How to file your taxes as an Uber driver in Canada, step by step
From your Uber tax summary to the numbers on your T2125, GST/HST return and CPP schedule. A plain walkthrough of filing as a rideshare driver.
New gig drivers are often surprised by a CPP bill of several thousand dollars. Here are the 2026 rates, a worked example, and how to budget for it.
When you're an employee, Canada Pension Plan contributions come off every paycheque, and your employer quietly matches them. When you're self-employed, there's no employer. You pay both halves, and nothing is taken off your payouts along the way. The whole amount is due when you file.
| Basic exemption | $3,500 |
| Year's maximum pensionable earnings (YMPE) | $74,600 |
| Rate on earnings from $3,500 to $74,600 (both halves) | 11.9% |
| Year's additional maximum pensionable earnings (YAMPE) | $85,000 |
| Second additional CPP (CPP2) rate from $74,600 to $85,000 | 8% |
| Maximum total for a self-employed person | $9,292.90 |
CPP is based on your net self-employment income, which is gross earnings minus expenses. Every legitimate expense you claim lowers your CPP as well as your income tax.
Say your T2125 shows a net profit of $30,000 for 2026.
| Net profit | $30,000.00 |
| Minus basic exemption | −$3,500.00 |
| Pensionable earnings | $26,500.00 |
| CPP at 11.9% | $3,153.50 |
That's more than 10% of your profit, and at this income level it's often larger than your income tax. This is why so many first-year drivers get a bigger bill than they expected.
Part of your CPP reduces your taxable income, and part earns a non-refundable tax credit. The employer half is deducted from income, the enhanced portion of the employee half is also deducted, and the base portion of the employee half becomes a credit. It's all worked out on Schedule 8 of your return. The effect is real, but it doesn't come close to cancelling the bill.
CPP taken off your employment income counts toward the yearly maximum. If you work as a security guard or in retail and drive on the side, you'll pay self-employed CPP only on the room left under the maximum. Your employer's contributions don't reduce what you owe on your gig income, but your own paycheque deductions count toward the limit.
The number at the top of your MyGigLedger dashboard includes both halves of CPP and CPP2, plus federal and Ontario income tax. It updates with every payout and expense, and shows the cents per dollar to put away so there's no April surprise.
This article is general information based on CRA guidance as of July 29, 2026. It isn't tax advice. Rules change, and your situation may differ, so check with the CRA or a tax professional before you file.
From your Uber tax summary to the numbers on your T2125, GST/HST return and CPP schedule. A plain walkthrough of filing as a rideshare driver.
Yes, all of them. Cash tips, in-app tips, surge bonuses, quests and referral payments are business income. How to track them, including cash.
No. That rate is for employers paying employees. Self-employed drivers claim actual vehicle costs times business use. Here's why, and how the two compare.
Start with your last payout. It takes about a minute, and the Free plan never expires.