self-employed individual responsible for your own tax. No employer deducts PAYE on your behalf. You pay income tax and provisional tax yourself, and you can deduct significant vehicle and business costs. This guide covers everything from registration to filing.

Deadline	Date	What to do
1st provisional tax (IRP6 #1)	31 August 2026	Submit IRP6 + pay 1st provisional tax payment
2nd provisional tax (IRP6 #2)	28 February 2027	Submit IRP6 + pay 2nd provisional tax payment
Annual tax return (ITR12)	22 January 2027	File your ITR12 on eFiling

Source: SARS — Guide to Provisional Tax; SARS Filing Season 2026

JUMP TO: Step 1: Register with SARS Step 2: Provisional tax Step 3: What you can deduct Step 4: Filing your ITR12 VAT for drivers Common mistakes FAQ

How much income tax do Uber and Bolt drivers pay?

Tax on profit, not gross fares
You pay income tax on your net profit — your gross fares minus the Uber/Bolt service fee minus your allowable business expenses. Not on your total gross fares.

Gross fares received − Uber/Bolt service fee (the commission deducted by the platform) − Allowable business expenses (vehicle, fuel, insurance, phone, etc.) = Net taxable income Apply 2026/2027 income tax brackets − Primary rebate (R17,820) = Income tax payable

Annual net taxable income	Rate
R0 – R99,000	0% (tax-free threshold)
R99,001 – R245,100	18%
R245,101 – R383,100	26% (on amount above R245,100)
R383,101 – R530,200	31% (on amount above R383,100)
R530,201 +	36%–45% (higher brackets)

Source: SARS Budget 2026 FAQ — sars.gov.za

Worked example: Driver earning R280,000 gross

Gross fares: R280,000
− Uber service fee (25%): −R70,000
− Fuel: −R36,000
− Vehicle insurance: −R12,000
− Vehicle depreciation (wear-and-tear): −R24,000
− Phone (business portion, 80%): −R6,400
Net taxable income: R131,600

Tax on R131,600 (18% × R131,600)	R23,688
Less: Primary rebate	(R17,820)
Income tax payable	R5,868/year
Effective tax rate on gross fares	2.1%

This example is illustrative — actual deductions depend on your specific costs and how thoroughly you record them. Source: SARS Budget 2026 FAQ (brackets and rebate); Income Tax Act Section 11 (deductions)

Key takeaway: When you claim all your legitimate business expenses, your tax bill as a driver can be quite low. The most important thing is to keep records of every business expense.

Step 1

Register with SARS

If you have ever had a salaried job in South Africa, you are likely already registered for income tax with SARS. To check:

Log in to SARS eFiling (sarsefiling.co.za) — your profile will show if you're registered
Check any old IRP5 from a previous employer — source code 3010 = your tax reference number
Call SARS on 0800 00 7277 with your ID number

If you have never been employed and have no SARS tax number:
Register at sarsefiling.co.za → click "Register" → complete with your South African ID, email, and cellphone. SARS will issue your tax reference number automatically.

No separate registration needed
You register for income tax as an individual. Your driving income is declared as business income on your annual ITR12. No special business registration is required with SARS.

No reminder from SARS
You are automatically a provisional taxpayer if you earn income other than a salary. SARS does not notify you or send a reminder — you must file IRP6 returns and make payments on time.

How to register for SARS eFiling → Step 2

Provisional tax (IRP6) — your most important obligation

What is provisional tax?
Provisional tax is income tax paid in advance — in two installments during the tax year. It is NOT an extra tax. The amounts you pay are credited against your final income tax bill when you file your ITR12.

As an Uber or Bolt driver, you are a provisional taxpayer — full stop. No exceptions.

1st payment: 31 August 2026
Estimate your total taxable income for the full tax year (1 March 2026 – 28 February 2027). Pay approximately half of your estimated annual tax.

2nd payment: 28 February 2027
Update your estimate based on actual earnings to date. Pay the remaining balance.

How to estimate your provisional tax as a driver:

Your income is variable — so estimating is harder than for a salaried worker. Use these steps:

Total your gross fares from the Uber/Bolt app for the months so far
Add estimated fares for remaining months (based on recent average)
Total your estimated deductible expenses for the year (fuel, insurance, vehicle depreciation, etc.)
Gross fares − Uber/Bolt service fee − expenses = estimated taxable income
Apply the income tax brackets and subtract R17,820 primary rebate
÷ 2 = approximate payment for each IRP6 installment

How to get your earnings data from Uber:
Log in to the Uber driver app → tap the menu (top left) → Earnings → select the period. You can see your gross earnings and Uber's service fee deducted.

How to submit IRP6 on eFiling:

eFiling → Returns → Returns Issued → Provisional Tax (IRP6) → select period → complete and submit

What happens if you miss the deadline?

Administrative penalties for late submission
Interest on any underpaid provisional tax at the SARS prescribed rate
If you earn over R1 million and underestimate by more than the prescribed tolerance: a 20% underestimation penalty

Set aside money throughout the year:
A practical tip used by experienced drivers: set aside 25–30% of your net monthly earnings (after Uber's service fee) into a separate bank account. This prevents the "SARS shock" when payment is due.

Provisional tax complete guide → Provisional tax calculator → Step 3

What Uber and Bolt drivers can deduct

Every rand you spend on legitimate business expenses reduces your taxable income — and therefore your tax bill. As an Uber or Bolt driver, your biggest deductible costs are vehicle-related. Keep every receipt and record every business kilometre.

Confirmed deductible expenses for drivers:

Expense	How to claim it	Notes
Uber/Bolt service fee	Deduct the full commission (25–30%) from gross fares	This is what the app deducts before paying you — verify on your earnings statement
Fuel	Actual fuel costs for business driving	Only the portion used for work trips if vehicle also used personally
Vehicle insurance	Business proportion of premiums	Keep insurance schedule; apportion if vehicle is personal too
Vehicle wear-and-tear	Claim via SARS wear-and-tear tables (Section 11(e))	See note below on calculation method
Maintenance and repairs	Servicing, tyres, wiper blades — actual costs	Keep all service and parts receipts
Licensing, roadworthy	Annual licence disc, roadworthy certificate	Required for driving — deductible
Cellphone	Business proportion of monthly bill	Driving requires phone use; document business vs personal split
Data costs	Business proportion of data	App requires data — deductible portion
Professional fees	Tax practitioner, accountant	Fully deductible
Bank charges	Business banking account charges	Deductible

Vehicle

Vehicle expenses — the most important deduction

Your vehicle is your most significant cost as a driver. There are two ways to claim vehicle expenses:

Method 1 — Actual cost method (most common for full-time drivers):
Claim all actual vehicle costs: fuel, insurance, maintenance, depreciation. The portion deductible is based on business kilometres as a percentage of total kilometres driven.

Keep a logbook (date, starting odometer, ending odometer, purpose of trip)
Track total kilometres driven vs. kilometres driven for Uber/Bolt
Business % = business km ÷ total km × 100

Depreciation (wear-and-tear) on your vehicle:
Under SARS wear-and-tear tables, a motor vehicle used for business is depreciated over 5 years (20%/year on cost price, straight-line). This is a significant annual deduction.

Example: Vehicle cost R200,000 → annual depreciation = R200,000 × 20% = R40,000/year × business % = deductible amount.

Logbook

The logbook — non-negotiable

Without a logbook, SARS will disallow your vehicle expense deduction in full.

Your logbook must record for every trip:

Date
Starting odometer reading
Ending odometer reading
Purpose of the trip (e.g., "Uber trip — Cape Town CBD to Bellville")

Digital logbooks (apps that log your trips automatically) are acceptable, provided they record the required information.

What you CANNOT deduct:

Personal travel in the vehicle (only business kilometres)
Traffic fines and penalties
Clothing (unless a compulsory branded uniform)
Personal food and entertainment
Vehicle finance interest

Note: Vehicle finance interest is NOT deductible as an expense — the capital cost of the vehicle is recovered via the wear-and-tear depreciation allowance instead.

Step 4

Filing your annual ITR12

At the end of the tax year, you file an ITR12 on SARS eFiling — your complete income tax return. Your provisional tax payments are credited against your final liability.

2026 Filing Season deadline for provisional taxpayers:
22 January 2027

How your ITR12 looks as a driver:
The ITR12 wizard will ask if you have business income — answer yes. This opens the business income section where you declare:

Gross fares received
All deductible business expenses (from Step 3 above)
Net business income (= your taxable income from driving)

Preparing for your ITR12:

Download your annual earnings statement from the Uber driver app (Earnings → select full tax year period)
Gather all expense receipts (fuel, insurance, maintenance, phone)
Total your logbook (annual business km ÷ total km = business percentage)
Reconcile bank statements against your earnings and expenses

Tips are taxable income:
If you receive tips from passengers, these must be included in your gross income on the ITR12.

How to file your ITR12 on eFiling →

VAT for Uber and Bolt drivers — what you need to know

New thresholds from 1 April 2026

Registration type	Threshold	From
Compulsory	Annual taxable supplies exceed R2.3 million	1 April 2026
Voluntary	Annual taxable supplies exceed R120,000	1 April 2026

For most Uber and Bolt drivers, VAT is not required — the vast majority earn less than R2.3 million per year from driving.

The important complexity for ride-hailing — two types of services

Uber's tax structure in South Africa creates an important distinction:

Transportation services (the actual rides you give to passengers) — these are VAT-exempt under the VAT Act. You do not charge VAT on fares, and you cannot claim input VAT on the VAT-exempt portion of your business.
Other services you supply TO Uber (availability services, referral fees, incentives, cleaning fees) — these services may be subject to VAT (not exempt).

If the combined value of your non-exempt services to Uber and other parties exceeds the VAT threshold, VAT registration may be required.

What this means in practice:
For most drivers earning primarily from fares (which are VAT-exempt), crossing the R2.3 million compulsory threshold from fares alone is rare. However, if you earn significant income from incentives, referrals, availability bonuses, or non-ride business activities, speak to a tax practitioner about your VAT position.

Speak to a tax practitioner
If you believe your non-exempt income is approaching the threshold, seek professional advice.

If you do register for VAT:

Charge 15% VAT on non-exempt services (not on fares — those remain exempt)
Submit a VAT201 return every 2 months
Claim input VAT on qualifying business purchases (fuel, vehicle maintenance, etc.)
Issue VAT-compliant tax invoices for taxable services

VAT calculator →

Where does your money actually go? — a real breakdown

Scenario: Driver earns R280,000 gross fares in a year

25%

13%

45%

Category	Amount	% of gross
Gross fares	R280,000	100%
Uber service fee (~25%)	−R70,000	25%
Net fares received	R210,000	75%
Fuel	−R36,000	13%
Insurance	−R12,000	4%
Vehicle depreciation	−R24,000	9%
Phone + data (business %)	−R6,400	2%
Taxable income (profit)	R131,600	47%
Income tax (estimated, with R17,820 rebate)	−R5,868	2%
Net take-home after all deductions and tax	R125,732	45% of gross

45 cents of every rand
After Uber's service fee, your running costs, and tax — you keep approximately 45 cents of every rand you earn in gross fares.

The key variable is expense tracking: A driver who doesn't claim deductions could pay significantly more tax than necessary.

5 tax mistakes Uber and Bolt drivers make — and how to avoid them

Mistake 1

Not setting aside money for provisional tax all year. Your fares arrive directly into your account without any deduction. The result: in August or February, a large tax bill hits and the money isn't there.

How to avoid: Set aside 25–30% of your monthly net fares from the day you start driving.

Mistake 2

Not keeping a logbook — and losing the vehicle deduction entirely. Without a logbook, SARS disallows your vehicle expenses in full. A missed vehicle deduction of R40,000+ per year can cost you R10,000–R16,000 in unnecessary extra tax.

How to avoid: Start a logbook on day one.

Mistake 3

Deducting 100% of vehicle costs when you also drive privately. You can only deduct the business proportion of your vehicle costs. If you drive 80% for Uber and 20% privately, you can claim 80% of fuel, insurance, and depreciation — not 100%.

How to avoid: Apportion all costs according to the business km % from your logbook.

Mistake 4

Not declaring tips. Tips are taxable income in South Africa. SARS's position (confirmed by Uber's own tax guide) is that tips must be included in your ITR12. Many drivers overlook this.

How to avoid: Track your tips via the app and declare them.

Mistake 5

Using the old VAT thresholds. From 1 April 2026, the compulsory VAT threshold changed from R1 million to R2.3 million. However, this doesn't mean VAT is irrelevant for drivers — the distinction between exempt transportation services and taxable services to Uber still applies.

How to avoid: If you earn significant income from incentives and referrals, get professional VAT advice.

Frequently Asked Questions

Yes. Uber and Bolt drivers are treated as sole proprietors (self-employed individuals) by SARS and pay income tax on their net profit at the same progressive rates as all individual taxpayers (18%–45% for 2026/2027). You must register for provisional tax (IRP6), pay two installments per year (31 August 2026 and 28 February 2027), and file an annual ITR12 return. No employer deducts tax on your behalf.

Your income tax is calculated on your net profit (gross fares minus Uber/Bolt service fee minus allowable business expenses such as fuel, insurance, and vehicle depreciation). On a gross fare income of R280,000 per year, after deducting the service fee and typical expenses, your taxable income might be around R131,600 — and income tax (after the primary rebate of R17,820) would be approximately R5,868 for the year. The effective tax rate depends heavily on how many expenses you claim.

You can deduct any expense incurred in producing your driving income. Key deductions include: Uber/Bolt service fee (the full commission); fuel (business portion); vehicle insurance (business portion); vehicle wear-and-tear depreciation (over 5 years, Section 11(e)); maintenance and repairs; roadworthy and licence costs; cellphone and data (business portion); and professional fees. You must keep receipts and maintain a logbook for all vehicle expenses.

Most drivers do not need to register for VAT. The compulsory VAT registration threshold from 1 April 2026 is R2.3 million in taxable supplies per year. However, note that passenger transportation services are VAT-exempt, while other services you supply to Uber (incentives, availability fees, referrals) may be subject to VAT. If your non-exempt income from services to Uber exceeds the thresholds, or if you earn income from other activities, consult a tax practitioner about your VAT position.

Yes. A logbook is required to support any vehicle expense deduction claimed on your ITR12. Without a logbook, SARS can disallow your vehicle deductions in full. Your logbook must record for each trip: the date, starting and ending odometer readings, and the business purpose. Digital logbook apps are acceptable. SARS requires records to be retained for 5 years.

Provisional tax is income tax paid in advance, in two installments during the tax year. All Uber and Bolt drivers are provisional taxpayers — you must submit an IRP6 return and pay your first installment by 31 August 2026 (half your estimated annual tax), and the second installment by 28 February 2027 (the remaining balance). You must file these even if the amount is zero. SARS does not send reminders.

Related guides

Tools & Calculators

Essential tax guides

Also in this series

Back to: ← Tax Guides Hub

Sources and references

All tax information on this page is sourced from, or verified against, the following official and authoritative references:

SARS — Provisional Tax — Guide to Provisional Tax
SARS — Budget 2026 FAQ — sars.gov.za/about/sas-tax-and-customs-system/tax-budget-info/
SARS — Filing Season — Deadline for provisional taxpayers
SARS — Small Businesses Taxpayers — VAT threshold update
Uber — Tax Information South Africa — uber.com/za/en/drive/tax-information/
Income Tax Act 58 of 1962 — Primary legislation governing deductions
Tax Administration Act 28 of 2011 — 5-year record retention

Last reviewed: April 2026. Next review: after Budget Speech February 2027 — update brackets, VAT thresholds, and travel rate.

This content is for informational purposes only and does not constitute professional tax advice. Consult a registered tax practitioner for advice specific to your situation.

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