Estimated reading time: 5 minutes
Key Takeaways
- You must have an ABN to dash. Applying is free.
- DoorDash income must be declared on your tax return.
- Most Dashers do not need to register for GST.
- You can claim deductions for bike maintenance, insurance, phone costs, and more.
- We recommend saving at least 30% of your earnings for tax time.
DoorDash connects Australians with local restaurants, cafes, and grocery stores — with delivery handled by independent contractors known as ‘Dashers’. This guide covers everything you need to know about tax as a DoorDash Dasher in Australia.
1. Do Dashers need an ABN?
Yes. As a DoorDash Dasher, you must have an ABN, as DoorDash pays you as a contractor. Applying is free through the Australian Business Register website, and you must have your ABN before you can sign up to dash.
As a contractor, you are responsible for paying your own tax and making your own superannuation contributions.
2. Do Dashers need to declare DoorDash income?
Yes. The ATO treats all DoorDash payments as taxable income. You must declare every dollar on your tax return.
Important Tip: Don’t spend all of your DoorDash payments straight away!
If you also earn income from another job or other work (e.g. DiDi, Uber, Uber Eats), save at least 30% of all payments to avoid a large bill at tax time.
Need help understanding how much to set aside? A registered tax agent like Etax can help you work out an accurate amount to save.
3. Do Dashers need to register for GST?
Most Dashers don’t need to register for GST as long as:
- you only deliver food, and
- you earn less than $75,000 per year.
This is different from Uber and other rideshare drivers. All rideshare drivers must register for GST no matter how much they earn, but food delivery drivers are exempt unless they cross the $75,000 threshold. Don’t forget, you still need an ABN.
4. What if you deliver food AND drive passengers?
If you do DoorDash and drive for Uber, DiDi, or another rideshare platform, you must register for GST. This GST obligation applies to all your business income, not just the rideshare portion.
Example 1: DoorDash only
Dasher John earned $24,000 from DoorDash and does not do ridesharing. John needs to:
- have an ABN
- declare his $24,000 DoorDash income on his tax return and pay tax on that amount plus any other income he earned during the financial year.
He does not need to register for GST.
Example 2: DoorDash and ridesharing
Justine earned $17,000 from DoorDash and an additional $5,000 from ridesharing. Justine needs to:
- have an ABN
- declare all DoorDash and rideshare income on her tax return
- register for GST on both DoorDash and rideshare income
- lodge a Business Activity Statement (BAS)
5. What tax deductions can Dashers claim?
As a Dasher, you can claim work-related expenses as tax deductions. These include:
- Insurance
- Bike, scooter, or car repairs and maintenance
- Tyres and equipment
- Registration costs
- Cleaning costs
- Mobile phone costs (work-use portion only)
- Sun protection items
Note that the safety gear and equipment DoorDash provides when you sign up is not claimable.
6. How should Dashers keep tax records?
Keep receipts and records for every work-related expense you plan to claim. The ATO may ask for evidence, so good records protect your deductions and put more money in your pocket at tax time.
If an expense is partly personal and partly work-related, record the percentage that relates to your DoorDash work. You can only claim the portion directly related to dashing, not the full amount.
Set aside 5–10 minutes each week to download statements and file your receipts. This keeps tax time simple and means you claim everything you’re entitled to.
For more info on record keeping check out our record keeping blog here!
Frequently asked questions
Yes. DoorDash pays Dashers as independent contractors, so you need an ABN before you start. Applying is free at the Australian Business Register website.
That depends on your total income for the year. As a rough guide, saving 30% of your DoorDash earnings helps you cover your tax bill. A registered tax agent can give you a more accurate figure.
Not unless you earn over $75,000 per year from food delivery, or you also provide ridesharing services.
You can claim work-related expenses such as bike, scooter, or car maintenance, insurance, registration, tyres, cleaning, phone costs, and sun protection items.
The ATO receives data from many gig economy platforms as well as banks. You are legally required to declare all earnings on your tax return.
Please note: Please note: Etax is not affiliated with DoorDash Australia. The information in this guide is general in nature and is provided to inform you of your tax and legal obligations only. For personalised advice, speak with a registered tax agent.
