As a Dasher you're an independent contractor, so DoorDash doesn't take tax out of your pay. You owe income tax and self-employment tax on your profit, and the biggest thing that lowers it is the miles you drive. Gigstrak isn't affiliated with DoorDash.
The form DoorDash sends
DoorDash sends a Form 1099-NEC for your Dasher pay. For 2026, the form includes your tips in your total pay and also shows them in their own box (box 1b). For 2025, DoorDash emailed your tip total separately. For payments made in 2026, it has to send a 1099-NEC when it paid you $2,000 or more in the year (it was $600 before). Forms are due by January 31 and show up in the Dasher app. Even with no form, all of your Dasher income is taxable. More on this in 1099 forms for gig drivers.
What you'll owe
- Self-employment tax: 15.3% of most of your net profit, for Social Security and Medicare. It applies once your profit from all self-employment is $400 or more.
- Income tax on your profit, at your normal rate, along with any other income you have.
Your profit is what DoorDash paid you minus your business costs, reported on Schedule C. Our quarterly tax calculator gives a quick estimate.
Mileage is the big deduction
Most Dashers can use the IRS standard mileage rate: 72.5¢ a mile for business miles driven through June 30, 2026, and 76¢ from July 1. At those rates, 10,000 business miles is worth over $7,000 off your profit. The rate covers gas, repairs, insurance and wear, so you can't deduct those on top of it. See the 2026 mileage rate.
- Count the miles you drive for work: to pickups, to customers, and between orders while you're dashing.
- Leave out personal driving. If you're not sure about the drive from home to your first pickup, ask a tax professional.
- Keep a log as you go. The IRS expects a record of the date, miles and purpose of each trip, made at the time. DoorDash's own figures don't replace your log.
Other costs you can deduct
The business share of your phone and plan, insulated bags, and parking and tolls on deliveries. See the full list of deductions for gig drivers.
Tips
Tips are taxable income, but for 2025 through 2028 delivery drivers can deduct up to $25,000 of them from income tax if they meet the rules, including that the tips are reported to them by DoorDash. Self-employment tax still applies to them. See no tax on tips for drivers.
Pay during the year
If you'll owe $1,000 or more, the IRS expects quarterly payments. The last one for 2026 income is due January 15, 2027. Setting aside 20 to 25% of each payout is a common starting point. See quarterly estimated taxes.
Track it without thinking about it
Gigstrak records your Dasher miles automatically, values each one at the IRS rate for its date, and shows what to set aside for taxes. Get Gigstrak on Google Play.
Sources
IRS: Instructions for Forms 1099-MISC and 1099-NEC, Self-employment tax, Publication 463 (car expenses and records) and Announcement 2026-11 (the July 1 rate). Form details from DoorDash's Dasher tax questions. This guide is general information, not tax advice.