If you earn income through Uber, Uber Eats, DoorDash, Instacart, SkipTheDishes, Lyft, or other gig platforms, understanding GST/HST is essential. Many gig workers are surprised to learn that the GST/HST rules are different for rideshare drivers and delivery drivers.
What is GST/HST?
GST (Goods and Services Tax) and HST (Harmonized Sales Tax) are sales taxes collected on taxable goods and services in Canada.
As a self-employed gig worker, you may be required to:
- Register for a GST/HST account
- Collect GST/HST
- File GST/HST returns
- Remit GST/HST to the CRA
- Claim Input Tax Credits (ITCs) on eligible expenses
Rideshare Drivers: Uber & Lyft
Important Rule
If you provide rideshare services through companies such as Uber or Lyft, you must register for GST/HST from your very first ride.
The normal $30,000 small-supplier exemption does not apply to commercial rideshare drivers. CRA treats rideshare drivers similarly to taxi operators for GST/HST purposes.
Example
Rahul starts driving for Uber in Ontario and earns only $2,000 during the year.
Even though income is below $30,000, he must still:
- Register for HST
- File HST returns
- Report HST collected on rideshare fares
Delivery Drivers: Uber Eats, DoorDash, SkipTheDishes, Instacart
For delivery-only services, the regular small-supplier rules generally apply.
You usually do not need to register until your taxable revenues exceed $30,000 over four consecutive calendar quarters.
Example
A DoorDash driver earns:
- 2025 income: $18,000
- 2026 income: $25,000
If the driver's taxable revenue exceeds the $30,000 threshold, GST/HST registration becomes mandatory.
If You Do Both Uber and Uber Eats
This is where many gig workers get confused.
If you perform rideshare services (Uber or Lyft), the rideshare GST/HST registration requirement generally applies immediately, and your GST/HST account will typically cover your other taxable self-employed activities as well.
What Are Input Tax Credits (ITCs)?
ITCs allow you to recover GST/HST paid on business expenses.
Examples include:
✅ Fuel
✅ Vehicle repairs
✅ Insurance (where GST/HST applies)
✅ Cell phone bills
✅ Accounting fees
✅ Parking fees
✅ Office supplies
✅ Software subscriptions
Keep all receipts to support your claims.
Example of HST Recovery
Assume you paid:
| Expense | HST Paid |
|---|---|
| Fuel | $520 |
| Repairs | $180 |
| Phone | $100 |
| Accounting Fees | $65 |
Total ITCs Available = $865
If you collected $2,000 of HST from customers, your net remittance may be:
$2,000 − $865 = $1,135 payable to CRA
GST/HST Filing Deadlines
Most self-employed gig workers with annual filers generally:
- File one GST/HST return per year
- Have a filing deadline after the tax year-end specified by CRA
- Must file even if no tax is owing
Records You Should Keep
Maintain:
- Mileage logs
- Fuel receipts
- Vehicle repair invoices
- Insurance statements
- Phone bills
- Platform earnings summaries
- GST/HST return copies
CRA may request these records during a review or audit.