Greeting to the community,
I recently started driving for Uber as a side hustle beginning in early April. I learned that there are two ways we can claim deductions: the logbook method and the cents-per-kilometer method. I noted down the odometer readings for 12 consecutive weeks (April to June) and came up with a question:
Since I drove quite a lot during those three months, the ratio for driving Uber is more than 50%. However, considering the ratio for the entire year could be less than 20% (I didn't drive Uber from July 2023 to March 2024 at all), would it be fair to claim a tax deduction on the annual tax return using the record from April to June?
Another question is about the BAS we need to fill out every three months. I realized that there are two taxes we need to pay on the income we earn as an Uber driver (GST and income tax). Can I claim a deduction for the GST I paid in my income tax return? For example, if I made $1000 and paid $100 GST, do I write down $900 when filing a tax return?
I appreciate your time reading and answering my questions.
1,312 views
3 replies