Are NYC bridge and tunnel tolls deductible for Uber drivers?

Yes. All bridge and tunnel tolls paid during active Uber trips in New York City are 100% deductible even when using the standard mileage rate.

What is the Black Car Fund surcharge and is it deductible?

New York State requires a 2.5% Black Car Fund surcharge on every Uber trip. This fee is collected by Uber and is deductible as a business expense on Schedule C.

Uber Tax Deductions
in New York 2026

Q: Is NYC congestion pricing deductible for Uber drivers?

Yes. NYC congestion pricing fees paid during active Uber trips are 100% deductible as a business expense on Schedule C. Keep E-ZPass or MTA payment records.

Q: Do New York Uber drivers file quarterly state taxes?

Yes. Quarterly estimated payments to both the IRS and the New York State Department of Taxation and Finance are required if expected annual tax liability exceeds $1,000. Use Form IT-2105 for NYS. Q1 deadline: April 15.

New York Uber drivers face state income tax up to 10.9% plus NYC city tax up to 3.876% for city residents — among the highest combined rates for gig workers in the U.S. This checklist covers every federal and New York-specific deduction you can claim on IRS Schedule C in 2026, including the NYC Black Car Fund surcharge and congestion pricing.

$0.725/mile IRS Rate 2026 NY State Tax 4%–10.9% NYC City Tax 3.08%–3.876% Black Car Fund Deductible Congestion Pricing Deductible Schedule C Compliant

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New York is one of the highest-tax states for Uber drivers New York State taxes gig income at 4%–10.9% on top of federal tax. NYC residents pay an additional 3.08%–3.876% city income tax. Every Schedule C deduction saves you at both the federal and state level simultaneously.

New York-Specific Deductions for Uber Drivers

NYC Black Car Fund Surcharge — 2.5% New York State requires a 2.5% Black Car Fund surcharge on every Uber trip fare. This fee is deductible as a business expense on Schedule C. Uber collects it automatically — check your annual earnings summary for the total amount.

NYC Congestion Pricing Fee Fees to enter the NYC Congestion Relief Zone (below 60th Street in Manhattan) during active Uber trips are 100% deductible. Keep E-ZPass or MTA payment receipts organized by month.

NYC Bridge & Tunnel Tolls All MTA bridge and tunnel tolls paid during active Uber trips are 100% deductible even when using the standard mileage rate. This includes the Triborough, Whitestone, Verrazano, and all MTA crossings.

New York State Quarterly Filing — Form IT-2105 New York requires separate quarterly estimated tax payments to the NYS Department of Taxation and Finance in addition to IRS payments. Q1 deadline: April 15. Failure to pay triggers NYS underpayment penalties on top of IRS penalties.

Federal Deductions (All New York Uber Drivers)

Standard Mileage$0.725/mi

Track every mile from when you go online to when you drop off the passenger. 15,000 miles = $10,500 deduction. Use Stride or MileIQ.

Cell Phone & Data50–80%

Deduct the business-use percentage of your monthly phone and data bill. Document your business vs personal use estimate.

Parking Fees100%

All parking fees during active Uber trips are 100% deductible. In NYC this adds up quickly — keep every receipt or bank statement.

Dash Cam100%

Camera mounted for passenger safety and liability protection. Fully deductible as business equipment in year of purchase.

Car Cleaning & WashesBusiness %

Keeping the vehicle clean for passengers is a legitimate business expense. Deduct the business-use percentage.

Vehicle MaintenanceBusiness %

Oil changes, tires, brakes — deduct proportional to Uber driving vs total annual miles.

Health Insurance100%

If not eligible for employer coverage, deduct 100% of premiums above-the-line on Form 1040.

50% SE Tax Deduction50%

Deduct half of self-employment tax paid on Form 1040 Schedule 1. Automatically calculated by tax software.

New York State Tax Rates for Uber Drivers 2026

Net Income	NY State Rate	NYC Add-On
Up to $17,150	4.0%	3.078%
$17,151–$23,600	4.5%	3.762%
$23,601–$27,900	5.25%	3.762%
$27,901–$161,550	5.85%	3.876%
$161,551–$323,200	6.85%	3.876%
Over $323,200	Up to 10.9%	3.876%

Every Schedule C deduction reduces your New York taxable income — saving you both the state rate and the NYC city rate on top.

Frequently Asked Questions

Do New York Uber drivers pay city income tax?

Yes. NYC residents pay city income tax of 3.08%–3.876% on net profit in addition to New York State income tax of 4%–10.9%. All Schedule C deductions reduce both.

Is the NYC Black Car Fund surcharge deductible?

Yes. The 2.5% Black Car Fund surcharge collected by Uber on every trip is deductible as a business expense on Schedule C. Find the total in your Uber annual tax summary.

Is NYC congestion pricing deductible for Uber drivers?

Yes. Fees paid during active Uber trips to enter the Congestion Relief Zone are 100% deductible. Keep E-ZPass or MTA receipts.

Do New York Uber drivers file quarterly state taxes?

Yes. Use Form IT-2105 to make quarterly estimated payments to NYS in addition to IRS payments. Q1 deadline is April 15 for both.

What is the 2026 mileage rate for Uber drivers in New York?

The 2026 IRS standard mileage rate is $0.70 per business mile. This applies equally to all U.S. states including New York. Track every mile with an app like Stride or MileIQ.

⚠️ Disclaimer: This checklist is for general educational purposes only and is not personalized tax or legal advice. Tax rules change — always follow official IRS and NYS guidance and consult a qualified tax professional before filing. IRS Gig Economy Tax Center → NYS Tax →